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Author: 


Rubinow,  Isaac  Max 


Title: 


Studies  in  workmen's 
insurance,  Italy,  Russia 

Place: 

New  York 

Date: 

1911 


COLUMBIA  UNIVERSITY  LIBRARIES 
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Rubinow,  Isaac  Max,  1875- 

Studies  in  workmen's  insurance,  Italy,  Russia,  Spain 

...     New  York,  1911. 

4  p.   1., 

Arprr'H:,  p.  1699-2376,  i6]  p.  incl.  tables.    23'^". 

Thesis  (ph.  d.) — Columbia  university. 

Vita. 

Bibliography:  p.  2010-2013.  2314-2318,  2375-2376. 

List  of  the  author's  publications :  [4]  p. 

"The  studies  offered  herewith  represent  the  author's  contribution  to  the 
Twenty-fourth  annual  report  of  the  United  States  commissioner  of  labor 
on  "Workmen's  insurance  and  compensation  systems  in  Europe." 


1.  Insurance,  Industrial. 


Title  from  Columbia  Univ. 


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LIBRARY 


School  of  Business 


School  of  Rnsinr^ss  Library 
Columbiii  Uiiiveraity 


JUN  19   1941 


Given  by 

John  Bates  Clark 


♦> 


5TUD1L5 


IN 


WORKMEN'S  INSURANCE: 

ITALY,  RUSSIA,  SPAIN 


BY 


I.  M.  RUBINOW 


Chief  Statistician  of  the  Ocean  Accident  and  Guarantee  Corporation, 
Formerly     Statistical     Expert,     United     States     Bureau     of     Labor 


A   DISSERTATION 

SUBMITTED  IN  PARTIAL  FULFILLMENT  OF  THE  REQUIREMENTS 
FOR  THE  DEGREE  OF  DOCTOR  OF  PHILOSOPHY 

« 

IN    the 

Faculty  of  Political  Science, 
Columbia  University 


i^ 


New  York 
1911 


Prom  Lib.    of 
Jolxa  Bates  Clark 
qot.l5,ld40 


■na 


V. 


"i/  ,' 


CO 


•      > 


•    •    •  > 


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PRLFACL 


The  studies  offered  herewith,  on  Workmen's  Insurance  in 
Italy,  Russia  and  Spain,  represent, — together  with  a  considerable 
portion  of  the  study  of  the  same  problem  in  France, — the  author's 
contribution  to  the  Twenty-Fourth  Annual  Report  of  the  United 
States  Commissioner  of  Labor  on  "Workmen's  Insurance  and 
Compensation  Systems  in  Europe." 

This  explains  the  nature  of  treatment  of  the  material,  w^hich 
is  descriptive  rather  than  critical, — a  limitation  under  which 
most  government  reports  necessarily  labor,  especially  when 
dealing  with  foreign  economic  and  legal  conditions.  It  would 
indeed  be  unfortunate  if  the  writer's  personal  views  and  con- 
victions were  permitted  to  create  grave  international  conflicts. 

It  may  be  added  that  the  same  circumstance  has  determined 
the  somewhat  unfortunate  typographical  form  of  this  book, 
showing  itself  in  the  matter  of  running  page  headings,  pagina- 
tion and  numbering  of  chapters,  all  of  which  the  fastidious 
reader  will  not  have  failed  to  notice.  It  is  the  author's  mis- 
fortune, rather  than  fault,  that  in  an  alphabetic  arrangement  of 
European  countries,  Norway— the  domain  of  another  student- 
intruded  between  Italy  and  Russia  with  the  malicious  intent  of 
breaking  down  the  continuity  of  pagination. 

And  finally,  what  is  more  important,  the  same  circum- 
stance explains  the  somewhat  accidental  selection  of  the  coun- 
tries, which— in  the  process  of  distribution  of  an  enormous  task 
among  several  fellow  workers— was  determined  by  such  con- 
siderations as  knowledge  of  certain  languages  and  some  famil-' 
iarity  with  the  conditions  of  the  countries  treated.  It  was  the 
author's  fate  to  be  left  to  the  less  familiar  hunting  grounds. 

It  is  hoped,  however,  that  some  unity  of  thought  may  be 
found  in  the  various  chapters,  and  that  there  need  be  no  apology 
for  presenting  them  together.  The  problem  of  social  insurance 
which  suddenly  has  acquired  such  tremendous  importance  in 
this  country,  is  mainly  discussed  upon  the  basis  of  German  and 


English  experience;  the  first  because  of  tlie  remarkable  com- 
pleteness and  unity  of  its  system,  the  latter  because  of  the  nat- 
ural tendency  to  follow  British  precedents.  Much  less  known 
are  the  results  of  Romance  and  Slavic  experience.  The  three 
countries  brought  here  together  in  one  volume  show  the  work- 
ings of  many  difllerent  institutions  and  forms  of  insurance,  com- 
pulsory as  well  as  voluntary,  private  as  well  as  state.  Thc^y  show 
how  unwilling  were  many  of  the  countries  in  adapting  the  (ier- 
man  ideas  of  compulsion.  They  also  show  how  insistent  is  the 
demand  of  social  progress  that  they  should  eventually  do  so. 
If  as  a  result  of  a  study  of  these  chapters,  the  reader  may  come 
to  the  conclusion,  that  the  trend  everywhere  seems  to  l)e  fiom 
voluntary  to  compulsory  insiu'ance,  that  success  of  all  forms  of 
social  insurance  is  almost  directly  proportionate  to  the  degree 
of  compulsion,  then  it  is  hoped  this  conclusion  will  not  be  as- 
cribed to  the  author's  leaning  to  the  compulsory  principle,  an- 
nounced in  some  desultory  way  in  magazine  articles  more  than 
eight  years  ago,  but  to  an  accurate  and  impartial  presentation 
of  the  facts  and  figures  collected  during  three  years  of  patient 
application. 


1.  M.  R. 


New  York  City, 
November,  1911. 


II 


TABLL  OF  CONTLNT5 


Workingineii's  Insurance  in  Italy I(i!)7-2(I13 

Introduction     1G9U-17UI 

Accident   Insurance    1701-1827 

History  of  Accident    Insurance   Legislation    1702-1713 

Legislation  in  Force 1713-1733 

Application  of  the  Law 1733-1744 

The  National  Accident  Insurance  Institution 1744-1782 

The  Compulsory  Mutual  Accident  Insurance  Associa- 
tion for  Sicilian  Sulphur  Mines   1 782-1 7!I2 

Compulsory  Association  for  Insurance  of  Seamen.  .  .  .  1793 

Other  Accident  Insurance  Associations 1 703-1 791> 

Proposed  Reforms   1799-180() 

Statistics  of  Industrial  Accidents   1806-1827 

Sickness   Insurance    1828-1802 

History    1828-1832 

Provisions  of  the  Law  of  April  15,  1880 1832-1835 

Statistics  of  Mutual  Benefit  Societies   1835-1849 

Proposed   Reforms    1850-1851 

Maternity   Insurance 1851-1802 

Old  Age  and  Invalidity  Insurance 1802-1904 

National  Old  Age  and  Invalid  Insurance  Institution.  .  1802-1899 
Compulsory    Old    Age    Insurance     for   certain   State 

Employees    1899-1904 

Unemployment   Insurance    1904-1934 

Unemployment  Statistics    1904-1909 

Unemployment  Relief  by  Labor  Unions 1904-1914 

Private  IJnemployment  Insurance   1914-1930 

Unemployment  Benefits  by  Trade  Associations 1930-1933 

Railroad  Pensions  and  Mutual  Aid  Institutions 1935-2099 

Introduction    1935-1941 

State  Railroad  Pension  Fund    1941-1901 

State  Railroad  Mutual  Benefit  Society    1902-1990 

Provident  Institute  of  the  State  Railroads 1990-2001 

Law  of  July  9,  1908   2001-2004 

Conclusions    2004-2009 

Bibliographv    2010-2013 


Workmen's  Insurance  in  Russia 2085-2318 

Introduction 2087-2092 

Accident  Insurance   2092-2206 

Employers'  Liability   2092-2097 

History  of  Compensation  Legislation 2097-2102 

Workmen's  Compensation — Present  Status   2102-2119 

Special  Provision  for  State  Employees 2119-2127 

Statistics  of  Operation  of  the  Law 2127-2137 

Private  Voluntary  Accident  Insurance 2137-2150 

Proposed  Reforms   2150-2155 

Statistics  of  Accidents   2156-2206 

Sickness   Insurance    2206-2254 

Medical  Aid   2207-2229 

Financial  Assistance    2229-2243 

Proposals  for  Compulsory  Sickness  Insurance 2243-2254 

Old  Age  and  Invalidity  Insurance 2254-2313 

State  Miners'  Brotherhoods   2255-2259 

Railroad  Employees'  Pension  Funds 2259-2288 

Pension  Funds  for  Liquor  Monopoly 2288-2296 

Pension   Fund  of  Other  Government  Employees....  2296-2299 

Pension  Fund  of  the  Zemstvos 2299-2305 

Efforts  for  Reform    2306-2313 

Bibliography    2314-2318 

Workmen's  Insurance  in  Spain 2319-2376 

Introduction    2321-2322 

Accident  Insurance    2322-2354 

History    2322-2328 

Legislation  in  Force   2328-2342 

Proposed  Reforms   2342-2350 

Statistics  of  Industrial  Accidents 2350-2354 

Sickness  Insurance 2355-2359 

Commercial  Insurance  Companies 2355-2356 

Mutual  Benefit  Societies   . 2356-2359 

Old  Age  Insurance   2359-2372 

The  National  Institute : 2360-2369 

Private  Voluntary  Old  Age  Insurance 2369-2372 

Railroad  Employees'  Funds 2372-2373 

Life  Insurance  in  Connection  with  Workmen's  Dwellings  2373-2375 

Bibliography    2375-2376 


r 


WORKMEN'S  INSURANCE  IN  ITALY 


I  . 
I 


CHAPTER  VII. 

WOEKMEIT'S  IirSURAWCE  IN  ITALY. 
INTRODUCTION. 

The  beginnings  of  workmen's  insurance  in  Italy  may  be  traced  to 
voluntary  cooperative  organizations.  These  organizations  provided 
for  mutual  help  in  a  great  mauy  different  emergencies,  but  primarily 
for  sick  benefits.  They  were  known  in  the  eighteenth  century,  but 
began  to  develop  rapidly  in  the  seventies  of  the  nineteenth  century,  and 
by  1886  their  importance  was  sufficiently  great  to  cause  the  adoption  of 
a  special  law  regulating  them  to  some  extent.  A  few  years  before,  by 
the  law  of  1883,  the  National  Accident  Insurance  Institution  was 
authorized  for  voluntary  insurance  against  accidents.  This  was  a 
private  institution,  formed  for  that  purpose  by  a  combination  of  10 
savings  banks,  but  under  government  supervision. 

For  the  next  fifteen  years  the  question  of  workmen's  insurance  in 
all  its  phases  was  under  continuous  discussion,  but  very  Uttle  of 
actual  legislation  was  accomphshed.  On  March  17,  1898,  the  acci- 
dent insurance  law  was  passed,  estabhshing  what  is  practicaUy  com- 
pulsory  accident  insurance,  though  with  freedom  of  selection  of  the 
earner  of  the  insurance,  for  a  considerable  portion  of  Itahan  manufac- 
tunng  industry  and  minmg.  In  the  same  year  the  national  institu- 
tion for  voluntary  old-age  and  mvahdity  insurance  was  orgauized. 

These  two  laws  of  1898  present  the  essential  legislative  acts  of  Italy 
in  connection  with  workmen's  insurance.  The  accident  insurance 
system  was  considerably  extended  and  amended  by  the  act  of  June 
20,  1903,  the  codified  text  of  the  law  being  pubUshed  January  31,  1904, 
and  the  system  of  voluntary  old-age  and  invahdity  insurance  wa^ 
modified  by  the  amending  acts  of  July  7,  1901,  and  of  May  20,1907. 
But  no  essentially  new  principles  were  introduced  by  any  of 'these 
amending  acts. 

fv.^!f*^/^^^^  ^^^  ^^^^  accomphshed  by  the  Italian  Government  in 
the  held  of  sickness  insurance  in  comparison  with  accident  and  old- 
age  insurance.  The  only  measure  enacted  of  any  importance  is  the 
law  of  April  15,  1886,  concerning  recognition  or  mcorporation  of  the 
voluntary  private  mutual  benefit  societies  wliich  concern  themselves 
mamly  but  not  exclusively  with  sickness  insurance. 
^  Maternity  insurance,  which  may  be  considered  as  a  form  of  sickness 
insurance,  has  been  earnestly  discussed  m  Italy  for  over  a  decade. 

1699 


1700 


BEPOET  OF  THE  COMMISSIONER  OF  LABOB. 


The  question  was  raised  by  a  few  individuals  early  in  the  last  decade 
of  the  nineteenth  century,  and  the  influence  of  their  agitation  in  pri- 
vate orgamzations  was  powerful  enough  to  call  forth  a  government 

^-  uV^^'  f  ^^^'^^  ^^  ^  national  maternity  insurance  institution. 
Ihis  bill,  with  some  modifications,  became  a  law  on  July  17,  1910 

An  explanation  of  the  slow  development  of  social  insurance  in 
Italy  may  be  found  in  the  general  economic  status  of  the  country 
The  occupational  statistics  of  Italy  disclose  the  fact  that  it  is  still 
largely  an  agricultural  country. 

In  1901  the  number  of  persons  employed  in  the  manufacturing 
mdustnes  (mcluding  mining)  in  Italy  did  not  exceed  16  per  cent  of 
the  total  population  over  9  years  of  age,  or  about  25  per  cent  if  only 
persons  gainfully  employed  be  taken  into  consideration.  Agricul- 
ture claimed  38  per  cent  of  the  total  adult  population,  or  nearly  60 
per  cent  of  that  part  which  was  gainfully  employed.  The  occupa- 
tional statistics  of  the  census  of  1882  and  of  1901  were  presented 
according  to  different  systems  of  classifications  and  are  scracely  com- 
parable; nevertheless  a  comparison  of  the  statistics  for  the  two  years 
indicates  an  absence  of  any  very  large  and  raj^id  development  of 
mdustnal  employment. 

NUMBER  AND  PER  CENT  OF  PERSONS  OVER  9  YEARS  OF  AGE  IN  ITALY,  CLASSIFIED 
BY  INDUSTRY  AND  SEX,  CENSUSES  OF  1882  AND  1901.         ^"^^^^'^'^^ 

[Source:  Annuario  Statlstico  ItaUano,  1905-1907,  VoL  I,  p.  111.] 


Industry,  etc. 


Agriculture,  fishing,  etc 

Mining,  metallurgy,  stone  quarrying,' etc! 

Manufacturing,  etc.: 

Building 

Textiles 

Clothing "!.'!!!!!!!.'! 

Food  products ....!!!!!!! 

Wood  and  straw  working. 

All  other  industries 


Census  of  January  1,  1882. 


Males. 


Total  manufacturing,  etc 


Transportation 

Commerce  and  exchange. . . 

Public  undertakings ,[," 

Domestic  service,  private  employ"  etc 

Public  administration 

Professions 

Defense  of  the  land 

Persons  living  from  revenues! ! ! 

Persons  supported  by  families. .'. 

Persons  supported  by  pubUc  or  private  charity, 

Persons  of  unknown  occupation! ! !!!!!!!!!!!!!!!!!! 


6,513,545 
399,920 


518,876 
137,476 
494,432 
267,938 
307,802 
152,520 


Females. 


3,101,163 
7,915 


67,914 
1,213,978 
498. 523 
55,615 
73,400 
26,554 


Total. 


Numbw. 


Total. 


1,879.044 

310,519 
325,716 
118,298 
306,822 
164,962 
271,652 
160, 155 
427,456 
554,480 

101,115 
725,284 


11,258,968 


1,935,984 

2,664 

71,377 

71,280 

413,022 

2,400 
95, 470 


8.614,708 
407,835 


586,790 
1,351,454 
992,955 
323,553 
381,202 
179,074 


Percent. 


38.20 
1.81 


535,425 
4,103,608 

96,161 
855,691 


11,292,158 


3,815,028 

313, 183 
397,093 
189,578 
719,844 
167,362 
367, 122 
160, 155 
962,881 
4,658,086 

197,276 
1,580,975 


2.60 
5.99 
4.40 
L44 
1.69 
.79 


16.91 


22,551,126 


L39 
L76 

.84 
3.19 

.74 
L63 

.71 

4.27 

20.66 

.88 
7.01 


100.00 


OHAPTEB  VII. — WOEKMEN's  INSURANCE  IN  ITALY.  1701 

NUMBER  AND  PER  CENT  OF  PERSONS  OVER  9  YEARS  OF  AGE  IN  FTALY  CLAfiSIFrFn 
^Y  INDUSTRY  AND  SEX,  CENSUSES  OF  1882  AND  1901-SnSeS.  ^"^ 


Industry,  etc. 


Agriculture,  fishing,  etc 

Mining,  metallurgy,  stone  quarrying,"  etc 

Manufacturing,  etc.: 
Building... 
Textiles .".*! 

Clothing !!!!!!!!! 

Food  products !.!!!!! 

Wood  and  straw  working. .. ! 

All  other  industries 


Census  of  February  lo,  1901. 


Males. 


6,466,165 
646,222 


Females. 


3,200,302 
9,938 


Total. 


Number. 


9,666,467 
556,160 


Percent. 


38.08 
2.19 


Total  manufacturing,  etc 


Transportation 

Commerce  and  exchange!!! 

Public  undertakings 

Domestic  service,  private' employ, "etc! !  " *" 

Pubhc  administration...  

Professions 

Defense  of  the  land. . ...!!! 

Persons  living  from  revenues 

Persons  supported  by  families. ."." 

^^^J^Sg^upported  by  pubUc  or  private "  charity. 

Persons  of  unknown  occupation !!!!!!!!!!!!!!! 


558,890 
121,479 
574,666 
270, 431 
343,139 
203,563 


Total. 


2,072,168 

416, 152 
468,918 
140, 769 
226,795 
173. 177 
274,084 
204,012 
301,596 
1,160,969 

80,178 
10,603 


5,906 

661, 774 

539,177 

44.069 

67,796 

42,764 


1,361,488 

7,639 

111,179 

52.087 

404,440 

5.064 

131,927 


564,798 
783,253 
1,113.843 
314.500 
410,935 
246,327 


299,156 
7,194,804 

66,675 


3,433,656 


2.22 
3.08 
4.39 
L24 
L62 
.97 


423,791 
580,097 
192,856 
631,235 
178,241 
406,011 
204,012 
600,752 
8,355,773 

146,853 
10,603 


12,541.808  i       12,844,699 


25,386,507 


13.52 

L67 
2.29 

.76 
2.49 

.70 
1.60 

.80 

2.37 

32.91 

.58 

.04 


100.00 


ACCIDENT  INSURANCE. 
The  present  system  of  compulsory  insurance  of  workmen  against 
mdustnal  accidents  dates  back  to  the  law  of  March  17  1898  which 
went  mto  eflFect  September  17,  1898.  The  law  was  ^onsiderablv 
amended  by  the  act  of  June  29,  1903,  and  promulgated  in  codified 
form  January  31,  1904,  in  which  form  it  went  into  effect  through  a 
retroactive  clause  December  30,  1903. 

The  system  of  compulsory  insurance  of  workmen  against  acci- 
dents has  been  m  existence  in  Italy  for  over  ten  years.  The  substi- 
tution  of  this  system  for  the  old  system  of  employers'  HabiHty  was 
not  estabhshed  m  a  day.  The  first  efforts  of  reform  of  the  legal  prin- 
ciple  of  employers'  HabiUty  began  as  early  as  1879,  and  the  history 
of  these  efforts,  lasting  almost  uninterruptedly  through  two  decades, 
gives  interesting  material  for  the  study  of  the  development  from  the 
one  extreme  of  civil  habiUty  of  the  employer  for  his  act  to  the  other 
of  an  absolute  nght  of  the  employee  to  compensation  in  ca^e  of  indus- 
^^L^7t  '}^^  '^''''^'P*  ^^  ^"^^"  ^^^'  ^^  ^^^  collective  responsi- 
lot  of  If!  ^t"' u{  '^'^''  *^"^  ^^  i^^  individual  employer  for  the 
proci^  '^  unavoidably  connected  with  modem  industrial 

repeats  m  Its  articles  1152,  1153,  1157,  and  1644  the  provisions  of 


1702 


REPORT   OF  THE   COMMISSIONER  OF   lABOR. 


the  French  civil  code  concerning  the  responsibility  of  the  employer 
for  injuries  to  employees.  These  provisions  differ  little  from  the 
general  principles  of  responsibiUty  for  injuries  resulting  from  the 
acts  of  commission  or  omission  of  any  person  or  his  agents. 

HISTORY  OF  ACCIDENT  INSirBANCE  LEGISLATION. 

The  conviction  that  the  common  law  did  not  supply  the  necessary 
protection  of  the  industrial  worker,  and  that  there  was  need  for 
special  protective  legislation,  found  its  first  fonnal  expression  in  the 
Chamber  of  Deputies  in  the  bill  covering  workmen  in  the  construc- 
tion of  buildings,  in  mines,  and  workshops  introduced  March  17, 1879. 
The  basic  principle  of  this  proposal  was  the  transfer  of  the  burden  of 
proof  from  the  employee  to  the  employer.  It  proposed  that  the 
employers  of  labor  in  the  industrial  fields  indicated  should  be  respon- 
sible for  injuries  sustained  by  workmen  through  industrial  accidents 
unless  these  accidents  had  been  caused  through  the  fault  of  the 
victim  or  through  pure  chance.  This  bill  never  came  up  for  open 
discussion  in  the  Chamber. 

A  bill  introduced  in  the  Chamber  of  Deputies  June  9,  1880,  was 
based  on  the  same  principle  of  civil  responsibility  with  change  of  the 
burden  of  proof,  and  in  the  main  followed  the  lines  laid  down  in  the 
earlier  proposal.  This  proposal  did  not  meet  with  any  greater  suc- 
cess than  of  the  pioneer  proposal  of  1879. 

The  two  preceding  bills  introduced  were  proposals  of  individual 
deputies  and  did  not  seem  to  have  any  considerable  influence  upon 
the  membership  of  the  Chamber.  The  numerous  proposals  made 
within  the  next  two  decades  all  came  from  the  Government.  The 
first  of  these  government  proposals  was  introduced  in  the  Chamber 
of  Deputies  June  28,  1881.  In  the  main,  this  first  governmental  pro- 
posal followed  the  Unes  of  its  predecessors.  It  aimed  to  estabUsh  the 
presumptive  HabiHty  of  owners  of  land  and  buildings  and  employers 
of  factories,  mines,  and  quarries,  in  case  of  accidents  caused  by  total 
or  partial  coUapse  of  buildings  tluring  construction,  landslides,  exca- 
vations, explosions,  and  similar  occurrences,  but  not  in  all  accidents, 
as  provided  in  the  preceding  bill  of  1880. 

A  parUamentary  commission  appointed  to  examine  into  the  gov- 
ernmental proposal  as  well  as  into  that  of  the  ])receding  year,  brought 
in  its  report  November  24,  1881.  This  report  entirely  rejected  the 
fundamental  basis  of  all  these  proposals.  It  asserted  that  the  pre- 
sumption of  fault  of  the  employer,  and  the  consequent  imposition 
upon  him  of  the  burden  of  proof,  was  a  sudden,  radical,  and  dangerous 
digression  from  the  estabhshed  principles  of  the  ('ommim  law.  It 
admitted  the  justice  of  the  responsibility  where  the  cause  of  the  acci- 
dent could  be  traced  to  the  employer,  but  thought  the  presentation 
of  proof  to  that  effect  essential. 


CHAPTER  VII. — workmen's  INSURANCE  IN   ITALY.  1703 

A  new  bill  was  introduced  February  19,  1883,  based,  Uke  the  pre- 
ceding ones,  upon  the  principles  of  transfer  of  the  burden  of  proof, 
and  also  accepting  the  principle  of  joint  responsibiUty  of  the  owners 
and  managers  as  indorsed  by  the  parUamentary  commission  of  1881, 
to  which  it  added  the  responsibiUty  of  the  engineers  and  architects 
who  direct  the  work.  In  other  particulars  the  biU  differed  materially 
from  the  earUer  biUs.  It  was  broader  in  scope  in  that  it  included 
railroads.  The  biU  provided  that  if  the  employer  participated  in  the 
cost  of  insurance  of  his  employees  against  industrial  accidents,  at  least 
up  to  one-third  of  the  premiums,  the  amount  of  the  insurance  must  be 
deducted  from  the  amount  of  indemnity  granted  by  the  court.  This 
provision  was  to  act  as  a  stimulus  for  encouraging  such  insurance, 
with  the  employer's  participation  in  the  cost.  It  is  evident  that  in 
introducing  this  clause  the  Government  had  in  view  its  plan  for  the 
estabUshment  of  the  national  fund  for  insurance  of  worknien  against 
accidents,  which  was  accompUshed  in  the  same  year  by  the  law  of 
July  8,  1883. 

This  second  government  biU  was  referred  to  a  parUamentary  com- 
mission, which  reported  it  back  April  8,  1884.  Again  the  parUa- 
mentary commission  refused  to  accept  the  reforms  contained  in  the 
government  proposal,  insisting  that  they  were  at  variance  with  the 
fundamental  principles  of  civil  law.  Instead  of  the  joint  responsi- 
biUty of  engineers,  managers,  employers,  and  owners  for  accidents  it 
proposed  a  new  biU  containing  specific  regulations  for  the  prevention 
of  accidents  in  each  industry  and  civil  UabiUty  only  in  case  of  non- 
compUance  with  such  regulations,  only  such  persons  being  Uable  who 
were  guilty  of  such  noncompUance.  It  also  introduced  other  Umita- 
tions,  such  as  the  exclusion  of  the  railroads.  This  modified  bill 
according  to  the  report  brought  in  by  the  commission  was  to  pro- 
tect the  rights  and  interests  of  workers  without  injuring  any  other 
rights  and  without  prejudicing  the  industrial  progress  of  the  country. 

The  original  bill  of  1883,  as  well  as  the  amended  bUl  of  the  parlia- 
mentary commission,  came  up  for  an  extended  discussion  in  the  Cham- 
ber of  Deputies  and  was  adopted  by  the  Chamber  June  15,  1885.  In 
passing  this  bill  the  Chamber  included  many  important  amend- 
ments, in  which  the  influence  of  the  German  insurance  system  could 
be  seen.  The  purpose  of  these  amendments  was  to  stimulate  further 
the  insurance  of  employees  b^  the  employers,  though  a  voluntary 
system  was  thought  preferable  and  better  adapted  to  Italian  con- 
ditions than  the  compulsory  system  established  in  Germany,  and  for 
the  purposes  of  such  voluntary  insurance  the  National  Insurance 
Fund  already  existed. 

The  bill  as  passed  by  the  Chamber  of  Deputies  finally  came  up 
for  discussion  in  the  Senate,  when  a  report  was  made  by  a  senate 
commission  on  April  2,  1886.  The  majority  of  the  senate  commis- 
67725*'— VOL  2—11 14 


1704 


REPORT   OF  THE   COMMISSIONER  OF   LABOR. 


sion  disagreed  entirely  with  the  fundamental  principle  of  the  bill 
and  presented  a  counter  project,  which  made  the  owners,  em])loyer8, 
etc.,  responsible  for  the  accident  only  when  these  persons  had  not 
conformed  to  all  requirements  as  to  prevention  of  accidents.  The 
bill  and  the  counter  proposition  were  thoroughly  discussed,  but  led 
to  no  practical  results. 

These  discussions  in  the  Senate  closed  the  first  period  of  the  history 
of  workmen's  insurance  against  accidents  in  Italy — a  period  based 
upon  the  strengthening  of  the  civil  responsibility  of  the  individual 
employer  (employers'  liabihty),  with  leanings  during  the  last  two 
years  of  the  period  toward  a  system  of  voluntary  insurance. 

A  new  period  was  ushered  in  by  the  new  imnister  of  commerce 
and  agriculture,  requesting  Prof.  Carlo  F.  Ferraris  to  pr<»[>are  a 
report  covering  the  entire  subject  of  insurance  of  workmen  against 
accidents.  The  selection  was  significant,  as  l^rofessor  Ferraris  was 
known  as  a  believer  in  the  systepi  of  obligatory  insurance.  In  his 
report  to  the  commission  (^)  Professor  Ferraris  proposed  a  system 
based  upon  obligatory  insurance,  totally  at  the  expense  of  the 
employers,  covering  all  cases  of  accidents,  inchiding  those  caused  by 
the  negligence  of  the  victim  himself,  and  he  combined  with  this 
system  of  obligatory  insurance  preventative  measures,  so  as  to 
reduce  the  frequency  of  accidents.  Notwithstanding  a  very  violent 
opposition,  the  proposal  of  Doctor  Ferraris  was  accepted  by  the 
consultative  commission  with  certain  slight  modifications  which 
involved  a  slight  contribution  of  the  workmen  to  the  cost  of  insur- 
ance and  in  the  beginning  a  limitation  of  the  group  of  industries  to 
be  covered  by  the  law.  In  this  latter  limitation  the  commission 
was  quite  persistent  in  including  under  the  law  only  min<?s  and 
quarries,  the  manufacture  of  explosives,  and  the  construction  of 
buildings. 

Upon  these  principles  a  government  bill  was  introduced  in  the 
Chamber  of  Deputies  February  8,  1890,  applicable  (1)  to  workmen 
of  all  establishments  in  dangerous  industries,  namely,  mines,  (juarries, 
construction,  and  the  manufacture  of  explosives;  (2)  in  establish- 
ments employing  over  ten  workers  and  making  use  of  mechanical 
power,  shipyards,  arsenals,  mineral  and  metal  working,  mechanical 
construction,  and  textile  industries.  The  same  conditions  were 
made  applicable  to  government  establishments  as  to  private  plants. 
Only  those  private  establishments  were  excepted  from  the  o])ligation 
of  insurance  which  had  special  funds  for  giving  the  workmen  com-, 
pensation  in  case  of  accidents  and  such  state  establishments  as  are 
provided  for  by  special  legislation.  Of  the  insurance  prc^.mium, 
nine-tenths  were  to  be  paid  by  the  employer  and  one- tenth  by  the 

o  Carlo  Ferraris,  L' assicurazione  obligatoria  e  la  responsabilit^  dei  padroni  ed 
imprenditori  per  gli  infortuni  sul  lavoro.    Rome,  1890. 


i 


CHAPTER  VII. workmen's  INSURANCE  IN   ITALY.  1705 

employee.  The  employer  must  advance  the  employee's  share,  but 
may  deduct  it  from  his  wages.  The  bill  permitted  insurance  either 
with  the  national  insurance  institution,  organized  in  1883,  or  with 
any  private  authorized  insurance  company.  Several  provisions  of 
the  bill  were  intended  to  prevent  industrial  accidents.  With  the 
exception  of  cases  of  criminal  responsibility  of  the  employee  the 
insurance  system  was  intended  to  be  a  substitute  for  the  old  habihty 
under  the  civil  code,  and  the  employees  were  absolved  from  this 

liability. 

The  parliamentary  commission  charged  with  the  study  of  this 
bill  presented  a  report  on  June  7,  1890,  («)  which,  for  the  first  time 
in  the  experience  of  parUamentary  commissions  of  the  I tahan  Chamber, 
was  favorable  to  the  principle  of  compulsory  accident  insurance 
and  the  other  essential  features  of  the  law,  except  that  it  suggested 
the  exclusion  of  all  cases  leading  to  temporary  disability  of  less  than 
three  weeks  duration  and  the  payment  of  indemnities  beginning 
with  the  fourth  week  of  disabihty.  The  minor  accidents,  in  the  opinion 
of  the  commission,  were  better  taken  care  of  by  the  voluntary  asso- 
ciations of  the  workmen. 

This  bill  and  the  report  of  the  commission  did  not  come  up  for 
discussion  on  the  floor. 

The  next  bill  was  introduced  in  the  Senate  by  the  minister  of 
agriculture,  April  13,  1891. C*)  This  was  practically  the  same  as  the 
previous  bill,  as  amended  by  the  parliamentary  commission.  An 
important  change  was  in  the  period  during  which  no  indemnities 
are  to  be  paid,  which  was  reduced  from  three  weeks  to  two.  This 
bill  went  to  a  senate  commission,  which  brought  in  a  substitute 
February  19,  1892,  differing  in  many  essential  points  from  the  min- 
isterial bill,  e) 

The  most  important  points  of  difference  were  as  follows:  First, 
the  senate  commission  proposed  to  except  the  accidents  due  to 
gross  neghgence  of  the  victim  from  the  action  of  the  law,  claiming 
that  by  compensating  such  accidents  the  law  would  stimulate  care- 
lessness on  the  part  of  the  employees.  Second,  it  proposed  to  include 
persons  in  a  supervisory  capacity,  provided  they  did  not  receive 
over  6  lire  ($1.16)  per  day.  Third,  it  embodied  in  the  law  a  scale 
of  compensation,  which  the  preceding  two  bills  left  to  the  discretion 
of  administrative  authorities.  Finally,  greater  attention  was  paid  to 
the  subject  of  prevention  of  accidents. 

a  Bulletin  du  Comit6  Permanent  du  Congr^  International  dee  Accidents  du  Travail, 

tome  2,  1891,  pp.  298-303. 

b  Bulletin  du  Comit6  Permanent  du  Congr^  International  des  Accidents  du  Travail, 

tome  3,  1892,  pp.  4-21. 


1706 


REPORT   OF   THE   COMMISSIONER  OF   LABOR. 


The  bill  was  the  subject  of  prolonged  discussions,  but  practically 
no  voice  was  heard  in  opposition  to  the  principle  of  compulsory  in- 
surance, thus  indicating  a  pronounced  change  in  the  pubHc  attitude 
on  this  question- as  a  result  of  a  decade  of  agitation. 

The  bill  as  finally  passed  by  the  Senate  March  3,  1892,  differed 
from  the  text  as  proposed  from  the  senate  commission  in  form  more 
than  in  substance, C^)  for  most  of  the  views  of  the  commission  were 
accepted  by  the  Senate  unchanged.  The  bill  as  passed  by  the  Sen- 
ate was  introduced  in  the  Chamber  of  Deputies  March  26,  1892, 
but  the  dissolution  of  the  Chamber  of  Deputies  blocked  further  prog- 
ress of  the  bill. 

A  new  bill  introduced  in  the  Chamber  of  Deputies  by  the  minister 
of  agriculture,  industry,  and  commerce  December  1,  1892,  approached 
closely  the  bill  suggested  by  the  senate  commission  in  its  report  of 
February  19,  1892.  In  some  respects  it  presented  an  advanc^e  over 
all  previous  legislative  proposals.  Thus  it  proposed  to  include  em- 
ployees in  the  manufacture  of  gas,  electric  power,  and  in  telephone 
service,  in  addition  to  employees  in  mines,  quarries,  factories,  arsenals, 
and  shipyards  and  estabhshments  for  manufacture  of  explosives. 
It  ordered  the  payment  of  indenmities  for  temporary  disabihty, 
beginning  with  the  sixth  day  instead  of  the  eleventh. (*) 

On  the  other  hand,  the  bill  tried  to  limit  the  apphcation  of  the 
law  as  to  the  cause  of  the  accidents.  It  gave  the  insurance  institu- 
tions the  right  of  action  against  the  employers  in  case  the  accident 
was  due  to  their  criminal  intent,  gross  neghgence,  or  noncompliance 
with  the  regulations  concerning  accident  prevention  and  against 
the  injured  if  the  accident  is  due  to  his  criminal  intent  or  gross 
neghgence.  This  was  evidently  based  upon  the  idea  that  the 
obhgatory  insurance  should  cover  only  such  accidents  as  are  not 
due  to  anyone's  fault  or  neghgence,  i.  e.,  are  due  to  what  has  been 

called  trade  risk. 

Another  new  feature  of  the  bill  was  the  compulsion  for  all  estab- 
Hslmients,  whether  of  State,  Province,  or  community,  to  be  insured 
in  the  national  insurance  institution.  The  bill  was  referred  to  a 
parliamentary  commission  and  reported  back  May  5,  1893,  with  a 
few  amendments,  but  the  proposal  of  this  commission  never  came 
up  for  discussion. 

The  bill  introduced  by  the  minister  of  agriculture,  industry,  and 
commerce  June  13,  1895,  did  not  differ  materially  from  the  pre- 
ceding bill.    It  discarded  the  quahfication  of  grave  neghgence,  but 

o  Bulletin  du  Comit^  Permanent  du  Congr^s  International  dea  Accidents  du  Travail, 
tome  3,  1892,  pp.  222-232. 

6  Bulletin  du  Comit^  Permanent  du  Congr^s  International  des  Accidents  du  Travail, 
tome  5,  1894,  pp.  2-27;  also  T.  Boediker,  Die  Arbeiterversicherung  in  den  europae- 
ischen  Staaten,  1895,  pp.  295-308. 


CHAPTER  VII. workmen's  INSURANCE  IN   ITALY.  1707 

preserved  that  of  accidents  due  to  disobedience  of  laws  or  regula- 
tions, which  is  so  close  to  the  conception  of  grave  neghgence  that  the 
change  was  more  one  of  words  than  of  conditions.  Like  its  prede- 
cessors, it  provided,  fu^t,  for  accident  prevention  through  safety 
devices  and  regulations,  and,  secondly,  for  a  system  of  a,ccident 
insurance,  with  voluntary  selection  of  the  insurance  institution,  for 
all  estabhshments  employing  not  less  than  5  persons.  («) 

The  report  of  the  parhamentary  commission,  brought  in  December 
4,  1895,  included  several  important  amendments,  namely,  the  per- 
mission' to  employers  to  organize  employers'  mutual  associations 
for  insurance  of  their  employees  agamst  accidents,  the  obhgation  to 
convert  the  indemnities  granted  in  case  of  permanent  total  disabihty 
into  life  annuities,  and  also  a  proposition  to  create  a  superior  council 
of  labor.  When  the  report  came  up  for  discussion,  (*)  an  amendment 
was  adopted  providing  that  in  case  of  gross  neghgence  on  the  part  of 
the  employer,  as  estabhshed  by  judgment  of  court,  the  indemnity 
should  be  double,  the  responsible  employer  paymg  the  excess.  With 
these  amendments  the  bill  was  adopted  in  the  Chamber  of  Deputies 
on  May  27,  1896,  and  introduced  in  the  Senate  the  following  day, 

May  28,  1896. 

The  Senate  commission  reported  on  this  bill  on  July  10,  1896,  and 
recommended  striking  out  the  compromise  affected  regarding  gross 
neghgence  of  the  employer.  It  reverted  to  the  older  formula  of  the 
bill  of  1892  m  making  the  employer  civilly  responsible  in  case  of 
criminal  intent  or  neglect  to  comply  with  the  safety  regulations. 
When  the  report  came  up  for  discussion  a  violent  opposition  de- 
veloped to  the  very  basis  of  the  compulsory  insurance  system. 
The  bill  was  sent  back  to  the  central  commission  on  December  4, 
1896,  with  instructions  to  reexamine  the  bill  and  bring  m  a  new 
project  more  in  harmony  with  the  suggestions  made.  In  less  than 
two  weeks  the  central  commission  brought  in  a  substitute  radically 
different  from  the  bills  discussed  in  both  chambers  for  about  seven 
or  eight  years,  m  that  they  proposed  to  substitute  personal  obhga- 
tion to  pay  compensation  instead  of  obhgatory  insurance. 

In  view  of  the  radical  differences  in  the  attitudes  of  the  two  cham- 
bers, the  Government,  on  December  18,  1896,  recahed  the  bill,  prom- 
ismg  at  the  same  time  to  introduce  a  new  bill  in  the  near  future, 
after  a  thorough  reconsideration  of  the  problem. 

The  next  step  taken  by  the  cabinet  was  to  request  the  Consigho 
della  Previdenza  to  prepare  an  exhaustive  report  on  this  question, 
which  had  already  been  studied  by  that  institution  in  1889.     Prof. 

o  Bulletin  du  Comit4  Permanent  des  Accidents  du  Travail  et  des  Assurances 
Sociales,  tome  6,  1895,  pp.  433-444. 

&  Bulletin  du  Comit^  Permanent  du  Congr^  International  des  Accidents  du  Travail, 

tome  7,  1896,  pp.  505-508. 


1708 


REPORT   OF  THE   COMMISSIONER  OF    LABOR. 


Carlo  Ferraris  was  intrusted  with  the  preparation  of  this  report, 
as  he  had  been  seven  years  earUer.  The  principles  proposed  by 
Ferraris  in  his  report  C^)  were  on  the  whole  in  accordance  with 
the  bill  which  passed  the  Chamber  of  Deputies  in  May,  1896.  The 
most  important  suggestion  was  for  the  purpose  of  settling  the  much- 
discussed  question  of  personal  responsibihty  of  either  employer  or 
employee.  In  the  opinion  of  Professor  Ferraris,  all  accidents  caused 
by  "civil  fault''  (such  fault  as  carried  with  it  civil  responsibihty 
only)  of  the  employer  or  his  agents  should  be  classed  together  with 
other  accidents  in  the  class  of  trade  risk  and  be  subject  to  obhgatory 
insurance,  while  such  accidents  as  are  due  to  criminal  negligence, 
according  to  the  provisions  (as  estabUshed  by  a  punitive  sentence  of 
a  court),  should  carry  civil  habiUty. 

These  suggestions  were  approved,  and  April  30,  1897,  the  Govern- 
ment introduced  in  the  Senate  a  new  bill  based  upon  them.(^)     In  the 
mam  the  new  bill  was  similar  to  that  adopted  by  the  Chamber  of 
Deputies  May  27,  1896.     It  included  the  same  provisions  for  pre- 
vention of  accidents,  and  endeavored  to  mtroduce  a  system  of  obh- 
gatory   msurance    with    choice    of    insuring   company;  it   covered, 
briefly,  all  minmg  and  manufacturing  estabhshments  employuig  over 
5  persons,  building,  construction,  transportation  on  land  and  inland 
waters,  and  orders  compensation  only  for  injuries  causmg  disabihty 
for  over  ten  days.     While  the  freedom  of  choice  of  the  insurance 
institution  was  provided  for,  it  was  hmited  either  to  the  national 
institution  or  the  employers'  mutual   insurance  associations,  thus 
demonstrating  the  influences  of  German  example  and  experience. 
The  question  of  the  civil  responsibihty  of  the  employers  hi  case  of 
crimmal  neghgence  was  settled  on  the  hues  suggested  by  Professor 
Ferraris,  i.  e.,  the  civil  responsibihty  remained  in  case  of  fraud, 
negligence,  incapacity,  or  failure  to  comply  with  rules  or  orders,  as 
provided  for  in  certain  articles  of  the  penal  code,  if  such  fraud,  etc., 
has  been  estabhshed  by  a  punitive  sentence  of  a  court. 

This  bill  was  sent  to  the  central  bureau  of  the  Senate,  which  brought 
in  its  report  June  22,  1897.  The  only  important  modification  intro- 
duced by  the  commission  was  the  establishment  of  greater  liberty  of 
choice  of  insurance  institution,  and  the  permission  to  establish  inde- 
pendent funds  under  strict  guarantees.  The  bill  was  adopted  by  the 
Senate  with  scarcely  any  changes  July  5,  1897,  and  introduced  in 
the  Chamber  of  Deputies  two  days  later.     The  report  of  the  parlia- 

oRelazione  del  Professore  Carlo  Francesco  Ferraris  sul  Tema:  "Gli  infortuni  del 
lavoro  e  la  legge."  Atti  del  Consiglio  della  Previdenza.  Allegata  B.  pp.  205-322. 
(Ministero  di  Agricoltura,  Industria  e  Commercio,  Divinione  Credit©  e  Previdenza 
Annali  del  Credito  e  della  Previdenza,  1897.) 

b  Bulletin  du  Comit^  Permanent  du  Congrfes  International  des  Accidents  du  Travail 
et  des  Assurances  Sociales,  tome  8,  1897,  pp.  215-228. 


i 


CHAPTER  VII. workmen's  INSURANCE  IN   ITALY.  1709 

mentary  commission  on  this  bill,  brought  in  February   10,    1898, 
showed  that  the  principle  of  trade  risk,  which  had  caused  so  much 
opposition  in  the  earlier  days,  had  become  generally  accepted  by  that 
time.     The  idea  of  free  choice  of  the  insurer  (with  insurance  compul- 
sion) had  as  many  adherents  as  the  method  of  compulsory  insurance 
in  a  designated  institution.     At  the  same  time  the  failure  of  voluntary 
insurance  was  freely  admitted,  as  only  one-tenth  of  the  industrial 
workmen  were  insured  in  the  national  insurance  institution.     The 
commission  recommended  the  adoption  of  the  law,  and  after  prolonged 
discussion  it  was  adopted  by  172  votes  agamst  60  on  March  13.     It 
was  approved  and  became  a  law  March  17,  1898,  promulgated  March 
31,  1898,  and  went  into  effect  six  months  later,  Septeniber  30,  1898. 
The  law  of  1898  provided  compensation  for  all  injuries  caused  by 
industrial  accidents  and  leading  to  death  or  disabihty  lasting  more 
than  five  days.     It  was  applicable,  first,  to  mines  and  quarries,  build- 
ing, gas-producing,  electric-power  establishments,  such  establishments 
where  explosives  are  produced  or  utilized;  second,  railroad  transpor- 
tation, inland  navigation,  tramways,  and  construction  works;  and, 
finally,  to  industrial  estabhshments  utiUzmg  mechanical  or  animal 
power  and  employing  more  than  five  persons.     Within  these  branches 
of  industry  it  appUed  to  workmen,  apprentices,  and  overseers  receiv- 
ing not  more  than  7  lire  ($1.35)  per  day.     No  exception  is  made  for 
accidents  due  to  gross  negligence  of  employees,  but  when  the  accident 
is  due  to  willful  misconduct,  as  established  by  a  judicial  conviction, 
the  person  or  institution  paying  the  compensation  may  be  reimbursed 
through  a  criminal  action. 

The  scale  of  compensation  established  was  briefly  as  follows:  In 
case  of  death  or  total  permanent  disability  an  amount  equal  to  5  times 
the  annual  wages,  with  a  minimum  of  3,000  lire  ($579)  in  the  latter 
case;  a  proportionate  amount  in  case  of  partial  permanent  disabihty; 
in  case  of  total  temporary  disabihty— a  daily  compensation  equal  to 
one-half  the  average  wages  from  the  sixth  day  on,  and  a  correspondhig 
portion  in  case  of  partial  temporary  disabihty.  The  compensation 
for  death  or  permanent  disability  is  paid  in  a  lump  sum,  except  in 
case  of  total  permanent  disability,  when  it  must  be  converted  into  a 
life  pension  for  the  injured  employee  with  a  designated  financial 

institution. 

For  the  payment  of  this  scale  of  compensation,  the  employers  were 
required  to  insure  their  specified  employees  either  in  the  National 
Accident  Insurance  Institution  or  in  authorized  private  insurance 
societies,  while  for  public  establishments,  whether  of  the  State  or 
provincial  or  communal  governments  the  national  institution  is  pre- 
scribed; under  certain  conditions  an  employers'  association  for  mutual 
insurance  against  accidents,  or  even  a  private  employer's  msurance 
fund  could  be  substituted;  government  estabhshments  for  which  pro- 


1710 


REPORT  OF  THE   COMMISSIONER  OF  LABOR. 


vision  has  been  made  by  special  legislation  are  relieved  from  this 
obligatory  insurance.  Compliance  with  this  law  reheved  the  em- 
ployer from  his  responsibility  under  the  civil  law  except  in  such  cases 
when  he  or  his  agents  are  criminally  responsible  for  the  accidents  as 
established  by  judgment  of  a  court. 

Perhaps  the  most  important  advance  of  the  law  over  precedmg 
bills  was  the  establishment  of  a  government  fund  for  compensation  of 
injured  employees  who  have  failed  to  receive  the  compensation  due 
them  on  account  of  insolvency  of  the  employer  who  has  failed  to  insure 
his  workers.  Into  that  fund  are  paid  the  indenmities  due  in  case  of 
fatal  accidents,  when  the  persons  killed  leave  no  heirs. 

The  law  contained  several  provisions  concerning  accident  prevention. 
It  required  the  minister  of  agriculture,  industry,  and  commerce  to 
prepare  regulations  after  consultation  with  the  employers  in  the - 
industries  specified  and  with  government  authorities  on  the  subject, 
and  the  failure  to  comply  with  these  regulations  was  made  a  criminal 
offense.  No  special  factory  inspection  was  organized  to  carry  this 
law  into  effect,  but  the  existing  mine  inspectors  and  the  private 
agencies  were  to  be  utilized,  such  as  the  employers'  mutual  insurance 
associations  and  societies  for  j)reventioh  of  acci<lents. 

On  June  1,  1901,  less  than  three  years  after  the  law  of  1898  went 
into  effect,  the  movement  for  amendment  of  the  law  was  started 
by  the  introduction  of  a  bill  by  the  minister  of  agriculture,  industry, 
and  commerce,  in  the  Chamber  of  Deputies.  («)     The  most  important 
changes  suggested  in  this  bill  were  as  follows:  First,  the  extension 
of  the  law  to  the  followmg  industries— the  installation  and  repair  of 
electric  conduit  wires  and  lightning  rods;  deep-sea  navigation  and 
fishing;  loading  and  unloading,  leveUng,  and  grading;  felling  and 
pruning  trees;  all  employees  working  near  industrial  or  agricultural 
machines,  moved  by  mechanical  power,  and  those  employed  to  handle 
cannons  or  other  apparatus  for  counteracting  hail.     For  the  proper 
organization  of  the  msurance  of  persons  employed  in  maritime  navi^ 
gation,  special  regulations  were  included  in  tlie  law  in  view  of  the 
many  pecuHar  conditions  governing  this  industrial  field. 

Second,  important  modifications  were  made  in  the  scale  of  com- 
pensation for  disability.  For  total  permanent  disability  the  compen- 
sation was  increased  from  five  to  six  times  the  annual  wages,  though 
the  minimum  limit  was  left  unchanged.  A  corresponding  increase 
was  proposed  in  the  compensation  for  partial  permanent  disability 
from  five  to  six  times  the  loss  of  annual  earning  power.  According 
to  the  law  of  1898,  only  those  injuries  were  compensated  which 

a  Le  projet  de  loi  portant  modifications  ^  loi  du  17  mars  1898  relative  aux  acci- 
dents  du  travail.    Bulletin  du  Comit^  Permanent  du  Oongr^  International  dee 
Accidents  du  Travail,  tome  12, 1901,  pp.  365-407. 
N 


\ 


I 


CHAPTER  VII. — workmen's  INSURANCE  IN  ITALY.  1711 

caused  disabihty  for  over  five  days,  and  the  payment  of  compensa- 
tion began  with  the  sixth  day.  While  no  change  was  suggested  m 
the  class  of  injuries  compensated,  the  new  bill  proposed  that  in  these 
cases  the  compensation  be  paid  for  the  entire  period  of  disability. 

Third,  a  most  important  change  suggested  was  that  referring  to 
persons  entitled  to  compensation  in  case  of  a  fatal  accident.  The  old 
law  simply  named  the  legal  heirs  according  to  the  Civil  Code.  The 
bill  of  1901  suggested  a  compHcated  schedule  showing  the  distribu- 
tion of  the  compensation  between  the  widow  and  children  and  the 
other  relatives  in  descending  or  ascending  line.  More  exact  methods 
of  computing  the  annual  earnings  of  the  injured  employees,  for  the 
purpose  of  determining  the  amount  of  compensation  due,  were  also 

introduced.  ^ 

Fourth,  the  original  law  exempted  from  the  obligation  of  insurance 
at  fixed  premiums  in  the  National  Accident  Insurance  Institution  or 
private  insurance  companies  such  establishments  as  formed  employ- 
ers' mutual  accident  insurance  associations,  which  distribute  the  cost 
by  assessment  of  the  membership.  Notwithstanding  this  effort  to 
stimulate  employers'  mutual  associations,  only  four  such  associations 
had  been  formed.  The  new  bill  gave  the  Government  the  right  to 
make  the  formation  of  such  mutual  associations  compulsory  if  after 
consultation  with  local  interests  it  found  such  a  step  necessary.  As 
was  explamed  in  the  memorial  accompanying  the  bill,  the  provision 
was  aimed  directly  at  the  sulphur  mines  of  Sicily,  which  caused  great 
difficulties  to  insurance  companies  writing  accident  insurance  for 
them,  because  of  the  frequency  of  accidents. 

Other  changes  suggested  referred  mainly  to  methods  of  procedure 
and  were  of  minor  importance. 

The  government  bill  was  referred  to  a  parliamentary  commission, 
•  which  handed  in  a  favorable  report  December  30, 1901,  indorsing  most 
changes  recommended  by  the  Govermnent,  but  suggesting  several 
minor  changes,  of  which  the  most  important  were  as  follows:  Instead 
of  all  deep-sea  fishing,  only  that  within  10  kilometers  (6.2  miles)  and 
the  fishing  for  sponges  and  corals  was  included;  to  felling  and  pruning 
trees  the  work  of  transporting  them  to  the  rivers  or  the  wagon  roads 
were  added ;  the  absence  of  indenmity  during  the  first  five  days  of 
temporary  disability  was  reestablished  in  accordance  with  the  law  of 
1898.  The  right  to  establish  obligatory  employers'  insurance  associa- 
tions was  limited  to  the  Sicilian  sulphur  mines. 

The  bill  passed  the  Chamber  April  22,  1902,  with  a  great  number  of 
further  mmor  changes.  The  most  important  were  as  follows:  The 
addition  of  transportation  of  merchandise  by  land  and  construction 
and  repair  of  ships;  a  minimum  annual  wage  of  500  lire  ($96.50)  was 
estabUshed  as  a  basis  for  computing  indemnity  for  partial  permanent 


1712 


EEPORT    OF    THE    COMMISSIONER   OF    LABOR. 


disability;  the  brothers  and  sisters  of  the  deceased,  under  18  years  of 
age,  were  given  a  right  to  compensation  in  absence  of  nearer  relatives; 
the  provisions  of  the  government  bill  concerning  t  he  payment  of  (com- 
pensation during  the  first  five  days  of  disability  were  restored,  though 
struck  out  by  the  commission;  in  cases  of  partial  permanent  dis- 
ability with  loss  of  50  per  cent  of  earning  capacity  or  more,  the  pay- 
ment of  a  life  annuity  instead  of  a  lump  sum  tlirough  the  national 
invalidity  insurance  institution  was  made  obligatory;   the  general 
right  of  the  Government  to  establish  compulsory  employers'  mutual 
insurance  associations  was  reasserted ;  and  several  other  changes  were 
introduced,  mostly  in  favor  of  the  interests  of  the  insured  employees. 
The  bill  was  introduced  in  the  Senate  April  30,   1902.     It  waa 
referred  to  the  central  office  of  the  senate  and  reported  back  Feb- 
ruary 7,  1903,  again  with  numerous  changes,  in  >\  hich  were  embraced 
the  following  points:  The  law  was  further  extended  to  the  tearing 
down   of   structures,    and    all   land    transportation.     The    form    of 
annuities  lasting  until  the  age  of  18,  but  twice  a.s  great  before  the  age 
of  12  as  from  12  to  18,  was  substituted  for  lump-sum  payments  in 
paying  compensation  to  minor  children  or  brothers  and  sisters;  and 
for  the  relatives  in  an  ascending  line  annuities  were  also  made  com- 
pulsory instead  of  lump-sum  payments.     In  general  the  pension  idea 
gained  in  popularity,  and  payment  of  lump  sums  was  made  conditional 
upon  the  demand  of  the  victim.     A  special  scale  of  compensation, 
lower  than  the  general  scale,  was  prepared  for  seamen.     In  addition, 
the  central  office  of  the  Senate  suggested  the  passage  of  a  resolution 
inviting  the  Government  to  present  by  the  end  of  1904  a  bill  for  the 
establishment  of  a  simplified,  more  rapid,  and  less  costly  procedure  for 
settlement  of  disagreements,  and,  secondly,  to  elaborate  a  bill  for  the 
obligatory  insurance  against  trade  diseases. 

A  few  minor  changes  were  introduced  on  the  floor  of  the  Senate, 
some  of  these  of  material  advantage  or  extenfling  the  application  of 
the  law;  thus,  while  the  text  previously  included  employees  in  agri- 
culture handling  machines  moved  by  mechanical  power,  tliis  was 
changed  so  as  to  include  all  machines  moved  by  any  power  other  than 
by  the  employees  tending  the  machine.  The  right  to  establish 
obligatory  employers'  mutual  insurance  associations  was  further 
enlarged,  so  that  no  evidence  of  necessity  was  required;  the  evidence 
of  feasibility  was  sufficient. 

The  bill  passed  the  Senate  April  3,  1903,  was  reintroduced  in  the 
Chamber  of  Deputies  May  12,  1903,  referred  to  the  commission  which 
reported  June  25,  1903,  in  favor  of  agreeing  to  the  form  of  the  bill  as 
it  passed  the  Senate,  and  without  further  changes  the  bill  was  so 
passed  June  28,  and  was  approved  and  became  a  law  June  29,  1903. 
Thus  two  years  were  consumed  in  the  process  of  amending  the  law  of 


t 


4 


CHAPTER  VII. workmen's   INSURANCE  IN   ITALY.  1713 

1898.     But  the  resulting   law  was   considerably  broader  than  the 
original  act  and  a  great  many  crudities  were  eUminated. 

In  accordance  with  a  provision  in  the  act  of  June  29,  1903,  the  text 
of  the  older  law  was  codified  with  that  of  the  act  of  June  29,  1903,  and 
the  new  consolidated  text  of  the  law  was  promulgated  by  royal  decree 
of  January  31,  1904. 

LEGISLATION  IN  FORCE. 

The  codified  text  of  the  law,  as  published  by  royal  decree  of  Jan- 
uary 31,  1904, («)  is  the  basis  of  the  accident  insurance  system  m 
force  at  present.     This  is  supplemented  by  the  regulations  published 
by  the  royal  decree  of  March  13, 1904;('')  the  royal  decree  of  May  15, 
1904, C^)  referring  to  slight  details  of  the  special  guarantee  fund  as 
established  by  article  37  of  the  law  of  January  31,  1904;  the  law  of 
July  11,  1904;C^)  the  royal  decree  of  July  11,  1904;  and  the  royal 
decree  of  September  29,  1904, («)  concerning  the  special  provisions 
for  the  Sicilian  sulphur  mines.     The  royal  decree  of  August  27, 
1905,(/)  refers  to  the  insurance  of  seamen.     The  royal  decree  of 
December  24,  1903, (^)  concerning  the  modification  of  existing  acci- 
dent insurance  contracts,  in  view  of  the  changes  in  the  law,  had  tem- 
porary importance  only.     A  royal  decree  of  December  13,  1903,^^) 
establishes  a  table  of  coefficients  for  computing  the  respective  shares 
of  claimants  of  indemnity  for  fatal  accidents.     By  another  royal 
decree  of  the  same  date(»)  the  new  regulations  governing  the  National 
Accident  Insurance  Institution  were  approved  and  a  new  scale  of 
insurance  premiums  established. 

INDUSTRIES    INCLUDED. 

The  law  now  covers  the  following  branches  of  industry: 
First.  The  more  hazardous  employments,  viz,  work  in  mines,  quar- 
ries, and  peat  bogs,  also  the  working  of  the  raw  material  and  the 
loading  and  transportation  to  the  shipping  point  and  unloading  of 
the  product;  the  construction,  repair,  and  tearing  down  of  buildings, 

a  Italian  text:  Annali  del  Credito  e  della  Previdenza,  1904,  No.  55,  p.  1.  German 
and  Italian  text:  Zacher,  Via,  pp.  26,  27.     French  text:  Annuaire  de  la  Legislation 

du  Travail,  1904,  p.  375.  „^    r,    x, 

6  Italian  text:  Annali  del  Credito  e  della  Previdenza,  1904,  No.  55,  p.  30;  Zacher 
Via,  p.  46.  German  text:  Zacher,  Via,  p. 47.  French  text:  Annuaire  de  la  Legisla- 
tion du  Travail,  1904,  p.  400. 

c  Annali  del  Credito  e  della  Previdenza,  1904,  p.  132. 

d  Annali  del  Credito  e  della  Previdenza,  1904,  No.  55,  p.  129. 

«  Bolletino  di  Notizie  sul  Credito  e  sulla  Previdenza,  1904,  p.  1643. 

/  Annuaire  de  la  Legislation  du  Travail,  1905,  p.  463. 

g  Annali  del  Credito  e  della  Previdenza,  1904,  No.  55,  p.  125.  Annuaire  de  la  Leg- 
islation du  Travail,  1904,  p.  464.  .      J    1    T      • 

h  Annali  del  Credito  e  della  Previdenza,  1904,  No.  55,  p.  89.  Annuaire  de  la  Legis- 
lation  du  Travail,  1903,  p.  314. 

i  Annuaire  de  la  Legislation  du  Travail,  1903,  p.  353. 


1714 


REPORT   OF   THE   COMMISSIONER  OF   LAROR. 


whether  in  the  city  or  in  the  country,  also  including  the  loading, 
transportation,  and  unloading  of  the  construction  materials;  gas 
works,  electric  power  houses,  and  the  transmission  of  gas  and  elec- 
tricity; telephones;  the  placing,  repairing,  and  taking  down  of  elec- 
tric conductors  and  lightning  rods;  arsenals,  shij)  yards  (except  such 
as  do  not  build  any  craft  with  a  displacement  of  over  10  tons),  and 
all  industrial  establishments  in  which  explosives  are  manufactured  or 
used.  In  this  group  all  establishments  are  included  without  regard 
to  the  number  of  employees. 

Second.  All  establishments  in  the  following  industries  which 
employ  more  than  five  workers:  The  construction  and  operation  of 
steam  railways,  or  other  railways  driven  by  mechanical  power;  trans- 
portation on  land,  rivers,  canals,  and  inland  lakes,  or  deep-sea  navi- 
gation; deep-sea  fishing  within  10  kilometers  (6.2  miles)  from  the 
shore,  and  all  sponge  and  coral  fishing;  loading  and  unloading; 
irrigation  works,  drainage  and  reclamation,  and  leveling  and  grading 
works;  felling  and  chopping  trees  in  forests;  transportation  of  logs 
and  wood  to  the  wagon  road  or  to  the  river  front  and  depositing  the 
logs  in  the  rivers;  construction  and  repair  of  harbors,  canals,  dams, 
bridges,  tunnels,  and  roads;  and  the  construction,  repair,  and  demo* 

lition  of  ships. 

Third.  All  other  industries  or  establishments  which  utilize  steam 
engines  or  machinery  not  driven  by  the  person  who  tends  it,  and 
which  employ  more  than  five  persons.  All  employees  of  these  estab- 
lishments, even  if  not  engaged  in  handling  the  machinery,  are  included. 

Findly,  the  work  of  tending  machinery  driven  by  meclianical 
power  and  utilized  for  industrial  or  agricultural  purposes;  service 
with  cannon  and  other  firearms,  used  to  break  up  hailstorms;  and 
the  commissary  department  of  the  navy.  Establishments  utilizing 
machinery  temporarily  only,  or  connected  with  educational  institu- 
tions and  used  for  the  purpose  of  instruction,  or  with  hospitals, 
asylums,  or  other  charitable  institutions,  are  exempted,  except  that 
those  persons  who  tend  the  machinery  must  be  insured. 

This  very  detailed  enumeration  of  industries  included  under  the 
law  may  be  thus  briefly  summarized:  All  mining  work,  all  building, 
practically  all  construction  work,  transportation,  and  all  manufac- 
turing industry  with  the  exception  of  the  hand  trades.  The  large 
branches  of  economic  activity  which  are  not  included  are  commerce, 
agriculture  (except  lumbering  and  tending  agricultural  machinery), 
and  domestic  service. 

Cooperative  establishments  are  subject  to  the  provisions  of  the 
law  on  equal  terms  with  other  establishments,  and  the  members  of 
the  cooperative  group,  if  working  in  the  establishments,  must  be 
insured  like  other  employees. 


t 


+ 


CHAPTER  VII. workmen's  INSURANCE  IN   ITALY.  1715 

The  law  also  extends  over  the  establishments,  undertakings,  or 
construction  work  of  the  state,  provincial,  or  communal  governments, 
or  operated  by  private  persons  or  corporations  under  a  franchise 
(concession)  from  the  Government. 

PERSONS   INSURED. 

The  law  applies  to  all  workmen  employed  in  the  establishments 
and  branches  of  industry  enumerated  above,  and  working  outside  of 
their  own  homes,  whether  at  time  or  piece  wages;  also  persons 
employed  in  a  supervising  capacity  receiving  not  more  than  7  lires 
($1.35)  per  day  and  who  are  paid  at  least  once  a  month;  to  appren- 
tices employed  in  the  work,  whether  with  or  without  pay.  Work- 
men who  are  hired  and  paid  by  other  workmen  in  the  establishment 
are  considered  for  this  purpose  as  direct  employees  of  the  establish- 
ment. The  Italian  law  thus  differs  materially  from  the  laws  of  some 
other  European  countries,  in  that  it  does  not  include  the  office 
employees  of  industrial  establishments  or  enterprises. 

In  deep-sea  navigation  all  members  of  the  crew  who  receive  not 
more  than  2,100  lire  ($405.30)  per  annum  are  included. 

CHARACTER   OF   DISABILITY   COMPENSATED. 

The  law  grants  compensation  to  the  workman  for  all  the  injuries 
sustained  because  of  the  employment,  and  causing  disability  lasting 
over  five  days.  There  is  no  reference  to  the  specific  cause  of  the 
accident,  the  whole  question  of  negligence,  even  if  gross,  having  been 
entirely  eliminated  from  the  Itahan  law.  However,  if  the  accident 
is  due  to  the  willful  misconduct  of  the  injured,  as  established  by 
means  of  a  penal  decision  of  the  court,  the  beneficiary  may  be  sued 
for  the  amount  of  compensation. 

BENEFITS. 

The  compensation  granted  by  the  law  consists  of  the  following: 
First,  medical  aid;  in  case  of  temporary  disability,  one-half  the  daily 
wages;  in  case  of  total  permanent  disability,  an  amount  equal  to  six 
times  the  annual  earnings,  and  a  proportionate  sum  in  partial  perma- 
nent disability;  and  in  case  of  death,  five  times  the  annual  earnings. 

For  seamen  in  deep-sea  navigation  the  scale  is  considerably  lower, 
namely,  four  years'  earnings  for  total  disability  and  three  years' 
earnings  for  fatal  accidents. 

The  essential  feature  of  this  scale  of  compensation  is  that  it  is 
based  upon  lump-sum  payments,  and  though  in  some  cases  conver- 
sion into  pensions  or  annuities  is  compulsory,  as  is  explained  pres- 
ently, yet  these  amounts  of  annuities  depend  upon  the  lump  sum. 


1716 


REPORT   OF   THE   COMMISSIONER  OF   LABOR. 


The  Italian  law  does  not  attempt  to  cover  the  entire  cost  of 
medical  and  surgical  treatment,  as  some  other  European  compensa- 
tions do. 

Medical  Attendance. — Medical  help  to  the  injured  is  limited  to 
the  cost  of  first  aid  to  the  injured  and  the  cost  of  transportation  to 
the  home,  or  to  any  other  place  where  the  injured  person  must  be 
taken,  and  that  of  the  medical  certificate.  This  expense  must  be 
met  by  the  employer  directly,  no  matter  how  the  other  compensation 

is  paid. 

Employers  who  have  organized  a  regular  medical  and  pharma- 
ceutical service  for  first  aid  to  the  injured,  or  who  have  contracted 
for  such  help  with  the  ItaUan  Red  Cross  Society,  may  be  freed  by 
the  order  of  the  prefect  from  meeting  the  cost  of  medical  help  in  any 
other  way,  provided  the  arrangements  are  satisfactory  to  the  })refect. 

Only  seamen  receive  full  medical  help.  As  they  are  granted  free 
medical  treatment  during  ilhiess  or  injury  by  an  older  provision  of 
the  Commercial  Code,  the  law  specifically  states  that  these  rights 
are  not  destroyed  by  the  new  act. 

Temporary  Disability.— When  the  injury  caused  by  the  accident 
leads  to  total  temporary  disability,  the  injured  person  receives  a 
daily  allowance  equal  to  one-half  his  wage  at  the  time  of  the  accident 
for  all  the  time  of  the  disability.  Unhke  most  other  accident  insur- 
ance or  compensation  acts,  the  ItaUan  law  recognizes  besides  total 
temporary  disabiUty  also  the  case  of  partial  temporary  disabihty. 
The  compensation  for  such  disability  (leading  to  a  diminution  but 
not  entire  loss  of  earning  power  for  a  limited  time)  is  a  daily  allow- 
ance equal  to  one-half  the  loss  in  wages,  paid  for  all  the  time  of 
disability.  All  allowances  for  temporary  disability  are  paid  for  all 
days  including  holidays,  but  the  day  of  accident  is  not  counted. 

Permanent  Disability. — The  compensation  for  total  permanent 
disability  is  equal  to  six  times  the  annual  eamhigs,  but  not  less  than 
3,000  fire  (S579).  If  the  disability  though  permanent  is  only  partial, 
leading  to  decrease  but  not  total  loss  of  earning  capacity,  the  com- 
pensation is  equal  to  six  times  the  loss  in  annual  earnings,  but  for 
the  purposes  of  this  computation  the  annual  earnings  must  be  taken 
at  not  less  than  500  lire  ($96.50).  In  either  case,  whether  the  per- 
manent disability  be  total  or  partial,  the  indemnity  is  exclusive  of 
the  allowances  for  temporary  disabiUty  for  the  first  three  months.  If 
such  allowances  have  been  paid  for  a  longer  period,  the  excess  of  pay- 
ments over  three  months  is  deducted  from  the  compensation  finally 
computed.  If  the  compensation  due  to  partial  permanent  disabiUty 
is  smaller  than  the  allowances  paid  or  due  to  be  paid  for  temporary 
disability,  then  the  injured  employee  has  the  right  to  this  larger 
amount  instead  of  the  compensation  for  partial  permanent  disabiUty. 


chapter  VII. workmen's  insurance  in   ITALY.  1717 

To  determine  the  degree  of  partial  disabiUty  from  the  injury  sus- 
tained, the  following  scale  is  estabUshed  by  the  regulations: 

Per  cent. 

Lose  of  the  entire  right  arm  or  up  to  upper  third -  - ^0 

Loss  of  the  entire  right  forearm  or  of  the  left  arm  up  to  the  upper  thurd 75 

Loss  of  the  entire  left  forearm  or  of  all  fingers  of  the  right  hand 70 

Loss  of  all  fingers  of  the  left  hand ^ 

Loss  of  the  right  thumb ^ 

Loss  of  the  left  thumb 

Loss  of  the  last  joint  of  the  right  thumb |^ 

Loss  of  the  last  joint  of  the  left  thumb 

Loss  of  the  middle  or  ring  finger ^ 

Loss  of  a  finger  joint 

Loss  of  a  thigh — 

Loss  of  leg  up  to  upper  third 

Loss  of  lower  third  of  leg  or  foot 

Loss  of  big  toe,  and  corresponding  part  of  foot ^^ 

Loss  of  big  toe  alone 

Loss  of  any  other  toe  does  not  give  right  to  any  compensation. 

Loss  of  more  than  one  toe,  per  toe 

Complete  deafness  of  one  ear • 

Total  loss  of  sight  in  one  eye 

Total  and  incurable  loss  of  function  is  rated  as  equivalent  to  loss 
of  part  or  organ.  In  case  of  loss  of  several  parts  or  organs  or  of  any 
injury  not  mentioned,  the  degree  of  disability  must  be  decided  upon 

the  merits  of  each  case. 

When  the  permanent  disabiUty  is  total  or  over  50  per  cent,  then 
the  computed  compensation  must  be  converted  into  a  life  annuity, 
for  which  purpose  the  National  Old -Age  and  InvaUdity  Insurance 
Institution  is  utiUzed.     Such  conversion  is  not  made  immediately, 
however,  because  of  the  possibility  that  the  origmal  estmiate  of  the 
degree  or  duration  of  disability  may  not  have  been  accurate.     The 
compensation  granted  is,  therefore,  turned  over  m  trust  for  two 
years  to  the  old-age  insurance  institution,  and  monthly  aUowances 
are  paid  to  the  injured  person  equal  to  the  annuity  which  he  could 
purchase  with   that  amount  of   compensation.     During  these  two 
years  adjustments  are  made,  as  will  be  explained  later  in  discussmg 
the  subject  of  ''revision."     After  two  years  the  remauxing  sum  (dis- 
countmg  the  payments  and  making  the  necessary  adjustments  as  a 
result  of  the  revision,  if  any)  is  converted  into  an  annuity,  though 
in  exceptional  cases  the  magistrate  may,  upon  petition  of  the  injured 
employee  made  within  fourteen  days  after  the  expiration  of  the  two 
years'  limit,  permit  the  payment  of  the  residual  amount  in  a  lump 
sum  instead  of  an  annuity. 

If  the  injured  person  dies  within  the  two  years  as  a  result  of  the 
accident,  the  remaining  compensation  (possibly  adjusted  as  a  result 
of  a  revision)  is  treated  in  the  same  way  as  compensation  granted  in 


ir 


1718 


BEPOET  OF  THE  COMMISSIONER  OF   LABOR. 


|1; 


case  of  death;  if  the  death  is  not  due  to  the  original  accident,  the 
remaining  amount  of  the  compensation  is  paid  to  the  legal  heirs 
according  to  the  civil  law. 

These  complex  provisions  are  evidently  necessary  because  of  the 
lump-sum  basis  for  measuring  compensation.  The  actual  amoimt 
of  the  annuity  is  dependent  upon  the  age,  the  value  of  the  annuity 
purchasable  with  a  definite  amount  increasing  with  age.  Another 
peculiarity  due  to  the  system  of  lump-sum  payments  is  that  in  the 
case  of  death  of  the  beneficiary  within  two  years  from  the  day  of  the 
accident,  if  the  death  was  m  no  way  connected  with  the  original  acci- 
dent, the  legal  heirs  inherit  the  bulk  of  the  compensation,  for  the 
annuity  is  not  purchasable  until  the  end  of  the  two  years. 

Compensation  for  Death. — Compensation  fur  death  is  equal  to 
five  times  the  annual  earnings  of  the  victim,  except  that  in  deep-sea 
navigation  the  amount  is  smaller,  equal  to  three  times  the  annual 
earnings  only.  This  definite  sum  must  be  distributed  among  the 
dependent  members  of  the  family  as  provided  for  in  the  following 

complicated  rules: 

The  dependent  relatives  are  the  consort,  children  or  other  descend- 
ants under  18  years  or  disabled;  parents  or  other  ascendants;  and 
dependent  brothers  and  sisters  under  18  years  or  disabled. 

The  surviving  consort  (of  either  sex)  receives — 

Two-fifths  of  the  compensation,  if  there  are  children  or  other 
dependent  descendants  under  18  years  of  age  or  disabled  because  of 
some  physical  or  mental  defect ;  these  descendants  receiving  the  other 

three-fifths. 

One-half  of  the  compensation,  if  there  are  no  children  or  other 
descendants  of  the  classes  described  but  dependent  relatives  in  an 
ascending  line  survive;  these  relatives  receiving  the  other  half. 

Three-fifths  of  the  compensation,  if  there  are  no  dependent  rela- 
tives either  in  an  ascending  or  descending  line,  but  dependent 
brothers  or  sisters  under  18  years  of  age  or  disabled  because  of  some 
physical  or  mental  defect;  these  brothers  or  sisters  receiving  the 
remaining  two-fifths. 

The  entire  amount  of  compensation  if  no  dependent  relatives  of 
the  classes  described  survive. 

If  the  surviving  consort  had  been  divorced  from  the  deceased 
through  some  fault  of  the  consort,  he  or  she  is  not  entitled  to  any 
compensation  at  all. 

The  surviving  children  (legal  or  natural)  under  18  years  of  age  and 
other  dependent  relatives  in  a  descending  fine  leceive  three-fifths  of 
the  compensation  if  the  other  parent  survives  and  the  entire  amount 
if  no  parent  survives. 


B 

) 

V 

m 

CHAPTER  VII. workmen's  INSURANCE  IN   ITALY.  1719 

The  compensation  due  to  aU  the  children  together  is  to  be  distrib- 
uted among  them  in  such  a  way  that  each  child  receives  an  amount 
sufficient  to  purchase  a  limited  annuity  of  equal  value  for  those  under 
12  years  of  age;  after  reaching  the  age  of  12  the  annuity  is  reduced 
one-half  until  the  age  of  18  is  reached,  when  the  payments  cease. 

If  among  the  descendant  heirs  there  are  any  who  are  incapacitated 
from  earmng  a  fivehhood  because  of  any  physical  or  mental  defect 
the  share  of  the  indemnity  to  be  given  to  him  Is  determined  by  the 
pretor  (justice  of  the  peace)  and  against  his  decision  there  is  no  appeal 
The  remainder  is  distributed  among  the  other  children  accordincr  to 
the  rules  explained  above.  '^ 

The  relatives  in  an  ascending  fine  are  entitled  to  compensation  only 
when  no  dependent  children  survive.  They  receive  one-half  of  the 
compensation  when  tlie  consort  survives,  or  the  entire  amount  of 
compensation  when  neither  children  nor  consort  survive  The 
amount  due  to  all  relatives  in  an  ascending  line  is  distributed  amon<r 
them  m  such  a  way  as  to  provide  them  with  equal  fife  annuities.      "^ 

Dependent  brothers  or  sisters  under  18  years  of  age,  or  incapacitated 
from  earmng  a  hving  because  of  some  physical  or  mental  defect,  are 
entitled  to  compensation  only  when  no  dependent  children  and  no 
relatives  m  the  ascending  fine  survive.  Thev  receive  two-fifths  of 
the  compensation  if  the  deceased  is  survived  by  the  consort,  and  the 
entire  amount  of  compensation  if  they  are  the  only  surviving  rela- 
tives recogmzed  under  the  law.  The  distribution  of  the  total  amount 
of  compensation  among  these  brothers  and  sisters  is  to  be  made 
accordmg  to  the  same  rules  which  govern  the  distribution  of  the  com- 
pensation among  the  descendants. 

The  distribution  of  the  indemnities  prescribed  by  these  compficated 
rules  must  be  efl"ected  according  to  special  computation  tables  pre- 
pared by  the  minister.  («) 

These  tables  of  coefficients  were  pubfished  by  the  royal  decree  of 
Dec^eniber  13  1903,  and  are  given  below.  They  are  based  upon  the 
probabdity  of  hfe,  and  in  the  case  of  the  first  table  for  minor  depend- 
ents,  also  upon  the  length  of  time  the  annuity  has  to  run. 

The  method  of  using  these  tables  of  coefficients  is  simple.  The 
coefhcients  of  individual  dependents  belonging  to  the  same  group 
(1.  e.  either  descendants,  or  brothers  and  sisters,  or  ascendants)  are 
added  together  and  the  total  amount  due  to  that  group  is  divided  by 
this  sum  of  coefficients;  the  quotient  is  then  multiphed  by  the  coef- 
ncient  of  each  dependent  to  ascertain  his  or  her  share. 

f^i^^re^'^Ju".  ""^  '^V^""'  ^^"^"^"^  '^^  minister  is  mentioned  the  minister  of 
agriculture,  industry,  and  commerce  is  meant  unless  otherwise  sUted. 

67725°-voL  2-11 15 


I 


1720 


BEPOBT   OF   THE   COMMISSIONER   OF   LABOR. 


TABLE  OF  COEFFICIENTS  FOR  USE  IN  COMPUTING  THE  SHARES  OF  THF  QWItt^at 
DEPENDENT  RELATIVES  ENTITLED  TO  COMPENSATlSt  UNDER  THE  L^^^^^^^ 
MINOR  DEPENDENTS  (DESCENDANTS  AND  BROTHERS  AND  SISTERS). 


Age. 


UndOT  1  month 

1  to  2  months.. 

2  to  3  months... 

3  to  4  months... 

4  to  5  months... 

5  to  6  months... 

6  to  7  months... 

7  to  8  months... 

8  to  9  months... 

9  to  10  months.. 

10  to  11  months. 

11  to  12  months. 


Coeffi- 
cient. 


79 
80 
81 
82 
83 
84 
85 
86 
87 
88 
89 
90 


Age. 


Coeffi- 
cient. 


1  to  IJ  years. 
1§  to  2  years. 

2  to2J  years. 
2 J  to  3  years. 

3  to3i  years. 
^  to  4  years. 

4  to  4.J  years. 
4 J  to  5  years. 

5  to6i  years. 
5|  to  6  years. 

6  to  6 J  years. 
6tto7  years., 


91 
92 
93 
92 
91 
89 
86 
84 
81 
78 
75 
71 


Age. 


7  to  7 J  years. . 
7 J  to  8  years . . 

8  to  8i  years. 
8i  to  9  years.. 

9  to 9J  years.. 
9i  to  10  years . . 

10  to  lOi  years. 
10 J  to  11  years. 

11  to  Hi  years, 
llj  to  12  years. 

12  to  12i  years . 
12J  to  13  years. 


Coeffi- 
cient. 


Age. 


68 

65 

61 

67 

53 

49 

45 

41 

36 

32 

27 

25 


13  to  13* 
13J  to  14 

14  to  14i 
14§tol5 

15  to  15^ 

15  J  to  16 

16  to  16i 
16J  to  17 

17  to  17J 
17i  to  18 


years, 
years, 
years, 
years, 
years, 
years, 
years, 
years, 
years, 
years. 


DEPENDENTS  IN  ASCENDING  LINE. 


Age. 


22  to  22J  years 
22J  to  23  years, 

23  to  23i  years. 
23J  to  24  years. 

24  to  24 J  years. 
24i  to  25  years. 

25  to  25i  years. 
25i  to  26  years. 

26  to  26i  years. 
26J  to  27  years. 

27  to  27§  years. 
27i  to  28  years. 

28  to  28 j  years. 
28J  to  29  years. 

29  to  29i  years. 
29i  to  30  years. 

30  to  30*  years. 
30i  to  31  years. 

31  to  31 J  years. 
3U  to  32  years. 
32"to  32*  years. 
32.i  to33years. 

33  to  33i  years. 
33 J  to  34  years. 

34  to  34 J  years. 
34 J  to  35  years. 

35  to  35*  years. 
35^  to  36  years. 

36  to  3CJ  years. 
36J  to  37  years., 

37  to  37i  years., 
37Ho  38  years.. 

38  to  38i  years., 
38i  to  39  years.. 

39  to  39  J  years.. 
39i  to  40  years.. 

40  to  40i  years. . 
40*  to  41  years.. 

41  to  41 J  years. . 


Coeffi- 
cient. 


203 

202 

201 

200 

200 

199 

198 

197 

196 

195 

195 

194 

193 

192 

191 

190 

189 

188 

187 

186 

185 

184 

183 

182 

181 

179 

178 

177 

176 

175 

174 

173 

172 

170 

169 

168 

167 

165 

164 


Age. 


41J to 42  years.. 

42  to  42  J  years.. 
42J  to 43  years.. 

43  to 43* years.. 
43^  to  44  years, . 

44  to  44J  years, . 
44J  to 45 years.. 

45  to45i  years.. 
45i  to 46 years.. 

46  to  46J  years. . 
46J  to  47  years. . 

47  to  47*  years. . 
47J  to  48  years.. 

48  to  48^  years.. 
48J  to  49  years.. 

49  to  49^  years., 
49*  to  50  years.. 

50  to  50*  years., 

50  J  to  51  years.. 

51  to  51*  years. . 
51 J  to  52  years. . 

52  to  52  J  years.. 
52J  to  53  years, , 

53  to  53i  years. . 
53i  to  54  years. . 

54  to  54J  years. . 
54J  to  55  years. . 

55  to55J  years. . 
55J  to  56  years. . 

56  to  56J  years. . 
56J  to  57  years. . 

57  to  57  J  years.. 
57J  to  58  years, . 

58  to  58 J  years. . 

58  J  to  59  years.. 

59  to  59 J  years.. 
59J  to  60  years.. 

60  to  60i  years.. 
60J  to  61  years, , 


Coeffi- 
cient. 


162 
161 
159 
158 
156 
155 
154 
153 
151 
150 
148 
147 
145 
■  144 
142 
140 
138 
137 
135 
134 
132 
130 
128 
126 
124 
123 
121 
120 
118 
116 
114 
112 
110 
109 
107 
105 
103 
102 
100 


Age. 


61  to  61^  years 
61J  to  62  years 

62  to  62J  years 
62i  to  63  years 

63  to  63 J  years . 
63J  to  64  years. 

64  to  64i  years. 
64J  to  65  years . 

65  to  65J  years . 
65J  to  66  years . 

66  to  66 J  years . 
66^  to  67  years. 

67  to  67i  years. 
67*  to  68  years. 

68  to  68J  years. 
68i  to  69  years. 

69  to  69J  years. 
69i  to  70  years . 

70  to  70J  years . 
70J  to  71  years . 

71  to  71*  years. 
71J  to  72  years. 

72  to  72 J  years. 
72J  to  73  years . 

73  to  73 J  years. 
73 J  to  74  years . 

74  to  74  J  years - 
74 J  to  75  years. 
75to75§  years. 
75 J  to  76  years. 

76  to  76 J  years. 
76J  to  77  years.. 

77  to  77 J  years. 
77J  to  78  years.. 

78  to  78 J  years. . 
78J  to  79  years. . 

79  to  79*  years.  . 
79J  to  80  years.. 

80  to  80J  years. 


Coeffi- 
cient. 


98 

96 

94 

92 

90 

88 

87 

85 

84 

82 

80 

78 

77 

75 

74 

73 

72 

70 

69 

67 

66 

64 

63 

61 

60 

58 

67 

55 

54 

53 

52 

51 

50 

49 

49 

48 

47 

46 

45 


Age. 


80i  to  81  years. 

81  to  81*  years. 
81J  to  82  years. 

82  to  82*  years, 
82i  to  83  years. 

83  to  83 J  years. 
83i  to  84  years. 

84  to  84*  years. 
84J  to  85  years. 

85  to85i  years. 
85J  to  86  years. 

86  to  86|  years. 
86J  to  87  years. 

87  to  87 J  years. 
87 J  to  88  years. 

88  to  88J  years. 
88J  to  89  years. 

89  to  89J  years. 
89^  to  90  years. 

90  to  90J  years. 
90§  to  91  years. 

91  to  91 J  years. 
91 J  to  92  years. 

92  to  92^  years. 
92J  to  93  years. , 

93  to  93 J  years., 
93§  to94ye^rs., 

94  to  94^  years., 
94 J  to  95  years. . 

95  to  9oi  years.. 
95J  to  96  years.. 

96  to  96i  years. , 
96*  to  97  years.. 

97  to  97  J  years.. 
97^  to  98  years.. 

98  to  98*  years,, 
98 J  to  99  years, , 

99  to  99i  years,, 
99J  to  100 years,. 


Coeffi- 
cient. 


23 

21 

19 

17 

14 

12 

10 

8 

5 

3 


Coeffi- 
cient. 


43 

42 

41 

40 

38 

37 

36 

35 

34 

33 

32 

31 

30 

30 

29 

28 

27 

27 

26 

26 

25 

25 

24 

24 

23 

23 

22 

22 

21 

21 

20 

19 

18 

18 

17 

16 

14 

12 

10 


In  the  absence  of  any  relatives  of  the  classes  described,  the  com- 
pensation due  IS  paid  into  a  special  fund  for  payment  of  indemnities 
to  employees  of  insolvent  employers  and  for  other  purposes,  which 
are  described  in  detail  in  a  subsequent  section. 

The  method  of  distribution  of  the  compensation  as  outlined  above 
presents  many  peculiarities  which  deserve  to  be  emphasized  The 
designation  of  the  specific  classes  of  relatives  entitled  to  compensa- 


i 


i 


CHAPTEE  VII.— WOEKMEN 'S  INSUEANCE  IN  ITALY.  1721 

tion  «nd  the  specific  rules  for  distribution  of  compensation,  when 
compared  with  the  earUer  drafts  of  the  law  designating  only  the  legal 
heira  shows  progress  and  a  transition  from  the  legal  point  of  view  of 
labihty  (so  much  for  a  death)  to  the  point  of  view  of  need.     But  the 
transition  has  not  been  as  complete  as  in  some  other  laws.     On   one 
hand  the  compensation  is  not  as  great  as  the  maximum  allowed 
under  the  German,  Austrian,  or  Eussian  laws,  under  which  the  nen- 
sions  amount  to  two-thirds  of  the  annual  wages.     On  the  other  hand 
the  Italian  law  presents  many  cases  of  possibly  excessive  compensa- 
tion  as,  for  instance,  wh^  one  minor  child  or  one  minor  brother  if 
left  the  only  dependent  relative,  would  receive  an  enormous  annuity 
or  Its  equivalent  up  to  18  years,  or  when  only  very  aged  parents  sur- 
vive the  annuit,y  that  could  be  purchased  for  them  in  view  of  their 
high  age  might  be  higher  than  the  wages  of  the  deceased.     A  childless 
widow  may  receive  the  considerable  sum  of  five  times  the  deceased 
husband  s  wages,  and  remarry  very  soon  after  that,  while  ahnost  aU 
simdar  laws  of  other  European  countries  provide  for  the  discontinu- 
ance of  the  pension  to  the  widow  at  her  remarriage.     A  surviving 
widower  may  receive  part  or  the  whole  of  the  compensation,  even 
If  not  dependent  upon  the  earnings  of  the  deceased  at  aU.     In  other 
words,  there  js  comparatively  little  correspondence  between  amount 
of  compensation  and  need,  instead  of  which  there  is  a  fixed  relation- 
slup  between  accident  and  the  amount  of  compensation. 

DETEBMINATION  OP  WAGES. 

Since  aU  forms  of  compensation  are  based  upon  the  annual  earnings 
or  dady  wages  of  the  injured,  the  methods  of  determining  thesT^S 
mgs  become  important.  They  are  strictly  defined  in  the  law  and 
regulations.  If  the  annual  salary  is  mentioned  in  the  labor  contr^t 
that  sum  IS  taken;  otherwise  the  actual  annual  earnings  of  the  pr^ 
cedmg    12   months    are   taken.     If   the   pei^on   injurfd   had   been 

Zu^ifsoZ^VTr"^'  ''''  «^— 1 ---gB  are  taken  to  S 
equal  to  300  times  the  daily  wages.  To  determine  these,  the  earnings 
of  the  employee  durmg  all  the  time  of  employment  up  to  one  yX  k 
di^^ded  by  the  number  of  fuU  days  of  work  rendered,  aT^Tay" 
work  being  measured  by  the  number  of  houi^  of  work,  usual  for  The 
estabhshment  m  question.  The  maximum  Umit  aUow;d  in  the  com! 
putat^n  IS  2,000  hre  ($386)  per  amium;    for  cases  of  Irmanent 

IS  established.     If  the  mjured  employee  is  an  apprentice,  then  the 
owest  wages  of  a  regular  workman  in  the  same  mdustiy  a^d  o^upt 
tion,  or  the  one  nearest  to  it,  must  be  taken  as  a  ba^is  ^ 

taklT.  ?K  "*'°°'''''  ^"^  '*''°'"'^'  their  actual  daUy  wages  are 
taken,  but  they  must  not  vary  more  than  10  per  cent  from  thTc^ 
tomary  wages  for  a  day  laborer  hi  the  same  locdity. 


1722 


KEPORT   OF   THE    COMMISSIONER  OF  LABOR. 


I 


The  computations  are  simpler  in  case  of  temporary  disability  If 
the  injured  person  receives  time  wages,  the  wages  of  the  day  of 
accident  are  taken;  if  piece  wages  are  pai.l,  the  daily  wages  are  com- 
puted by  dmdmg  the  earnings  within  the  last  15  days  by  the  number 
of  full  days  of  work,  but  the  result  must  not  be  less  than  the  cus- 
tomary mmimum  wage. 

In  aU  computations  of  wages  not  only  all  money  payments,  but 
also  the  value  of  the  payment  in  kind,  according  to  the  average 
local  values  must  be  included. 

BURDEN   OP   PATMENT. 

The  cost  of  compensation  falls  entirely  upon  the  employer  the 
owner,  or  operator  of  the  estabhshment  or  undertaking,  though  'indi- 
rectly by  means  of  payment  of  insurance  premiums  as  explained 
presently      The  shiftmg  of  the  cost  upon  the  employees  by  d^ect  or 

ST77^f  wk"^  '""^  *^',  ^'^^'^  ^  punishable  by  fines  up  to  4,000 
lire  ($772)  When  any  work  is  done  by  contract  for  the  state  gov- 
emment,  Province,  commune,  or  any  public  institution,  the  con- 
tractor must  meet  the  cost  of  insurance.  If  any  workers  are  employed 
in  the  establishment  or  undertaking  who  are  hired  and  paid  by  other 
employees,  the  burden  of  insurance  falls  upon  the  proprietor  of  the 
enterprise.  Whenever  the  requirements  concernmg  insurance  have 
not  been  complied  with,  then  in  addition  to  various  fines  establLshed 
the  habihty  for  the  amount  of  compensation  due  reverts  back  to  the 
individual  employer. 

CIVIL  EESPONSIBILITT. 

Compliance  with  the  requirements  of  the  law  concerning  insurance 

relieves  the  employers  of  all  civil  responsibility  for  accident,  except 

when  the  cnmmal  responsibihty  for  the  accident  has  been  placed  by  a 

penal  sentence  of  a  court  upon  the  employer  or  manager,  or  any  ot  her 

person  entrusted  with  supervisory  work.     In  such  cases  not  only  the 

pereon  crimmally  responsible,  but  also  the  employer  is  civilly  liable 

under  the  common  law  for  the  damages  sustained  by  the  iniured 
person.  .;  juicu 

When  a  judgment  is  obtained  under  this  rule  against  the  peraon 
civilly  liable,  only  the  excess  of  this  judgment  over  the  amount  of  the 
msurance  is  payable  to  the  injured  worker  or  to  his  heira.  No  such 
judgment  must  be  granted,  when  in  the  opinion  of  the  court  it  would 
not  exceed  the  amount  due  under  the  insurance  contract 

The  establishment  of  the  civil  cases  does  not  relieve  the  insurer  of 
his  obligation  to  pay  the  indemnity,  but  the  insurer  may  sue  the  per- 
son liable  for  the  amount  of  indemnity  paid  out .     As  explaine.l  before 
the  msurer  may  proceed  in  the  same  way  against  the  injured  employee' 
If  he  has  been  found  criminally  responsible  for  the  accident  causing 


I 


CHAPTER  VII.— WORKMEN 'S  INSXJKANCE  IN   ITALY.  1723 

his  injury      In  all  cases,  if  the  criminal  proceedings  are  dropped 
th^rb-e^clSeVo^ '°'^'  '''  ''''  ™-  P— ^^  --  -i 

INSURANCE. 

Broadly  speaking  the  Italian  law  is  based  upon  a  system  of  com- 
pulsion to  insure  though  the  method  of  insurance  is  not  JresTrib  d Td 
there  are  a  great  many  exceptions  to  the  compulsion.  Establish- 
ments operated  by  the  state,  provincial,  or  communal  governments 
or  by  pnvate  peisons  by  franchise  from  the  Government  must  iTure 
their  employees  in  the  National  Accident  Insurance  Cit^"on 
unless  they  are  provided  with  special  compensation  acts,  «Sn  they 
are  exempt  from  all  insurance.  Other  employe.^  may  ii^ure  thS 
employe^  with  authorized  private  insurance  compani^ 

The  foUowmg  substitutes  for  insurance  in  the  national  or  private 

rZe'd  b'vTr"'",''"  r'^"^'^^  Private  establishments  funis 
organized  by  the  employer  (or  by  several  employee  in  the  same 

iftStrai  500  """'  y  tte  Government,  hUg  a  membeS; 
of  more  than  500  or  employers'  mutual  accident  insurance  associa- 
tions organized  by  employers  and  authorized  by  the  minister  Td 
insurmg  at  least  4,000  employees.  wnister,  ana 

In  addition  to  these  employers'  voluntary  mutual  associations 
compukory  associations  may  be  established  by  the  Govemmen UHt 
finds  after  consultation  with  the  chambei.  of^ommerle  p'o^cM 
councils,  and  the  state  council  that  such  an  association  ik  ni3y 
or  advantageous  to  secure  better  compliance  with  the  pr'Sons 
of  the  law.  An  employers'  compulsory  mutual  accident  immZl 
association  must  mclude  at  least  15,000  employees  "^"'^nce 

J<mally,  the  railways  to  which  the  law  appUes  are  exempt  from  the 

fund  to  the  requirements  of  this  law  without  interfering  with  the 
«=quired  rights  of  the  members  of  the  funds.  These^diiitments 
must  be  approved  by  the  minister.  aajustmenta 

The  detailed  provisions  of  the  law  concerning  the  regulatioM  of 

ZZZ'^Tr  '"'^r''  ^y'"^^"^"^^^  mimiecrn't  h  tht 
discussion  ot  the  various  classes  of  these  institutions. 

SPECIAL   GUARANTEE    FUND. 

TJe  special  guarantee  fund  completes  the  complicated  arrangementa 
made  for  securmg  the  payment  of  indemnity  to  the  injurS^^^n 
It  IS  mamly  mtended  to  provide  a  source  for  paying  coXnaaUoTto 
mjured  workmen  of  employers  who  have  faUed  to^omprwih  the 
requirements  for  insurance  and  who  have  become  insolvent  so  that 
civil  procedure  against  them  is  useless.     It  also  has  othir  subsMa^ 

SZureT:!^',^^^  *T^^'^-  t--fit  ^ds  whii' :;rr':s 

assist  mjured  workmen  durmg  the  first  five  days  of  disabihty,  (2) 


1724 


REPORT   OF  THE   COMMISSIONER  OF  LABOR. 


! 


to  grant  prizes  to  inventors  of  new  safety  devices,  and  (3)  to  subsidize 
associations  or  institutions  granting  medical  help  to  the  injured 
employees.  The  income  of  the  fund  is  derived  (1)  from  the  compen- 
sation due  for  fatal  accidents  to  employees  having  no  dependent 
relatives  entitled  to  compensation  under  the  law  and  (2)  from  the 
fines  and  penalties  imposed  for  noncompliance  with  the  law  or 
regulations. 

The  bank  of  deposits  and  loans  must  notify  the  ministry  at  the  end 
of  each  year  as  to  the  amount  credited  to  this  fund,  and  only  when 
the  hmd  exceeds  20,000  lire  ($3,860)  may  appropriations  be  made 
for  subsidiary  purposes. 

The  subsidies  to  societies  granting  relief  during  the  first  ^\e  days 
of  disabihty  may  be  made  with  intervals  of  at  least  five  years'  dura- 
tion. Such  distribution  is  made  among  societies  applying  for  it  and 
presenting  detailed  evidence  of  their  activities;  the  other  fimctions 
depend  upon  the  judgment  of  the  minister. 

STATE   SUPERVISION   OF  INSURANCE. 

Explicit  regulations  are  provided  for  enforcing  compliance  with  the 
insurance  requirement  in  all  its  details.  The  owners  or  managers  of 
new  establishments  must  insure  their  employees  before  the  beginning 
of  operations  or  as  soon  as  possible  thereafter,  and  in  no  case  later 
than  five  days  after  the  beginning  of  operations.  If  any  accidents 
happen  before  insurance  had  been  eflFected  the  employer  is  personally 
responsible  for  the  compensation  according  to  the  law. 

Within  ten  days  after  the  beginning  of  operations  the  prefect  of  the 
Province  must  be  notified  as  to  the  nature  of  the  establishment  and 
number  of  employees  and  apprentices  employed.  A  similar  report 
must  be  made  of  each  insurance  contract,  giving  the  date,  length  of 
contract,  and  the  number  of  workmen  and  apprentices  insured. 
The  discontinuance  of  work  in  the  estabhshment  must  also  be 
reported  to  the  prefect.  The  prefect  must  compile  the  data  in  regard 
to  all  the  insured  establishments. 

In  each  establishment  or  undertaking  an  easily  legible  notice  must 
be  posted,  stating  the  name  of  the  insurance  institution  with  which 
such  insurance  has  been  contracted  for  and  the  date  of  termination 
of  the  insurance.  The  original  contract  or  a  copy  thereof  must  be  in 
the  possession  of  the  employer  at  the  establishment,  and  jnust  be 
shown,  with  necessary  explanations,  to  the  injured  workman  or  his 
legal  representative,  who  shall  be  allowed  to  copy  it.  For  non- 
comphance  with  this  regulation  the  employer  is  subject  to  a  ^ne  of  at 
least  50  lire  ($9.65). 

For  noncompUance  with  the  insurance  requirements,  such  as  failure 
to  insure  or  to  renew  insurance,  or  to  increase  it  with  the  increase  of 


CHAPTER  VII. — workmen's   INSURANCE  IN   ITALY.  1725 

the  number  of  employees,  the  employer  is  subject  to  a  fine  of  5  lire 
(97  cents)  per  employee  and  per  day,  up  to  2,000  Ike  ($386).  In 
addition,  the  employer  is  not  only  hable  in  case  of  an  accident  for  the 
legal  amount  of  compensation  but  he  must  pay  an  equal  amount 
into  the  special  guarantee  fimd.  The  same  penal  provisions  are 
made  for  those  who  cause  the  insurance  to  lapse  through  a  culpable 
failure  to  pay  the  premiums  due. 

A  complete  register  of  ajl  employees  must  be  kept  m  every  estab- 
lishment subject  to  this  law.  This  register  must  contain  information 
as  to  the  name,  conjugal  condition,  date  and  place  of  birth,  the  date 
•f  entermg  service,  and  the  usual  occupation  and  the  amount  of  daily 
wages.  In  addition  a  general  wage  book  is  required  to  be  kept  con- 
taining the  accounts  of  each  individual  worker.  It  must  be  kept 
up  to  date,  showing  the  earnings  of  each  employee  and  payments 
made  to  him.  These  books  must  be  bound,  with  pages  consecutively 
numbered,  and  they  must  be  examined  by  the  insurance  office  before 
they  may  be  used.  The  entries  must  be  made  in  ink,  and  without 
erasures.  Employees  whose  names  are  not  entered  in  the  wage 
book  are  not  considered  insured,  and  for  their  omission  the  employer 
is  subject  to  the  penalties  provided.  But  until  the  fact  of  such  non- 
compUance has  been  established  by  a  court  the  insurance  company 
is  not  reheved  from  the  obligation  of  paymg  compensation  provi- 
sionally, with  the  right  of  sumg  to  recover  these  payments  from  the 
delinquent  employer. 

The  employee  who  receives  piece  wages,  and  who  employs  and  pays 
his  helpers,  must  also  keep  a  register  and  a  pay  book.  The  register 
and  wage  books  must  always  be  open  for  mspection  by  government 
inspectors  and  agents  of  the  insurance  companies,  who  may  copv 
extracts  from  them. 

Railroad  companies  and  other  public  institutions,  having  regular 
pay  rolls  or  temporary  undertakings  of  very  short  duration,  may  be 
exempt  from  the  obhgation  of  keeping  registers  and  wage  books. 

Individual  wage  books  of  uniform  pattern  for  all  branches  of  indus- 
try are  made  obligatory  and  must  be  supplied  by  the  employer  to  aU 
the  workmen.  The  same  book  may  be  used  by  the  employee  even  in 
diflFerent  estabhshments,  and  it  must  contam  all  information  neces- 
sary for  the  administration  of  the  accident  insurance  law. 

n  the  inspector  finds  that  an  establishment  employs  a  greater 
number  of  workmen  than  is  insured  against  accidents,  he  must 
prosecute  the  owner  or  manager  of  the  establishment  before  the  local 
judiciary  authorities.  The  employer  may  be  fined  for  giving  wrong 
or  misleadmg  information,  irrespective  of  the  right  of  the  ministiy 
to  contract  for  the  additional  insurance  at  the  expense  of  the  delin- 
quent employer. 


1726 


REPORT   OF   THE   COMMISSIONER   OF  LABOR. 


PROCEDURE. 


I 

1^ 


Report  and  Investigation  of  Accidents.— A  satisfactory  ad- 
ministration of  an  accident  insurance  or  compensation  act  is 
impossible  without  a  careful  system  of  reporting  accidents.  The 
law  requires  that  each  accident  resulting  in  disability  lasting  over 
five  days  or  in  death  must  be  reported  to  the  local  pohce  authori- 
ties by  the  manager  of  the  establishment  or  undertaking,  under 
penalty  of  a  fine  of  from  50  to  100  hre  ($9.65  to  $19.30).  The 
reports  must  be  made  to  the  prefect  of  the  Province  in  which  the 
estabhshment  is  located;  they  are  required  from  all  undertakings  and 
establishments,  whether  or  not  covered  by  the  accident  insurance 
law,  and  they  must  be  made  within  three  days  from  the  accident  or 
the  day  on  which  information  concerning  the  accident  reached  the 
manager  of  the  establishment.  To  make  such  reports  possible  all 
accidents,  no  matter  how  [slight,  must  be  reported  by  the  injured 
employee  to  the  person  in  charge  of  the  establishment.  In  case  of 
failure  to  do  so,  the  injured  person  may  lose  the  right  to  compensa- 
tion for  the  days  elapsing  between  the  date  of  the  accident  and  the 
report  to  the  manager.  Only  accidents  causing  disability  of  over 
^Ye  days'  duration  must  be  reported  by  the  manager,  so  that  evi- 
dently an  estimate  must  be  made  as  to  the  probable  length  of  disa- 
bility, which  may  not  prove  correct.  If  an  accident  had  not  been 
reported  because  the  disabihty  was  not  expected  to  last  five  days 
but  subsequently  did  extend  into  the  sixth  day,  it  must  be  reported 
within  three  days  thereafter. 

Similar  reports  of  accidents  must  be  made  to  the  respective  insur- 
ance institutions  by  managers  of  estabhshments  subject  to  the  law. 

Reports  of  accidents  must  include  the  name  of  employer,  place  and 
time  of  the  accident,  and  its  cause  and  descrii)tion;  name,  conjugal 
condition,  age,  address,  and  occupation  of  the  injured  employee;  his 
condition,  probable  duration  of  the  disability  (to  be  certified  by  the 
physician),  and  names  and  addresses  of  witnesses.  The  pohce  and 
other  authorities  must  keep  hsts  of  accidents  reported.  Failure  to 
make  reports  of  accidents  must  be  brought  to  the  attention  of  the 
court  by  the  police. 

In  all  fatal  cases,  or  such  cases  as  are  hkely  to  lead  to  disabihty  for 
over  thirty  days,  or  to  death,  the  pohce  must  forward  a  copy  of  tlie  acci- 
dent report,  together  with  the  medical  certificate  to  the  local  magis- 
trate (pretor),  who  is  required  to  make  an  investigation  within  four 
days  after  the  receipt  of  the  report,  ascertaining  the  followuig  facts: 
The  cause,  the  conditions  of  the  accident,  the  nature  and  condition  of 
the  injury,  the  daily  wages  and  the  annual  earnings  of  the  injured ;  the 
relatives  of  the  killed  employee  and  their  place  of  residence,  and  the 
fact  and  method  of  insurance  of  the  victim. 


T 


CHAPTER  VII. workmen's   INSURANCE  IN   ITALY.  1727 

The  time  and  place  of  such  investigation  must  be  communicated 
in  advance  by  the  magistrate  (pretor)  to  the  employer  or  his  repre- 
sentative and  to  the  particular  insurance  institution  concerned.  The 
investigation  must  be  conducted  in  the  presence  of  representatives  of 
all  parties  concerned,  and  a  physician  and  other  experts  invited  by  the 
magistrate.  In  the  absence  of  the  injured  person  or  his  representa- 
tives the  magistrate  may  select  two  workmen  of  the  same  estabhsh- 
ment to  represent  his  interest.  The  purpose  of  this  investigation  is  to 
establish  the  actual  facts  as  to  the  cause  of  the  accident.  Only  in 
estabhshments  where  the  work  is  done  in  secrecy  for  considerations 
of  state  may  such  investigation  be  substituted  by  a  written  report 
of  the  management.  The  investigation  must  be  concluded  within  a 
few  days  and  the  facts  stated  in  an  official  report  signed  by  the  magis- 
trate. In  fatal  cases  copies  of  this  report  must  be  forwarded  to  the 
ministry. 

The  report  must  remain  for  ^ve  days  in  the  office  of  the  magistrate, 
after  which  it  is  transferred  to  the  proper  judicial  authority,  which 
may  take  any  legal  steps  it  finds  necessary;  the  report  is  also  trans- 
mitted to  the  civil  tribunal  of  the  district. 

The  magistrates,  witnesses,  physician,  and  other  experts  called  in 
to  the  investigation  receive  compensation  for  their  work. 

Determination  of  Disability.— The  insurance  institution  has  the 
right  to  subject  the  injured  person  to  a  medical  examination  in  the 
presence  of  the  attending  physician,  and  the  injured  employee  has  no 
right  to  dechne  such  examination  whenever  the  insurance  institution 
demands  it,  provided  the  insurer  meets  the  cost;  nor  can  the  injured 
employee  dechne  to  go  to  a  hospital  or  a  chnic  for  a  determination  of 
the  consequences  of  the  injury.  When  any  dispute  arises  as  to  the 
nature  of  the  results  of  the  accident,  the  decision  maybe  intrusted 
to  a  medical  arbitration  board  of  three  members,  of  whom  two  are 
nominated  by  the  respective  parties  and  the  third  by  these  parties 
together  or  by  a  president  of  a  court.  The  president  of  the  court 
determines  the  compensation  of  the  physicians,  at  any  figure  from  5 
to  200  lire  (97  cents  to  $38.60),  and  the  distribution  of  this  cost 
between  the  insurance  institution  and  the  injured  employee. 

Sanitary  officers  and  communal  physicians  may  not  decline  their 
services  necessary  to  determine  the  results  of  accidents.  A  scale  of 
payment  for  their  services  is  estabhshed  in  the  regulations.  Hos- 
pitals must  permit  medical  representatives  of  the  insurance  companies 
to  examine  the  patient. 

payment  op  compensation. 

Temporary  Disability.— The  insurance  company  must  make  the 
first  compensation  payment  for  temporary  disabihty  as  soon  as 
possible  after  receiving  notice  of  an  accident  and  the  physician's 


1728 


REPORT   OF  THE   COMMISSIONER  OF  lABOR. 


certificate,  and  in  any  case  not  later  than  twenty  days  after  the  acci- 
dent. In  case  of  dispute  as  to  the  amount  of  compensation,  the 
insurance  company  pays  the  amoimt  which  it  thinks  due  and  the 
disputed  amount  only  is  withheld.  The  subsequent  payments  must 
be  made  within  intervals  of  seven  days,  and  after  the  expiration  of 
the  first  three  months  advance  payments  must  be  made  until  nine- 
tenths  of  the  amount  is  paid  out  which  the  insurance  institution 
thinks  is  due  to  the  injured  person.  If  the  insurance  company  does 
not  hold  itself  responsible  it  may  decHne  to  pay,  but  must  state  the 
reasons  in  writing. 

The  insurance  company  may  delegate  the  employer  to  pay  the 
compensation  for  temporary  disabihty,  reimbursing  him  subse- 
quently, but  the  employer  must  demand  evidence  of  disabihty  before 
making  such  payments. 

If  the  estabhshment  possesses  an  infirmary,  organized  by  the 
employer,  in  which  the  workmen  are  regularly  treated,  and  tlie 
injured  employee  is  being  treated  there  with  his  consent,  one- third 
of  the  daily  compensation  due  is  paid  by  the  insurance  company  into 
the  treasury  of  the  infirmary. 

Permanent  Disability. — ^Within  eight  days  after  the  receipt  of 
the  final  medical  cetificate  the  insurance  company  (or  association, 
etc.)  must  determine  the  amount  of  the  compensation  for  permanent 
disability;  the  insurance  company  must  inform  the  injured  person  of 
this  amount  and  its  estimate  of  the  nature  and  degree  of  disabihty, 
the  reasons  for  arriving  at  this  conclusion,  the  wage  used  in  the  com- 
putation, the  decrease  in  the  wage  which  may  have  taken  place  as  a 
result  of  the  disabihty,  and  the  amount  of  advance  payments  made. 
If  the  workman  accepts  the  opinion  of  the  insurance  com])any  the 
amount  must  be  paid  within  eight  days  after  notice  of  such  accept- 
ance is  given.  In  case  of  delay  the  usual  interest  must  be  added  to 
the  amount  of  compensation. 

If  the  workman  disagrees  with  the  insurance  company,  lie  states 
the  reasons  in  writing,  and  if  his  demands  are  not  complied  with 
within  fifteen  days  he  may  carry  the  case  to  the  courts,  as  provided 
for  in  the  law. 

The  regulations  governing  the  conditions  of  payment  of  compensa- 
tion for  total  permanent  disabihty,  or  for  partial  permanent  disabihty 
which  reduces  the  earning  capacity  by  at  least  50  per  cent,  are  quite 
complicated,  due  to  the  intent  of  the  law  that  such  compensation  be 
transformed  into  annuities.  At  the  same  time  the  conditions  of  pay- 
ment are  further  comphcated  by  the  necessity  of  postponing  such 
conversion  for  two  years,  lest  some  material  change  should  take  place 
in  the  condition  of  the  injured  employee  which  would  necessitate  a 
change  in  the  amount  of  compensation. 

The  insurance  company  pays  the  amount  due,  after  deductions  for 
advance  payments  made,  to  the  National  Old-Age  and  Invalidity 


\ 


CHAPTER  VII. — workmen's  INSURANCE  IN   ITALY.  1729 

Insurance  Institution,  and  it  is  then  free  from  any  further  liability, 
imless  there  ^should  be  a  request  for  revision  within  two  years.  If 
the  injured  person  should  die  before  the  indemnity  was  converted 
into  an  annuity,  and  if  it  should  be  established  that  the  death  was  a 
consequence  of  the  accident,  then  the  legal  dependents  according  to 
the  law  present  to  the  old-age  insurance  institution  evidence  as  to 
the  death  of  the  injured  person,  the  opinion  of  the  medical  examiner 
as  to  the  cause  of  death  and  other  evidence  of  their  right  to  receive 
the  compensation.  Then  the  amount  due,  after  deductions  for  the 
payments  made  and  with  Aterest  added,  is  distributed  among  the 
heirs  according  to  the  law.  If  the  death  is  not  due  to  the  accident, 
the  amount  is  paid  to  the  legal  heirs  according  to  the  Civil  Code. 

If  death  does  not  occur  the  conversion  is  made  after  the  expiration 
of  the  two  years'  period,  but  the  monthly  allowances  are  continued 
for  two  months  more,  and  their  value  discounted  from  the  amount 
used  to  purchase  the  annuity. 

To  obtain  the  remaining  amount  of  compensation  as  a  lump  sum 
the  injured  workman  must  petition  the  local  magistrate  (pretor)  in 
writing,  stating  the  reasons  for  his  request.  In  the  decision  of  the 
pretor  the  reasons  for  granting  or  declining  the  request  must  be  stated 
in  writing. 

Fatal  Accidents.— In  case  of  death  the  insurance  company  must 
take  the  necessary  steps  within  twenty  days  to  estabhsh  the  amount 
of  compensation  due.  Those  who  claim  compensation  must  hand 
in  claims  with  the  necessary  evidence,  and  the  insurer  must  within 
eight  days  inform  them  of  the  amount  of  computed  compensation, 
stating  the  wage  rate  used  for  compensation  and  the  advance  pay- 
ments deducted.  If  a  dispute  arises  the  insurance  company  must 
pay  temporary  allowances  up  to  nine-tenths  of  the  amount  which  the 
insurance  company  admits  as  due,  at  semimonthly  intervals,  to  all 
the  legal  claimants;  the  sum  of  this  allowance  per  day  must  not 
exceed  one-half  the  daily  wage  of  the  deceased.  But  if  the  dispute 
concerns  merely  the  right  of  compensation  no  such  preliminary  pay- 
ments need  be  made.  If  the  insurance  company  receives  no  infor- 
mation as  to  the  existence  of  legal  heirs  it  must  so  report  to  the 
ministry,  stating  also  the  amount  of  compensation  granted,  the  wage 
rate  used  in  computing  it,  and  the  total  amount  paid  out  and  the 
amount  to  be  deducted.  The  ministry  may  verify  the  accounts  and 
order  the  insurance  company  to  transfer  the  amount  due  to  the 
guarantee  fund  as  soon  as  the  year  has  elapsed. 

REVISION  OF  BENEFITS. 

Both  the  victim  of  the  accident  and  the  insurance  company  may 
ask  for  a  revision  of  the  compensation  durmg  the  two  years  following 
the  accident,  if  the  first  decision  was  unfair  or  if  changes  had  taken 
place  m  the  physical  condition  of  the  injured  workman.     In  case 


1730 


BEPORT   OF  THE   COMMISSIONER  OF  LABOR. 


of  a  fatal  accident,  a  request  for  revision  must  be  made  within  two 
months  from  the  day  of  death.  As  was  explained  aboye,  it  was  for 
the  purpose  of  leaving  an  opening  for  such  revision  that  the  com- 
pensation in  cases  of  total  permanent  disability  or  partial  permanent 
disability  of  50  per  cent  or  over  was  to  be  held  in  trust  for  two  years 
by  the  old-age  insurance  institution. 

In  making  application  for  revision  of  compensation  the  insured 
person  must  present  a  medical  certificate,  stating  either  that  the 
earlier  judgment  was  incorrect  or  that  the  condition  had  sinc<»  become 
aggravated.  If  the  dependents  under  tJRe  law  make  the  recjuest  for 
such  revision  the  physician  must  certify  that  the  death  was  due  to  the 
accident.  Within  one  month  from  the  date  of  the  application  the 
insurance  company  must  either  grant  or  decline  to  grant  a  new  rate 
of  compensation,  stating  the  reasons  for  declination  in  writing.  In 
case  of  declination  the  claimant  may  bring  the  claim  into  court. 
The  insurance  company  must  apply  to  the  court  for  revision  of  the 
compensation  granted. 

SETTLEMENT   OF   DISPUTES. 

Disputes  arising  out  of  the  compensation  for  temporary  disability 
are  to  be  adjudicated  by  the  local  trade  (arbitration)  courts,  whose 
decisions  involving  amounts  up  to  200  lire  ($88.60)  are  final.  In  the 
absence  of  such  arbitration  courts  the  case  is  brought  before  tlie  local 
magistrate  (pretor).  Cases  involving  amounts  of  more  than  200 
lire  ($38.60)  must  be  carried  to  the  ordinary  courts,  but  in  such  cases 
counsel  is  not  required  and  the  cases  are  exempt  from  stamp  dues. 
The  court  expenses  are  very  low:  For  amounts  up  to  50  hre  ($9.65), 
50  centesimi  (9.7  ceuts);  for  50  to  100  lire  ($9.65  to  $19.30),  1  lira 
(19.3  cents);  and  2  lire  (38.6  cents)  for  each  additional  100  hre. 

SPECIAL   PROVISIONS    FOR    SEAMEN. 

Numerous  special  provisions  for  seamen  are  contained  in  both  the 
law  and  the  regulations.  Some  of  these  are  necessary  because  the 
pecuHar  character  of  this  occupation  demands  deviations  from  the 
general  procedure.  The  necessity  for  other  exceptions  is  not  so 
obvious.  Some  exceptions  have  already  been  noted,  llius  no 
distinction  is  made  between  wage-workers  and  salaried  employees, 
and  all  members  of  the  crew  receiving  2,100  hre  ($405.30)  pej*  annum 
or  less  are  insured. 

The  scale  of  compensation  is  considerably  lower  in  case  of  perma- 
nent disability  (four  times  the  annual  wages  instead  of  six)  and  death 
(three  times  the  annual  wages  instead  of  five).  As  to  temporary 
disability,  previous  legislation  has  granted  seamen  the  right  to  their 
full  wages,  besides  the  cost  of  medical  and  surgical  treatment,  for  four 


t#  • 


^ 


CHAPTER  VU. WOEKMEN's  INSUBANCE  IN  ITALY.         1731 

months  in  case  of  illness  or  injury.  This  right  is  reaffirmed  by  the 
new  law,  and  the  right  to  the  temporary  disability  compensation 
under  the  law  begms  only  after  the  expiration  of  the  four  months 

boT  the  purposes  of  this  law  the  person  or  corporation  chartering 
the  vessel  is  considered  the  responsible  employer.  When  a  vesselk 
lost  or  for  lack  of  information  is  considered  lost,  and  no  certificate 
of  death  IS  therefore  possible,  the  legal  claimants  may  enter  their 
claims  SDC  months  after  the  day  of  shipwreck  or  of  the  date  of  the 
information  last  received.  The  term  of  one  year  within  which  claims 
may  be  made  begins  after  the -expiration  of  these  six  months 

In  such  cases  the  payments  must  be  made  under  bonds,  which  are 
to  hold  good  for  three  years  from  the  expiration  of  the  period  of  six 
months,  and  during  these  three  years  the  compensation  is  subject 
to  revision  if  any  mformation  is  obtained  from  the  pei^on  supposedly 

Wages  of  seamen  are  computed  by  dividing  the  remuneration  stipu- 

11  K  .u  "^^^  ^°y^^  P^"^  *^«  ''"^^  «f  subsistence,  as  per  pay 
roll,  by  the  number  of  days  the  voyage  lasts.  The  annual  earning 
are  computed  as  300  times  the  daily  wage.  The  cost  of  subsist^ 
must  be  entered  m  the  pay  roll  for  each  seaman,  according  to  local 
custom  at  the  port  where  he  shipped. 

The  report  of  the  accident  must  be  made  by  the  captain  and  signed 
by  two  witnesses.    It  must  be  transmitted  to  the  local  port  authorises, 

.tf  nf  .v."  ^r\  T?  ■     '  ^*PP«««d  during  the  voyage,  to  the  authori- 
ties of  the  first  Itahan  port  reached.     If  there  is  a  physician  on  the 

tS  «LT'.  r'f  ^  *"  '^^  'T'''  '''^''^  ^  physiciL's  examina- 
tion and  certificate  must  be  obtamed  at  the  first  port  of  landing 

day  of  the  arnval  of  a  ship  m  an  Italian  port  or  in  a  foreign  port 
havmg  a^  Itahan  consul.     Investigations  of  fatal  a.cidents^d  o 
those  leading  to  disability  for  over  thirty  days  must  be  made  W  the 
port  authonties  or  by  the  Itahan  consul.  ^ 

PREVENTION   OF   ACCIDENTS. 

Regulations  for  the  prevention  of  accidents  are  included  in  the 
accident  msurance  law.  The  purpose  of  the  combination  of  thes^ 
two  fairly  distmct  measures  in  one  act  seems  to  have  been  to  coZ 

thaf it  tn'dT""  '>'2"'^°l-S-^^  obligatoiy  accident  insura^^^- 
that  It  tends  to  make  both  employers  and  employees  less  careful 
and  accidents  more  frequent.  ^e!*  careiui 

The  law  authorizes  the  minister,  after  consultation  with  employers 

Se  SdZh  ^l^^f  ""^^^  «"d  for  the  protection  of  the  workmen'! 
me  and  limb.     Comphance  with  such  regulations  is  demanded  by  the 


1732 


BEPOET  OF  THE  COMMISSIONEE  OF  LABOB. 


law,  and  noncompliance  is  punishable  by  fmes.     These  rcgulationa 

W  V  "^Zi  '  ''?^'"**'  '''"^"'^^  "^  ^'^"«*'7,  and  also  for  certain 
locaht  es.  The  minister  must  enforce  such  compliance  with  the 
regulations^  For  the  preparation  of  regulations  one  or  more  of  the 
following  bodies  must  be  consulted:  The  (.ouncU  of  in.lustrv  and 
commerce,  the  mining  council,  the  superior  councU  for  public  works 
the  superior  committee  for  railroads,  the  council  for  forestrjr,  the 

ofkbor  "^  "*™''  ^**  ^  ^"  '^^^^  *^"  ^"P^""'-  ««"''"1 

In  addition,  the  employers'  compuISory  mutual  accident  insurance 
associations  are  permitted  to  include  in  their  constitutions  provisions 
for  prevention  of  accidents. 

INSPECTION.-For  the  purpose  of  enforcing  compliance  with  the 
requirements  concerning  insurance  and  prevention  of  accidents  the 
ministry  may  avail  itself  of  the  services  of  the  factory  inspec tore  min- 
ing inspectors,  and  the  inspectors  and  engineers  of  the  minUtries  of 
pubhc  works  and  of  the  marine,  as  weU  as  of  the  technical  employees 
of  the  societies  for  prevention  of  accidents  and  the  employee'  mutual 
accident  msurance  associations  and  the  ins,)ectora  of  the  National 
Accident  Insurance  Institution.  Special  officer  may  be  detailed  for 
inspection  m  connection  with  the  work. 

Peraons  intrusted  with  inspection  of  industrial  establishments  are 
prohibited  from  having  any  direct  or  indirect  interest  in  any  indus- 
trial undertakmg,  or  from  being  employed  by  such  private  establish- 
ments m  the  capacity  of  engineers,  chemists,  or  physicians 

All  establishments  and  undertakings  must  be  regularly  inspe<-.ted 
at  least  once  m  two  years,  and  special  inspections  may  be  ordered 
by  the  mmister  or  by  the  prefect  at  any  time.  The  inspectors  must 
ascertam  whether  the  preventive  regulations  and  the  insurance 
requirements  have  been  comphed  with.  They  have  the  right  to 
Tisit  the  establishments,  to  question  the  employers,  the  supervising 
employees,  and  workmen,  and  to  inspect  the  general  and  individual 
wage  books,  the  insurance  contract,  and  all  necessary  documents 
rhey  must  make  reports  to  the  ministry,  making  the  necessary  obser- 
vations and  recommendations,  and  certifying  to  any  infringement  of 
the  aw  and  regulations.  A  copy  of  the  report  must  also  be  sent  to  the 
local  judiciaiy  authority  and  to  the  prefect.  The  report  must  be 
signed  by  the  employer,  or  by  his  representative  and  the  mspector 
ine  employer  may  state  his  explanations. 

Compulsory  mutual  accident  insurance  associations  must  organize 
an  independent  inspection  service  over  the  establishments  subject  to 
Its  juns^ction.  Its  inspectors  may  apply  to  the  poUce  for  assistance 
m  case  they  are  hmdered  in  their  work,  and  the  employee  must  not 
place  any  obstacles  m  the  way  of  their  work,  under  penalty  of  a  fine  of 
from  20  to  300  Ure  ($3.86  to  $57.90).  j-    »  »  uae  oi 


CHAPTER   VII. workmen's  INSURANCE  IN    ITALY.  1733 

GENERAL   PROVISIONS. 

Ail  agreements  waiving  whoUy  or  partly  the  benefits  conferred  by 
this  act  are  nuU  and  void.  Indemnities  or  annuities  paid  under  this 
act  are  not  subject  to  cession  or  seizure. 

All  claims  under  this  act  must  be  made  within  one  year  from  the 
date  of  the  accident. 

All  contracts  and  legal  documents  executed  in  compliance  with  the 
requu-ements  of  this  law  are  free  from  stamp  dues,  insurance  taxes 
or  similar  taxation. 

APFLICATIOIT  OP  THE  LAW. 

Voluntary  insurance  of  workmen  against  accidents  has  been  prac- 
,««f  "WvuT^  *^!  Nftional  Accident  Insurance  Institution  since 
1883  With  the  establishment  of  the  compulsory  system  of  insurance 
the  functions  of  the  national  insurance  institution  were  greatly 
enlarged.  New  tariffs  were  prepared,  to  provide  for  insurance  in 
compliance  with  the  requirements  of  tlie  law,  though  the  old  tariffs 
remamed  m  force  for  voluntary  accident  insurance.  But  private 
msurance  companies  rapidly  went  into  the  field  in  competition.  Four 
private  accident  msurance  companies  qualified  toward  the  end  of 
1898,  and  one  m  1899. 

The  other  forms  of  insurance  provided  by  the  law  did  not  grow  in 
populanty  under  the  old  law  of  1898.  Only  four  employers'  mutual 
accident  insurance  associations  were  organized  under  this  law.  One 
of  these,  the  so-called  "Subalpine  Syndicate,"  was  estabUshed  in 
Tunn  and  approved  November  30,  1898.     By  its  constitution  this 

™!r]r  r",  ^"*!»»T'1**'  ^•'"^P*  employers  of  aU  industries 
covered  by  the  law  m  the  Provinces  of  Turin,  Alessandria,  Novara, 
and  Com.  It  began  its  operations  in  December,  1898,  with  333 
members  and  about  19,000  employees  insured,  and  by  1899  the 
number  of  members  increased  to  600  and  the  number*  of  insured 
persons  exceeded  30,000. 

« J^?  ;^"*y»*  \^°"ftion  of  mine  operators,  oi^anized  in  Sardinia 
"tlX  The'  ^^'f'  ,1^'  ^'^  -  t«"i*<>rial  limitations  to  its 
25  Tgoo   S  ''T'c*"'''  "Legure,"  in  Genoa,  was  formed  January 

ments  in  fl,^  ^^^  I  °'''?'^''^'  ^""^  *"  **^^^  ^«^«  >«^g«  ««tabUsh- 
T21T  ""  *°?  "*""'  industry.     Its  constitution  admitted  aU 

enterprises   except   the   manufacture   of  explosives.     The   associa- 

:::aitSdiS:ut:^tr%r"r7f^^^^^^ 

members  ^nA^t^TrZefe^Xyl^s  ^'^  '^"''^  ''' 

one  i^'^FWen;?^^^  ""T  '''^T'"^  '"^  '^^^  *^^«  cooperative  funds- 

com;^wT:;xror«*'V*"'*  ^^^  ^^p^^*^""'-  '^^^ '-  p^'--^- 

p  ismg  a  number  of  Sicihan  wme  manufacturers;  and  one  in 


1734 


REPORT  OP  THE  COMMISSIONER  OF  LABOR. 


VercelH,  with  88  smaU,  misceUaneous  manufacturing  establisliments 
employing  552  workers.     Finally,  10  independent  cooperative  funds 

^,000.     The  largest  among  these  were  the  fund  of  a  shipbuilding  con- 

roS'/nf^'T''"'  ^''^  ^'?^^  employees;  the  fund  of  subsidiary  raU- 
roads,  of  Sardinia,  msured  1,655;  the  fund  of  a  large  lin.-n-goods  fac- 
tory, in  V.cenza,  with  1,681  employees;  the  fund  of  a  machine  shop 
m  Milan,  with  1,237  employees;  and  a  pa,,er  and  printing  estabS 
ment,  in  Florence,  with  710  employees.     Few  of  these  private  benefit 

unds  were  organized  in  1899,  but  most  of  them  liad  exited  for  some 

time  before  the  adoption  of  the  law  of  Mar.],  17, 1898,  and  had  sim^ 

appbed  for  recogmtion  under  the  law.     The  am;ndm;nt  of  treTwin 

1903,  by  extending  the  scope  of  the  application  of  the  law  and  the 

raising  of  the  prenuum  rates  of  the  National  Accident  Insurance  In    ^ 

tuhon,  stimukted  the  formation  of  employers'  mutual  associations  and 

private  benefit  funds.    In  1904  three  voluntary  mutual  association 

were  organized  in  Genoa,  of  which  one  included  the  works  tZ 

mantmie  port  and  one  the  seamen  of  that  port.    An  employed 

compulsory  mutual  association  for  the  sulphur  mines  of  Sicily  wTs 

established  in  the  same  year.     Three  more  voluntary  associatiZ 

and  the  compulsory  association  for  insurance  of  seamen  were  es  X 

hshed  m  1905,  and  two  voluntary  ones  in  1906 

Three  cooperative  benefit  funds  were  oiKanized  in  1904,  three  more 

n  1906,  and  one  early  m  1907.    Within  the  same  period  12  private 

funds  were  formed,  3  in  1903,  3  in  1904,  5  in  1906,  and  1  early  iSm? 

The  most  important  of  these  are  the  funds  of  street  raUway  employees 

in  Florence  and  Naples,  organized  in  1903.    Altogether,  accordinrto 

qnytwr"         i^^urance  institutions  brought  up  to  February  28, 

Inst  tution,  7  private  insurance  companies,  12  employers'  voluntaiy 
mutual  associations  2  employers' compulsory  mutual  association^ 
10  cooperative  benefit  funds,  and  22  private  benefit  funds. 

GENERAL   STATISTICS. 

Unfortunately,  the  statistics  of  the  activity  of  these  various  insur- 
ance institutions  in  Italy  are  very  meager  and  fragmentary,  and  any- 
thing hke  a  complete  and  up-to-date  account  of  them  is  quite  impos- 

A  statistical  report  concernmg  the  appJcation  of  the  law  for  the 

tZlZZT.Tl  '■  '""^^  ^««^^b«^  -^1'  1899.  was  published 
early  in  1 901 .  (»)  Later  reports  concerning  aU  the  accident  insurance 
institutions  were  published  in  1906.(')     Keports  for  more  recent 

"  Bollettino  di  Notizie  sul  Credito  e  sulla  Previden.a,  February  1907   v  196 
*  Bollettmo  di  Notizie  buI  Credito  e  sulla  Previdenza,  Vol.  ^X  iZ  '  d  1^ 
c  Bollettino  di  Notizie  sul  Credits  e  aulla  Previdenza;  Au^t'lm  pp.'ls'f-HW. 


CHAPTER  VII. — workmen's  INSURANCE  IN  ITALY.  1735 

years  were  pubKshed  in  the  official  organ  of  the  Office  of  Credit  and 
Savings  Institutions.  («)  Keports  concerning  the  statistics  of  acci- 
dents alone  are  available  for  the  second  half  of  1904,  for  1905,  and  for 
1906,  but  these  do  not  contain  any  information  concemi^  other 
results  of  the  insurance  system.  Very  little  is  known  concerning 
the  effects  of  the  amendments  to  the  law.  Besides,  these  reports  are 
very  fragmentary,  so  that  even  the  total  number  of  persons  insured 
is  not  stated.  (^) 

On  December  31,  1899,  28,307  industrial  estabhshments  carried 
accident  insurance,  but  for  20,459  establishments  only  was  the  num- 
ber of  employees  known,  which  aggregated  1,050,763  persons  On 
December  31,  1900,  the  number  of  establishments  carrying  insurance 
was  36,020;  the  number  of  persons  insured  in  31,788  establishments 
was  1,272,592.  (*=) 

In  the  report  of  the  commission  of  the  Chamber  of  Deputies  con- 
cerning the  ministerial  proposal  of  Mareh  13,  1908,  the  number  of 
persons  msured  is  stated  as  follows:  For  the  year  1903  869  874- 
1904  937,570;  1905,  1,089,086,  and  for  1906,  1,106,256  These' 
totals  are  so  low  m  comparison  with  the  reports  of  the  earher  years 
that  some  doubt  as  to  their  accuracy  exists.  As  a  matter  of  fact 
data  from  only  one  private  insurance  company  out  of  seven  are 
available  for  1903  and  1906,  and  for  two  only  for  1904  and  1905. 

^  a^BoUettino  di  Notizie  sul  Credito  e  sulla  Previdenza,  September-October,  1908, 

b  Many  fragmentary  but  valuable  statement,  may  be  found  in  the  reports  which 
Dr.  Vmcenzo  Magaldi,  Chief  of  the  Bureau  of  Credit  and  Social  InsuTcT  Tf  tt 
fr/^P  .^^--Iture,  Industry,  and  Commerce  (IMrezione  Generate  M  ^e^Z 
e  della  Frev^enza,  Min^tero  di  Agricoltura,  Industrie  e  Commercio)  periodiX 
furnishes  to  the  international  congresses  of  social  insurance,  and  which  C  be  con 
^dered  sennofficial,  as  the  supervision  of  these  institutions  is  intrusted  U>X^  h^Z 
Fmally,  Doctor  Magaldi's  two  studies  of  labor  insui^ce  in  Italy,  publish^Tn  Ctor 
Zacher's  well-known  series  in  1905  and  1908,  contain  some  LLic^l  Tn  orma^iln 
which  could  not  be  found  in  the  publications  either  of  the  Bureau  of  CreTand 
I^o^dence  (Iv^pettorato  Generate  del  Credito  e  delta  Previderaa)  or  of  the  bL^u 
of  Labor  and  these  data  have  been  made  use  of  in  the  following  brief  review  cT 
cerning  «ie  activity  of  the  National  Accident  Insurance  Instifution  Z^  sI'tisH?.!i 
information  available  is  much  more  complete  institution,  tiie  statistical 

Accid7n"f  Ti^vf-^  'Tr^'r  ''^"''  P^"  ^-  ^^^^^  (^-^-^  International  dee 
Accidents  du  Travail  et  des  Assurances  Sociales,  Dusseldorf,  1902,  p  681) 

67725°— VOL  2—11 16 


1736  EEPOET  OP  THE   COMMISSIONEE  OF  LABOR. 

No  complete  official  record  of  the  distribution  of  the  total  number 
of  insured  workmen  among  the  various  insurance  institutions  is 
available,  the  data  for  1903  to  1906,  published  by  the  parliamentai? 
fXwr°'''        °^  *'l'^"«d>y  ^ery  in,omplete.     These  data  are  L 

NUMBER  AND  PER  CENT  OP  INSURED  WORKMEN  IN  ITALY,  CLASSIFIED  BY  KIND 

OF  FUND   OR  ASSOCIATION,  1903  TO   1906. 


Workiueu  insured  in  the  year  - 

Kind  of  fund  or  association. 

1903. 

1904. 

1905. 

1906. 

Number. 

Per 
cent. 

Number. 

Per 
c^nt. 

Number. 

Per 
cent. 

Number. 

Per 
c«nt. 

National  institution. . 

421,363 

352,298 

62,793 

18,539 

14,881 

48.5 

40.5 

7.2 

2.1 

1.7 

370, 198 

443,990 

83,191 

24,734 

16,457 

39.5 

47.3 

8.9 

2.6 

1.7 

373,876 

514,464 

150,687 

28,346 

21,713 

34,3 

47  2 

13  9 

2  6 

2  0 

407,859 

447,654 

1H9,587 

35.662 

35,494 



Private  companies . . 

36  9 

Mutual  association. . 

40  5 

Cooperative  funds 

17  1 

Private  funds 

3  2 

Trt+ol 

2.3 

1  otai ^ 

869,874 

100.0       937,570 

100.0 

1,089,086 

100.0 

1,106,256 

100.0 

The  data  indicate  mainly  a  steady  growth  in  the  popularity  of  the 
mutual  accident  insurance  principle.     The  figures  for  the  cooperative 

IZtir  Ki  r**!,,^  "^T^^  growth,  the  number  of  insured  having 
almost  doubled  within  three  years. 

The  following  table,  constructed  from  the  various  reports  of 
Doctor  Magaldi,  shows  the  number  of  accidents  compensated  by  the 
various  groups  of  insurance  institutions,  and  therefore  gives  indi- 
rectly an  idea  of  the  comparative  importance  of  these  institutions: 

NUMBER   AND   PER   CENT    OF   ACCIDENTS   COMPENSATED   BY   EACH    KIND    OF 

INSURANCE  INSTITUTION,  1899  TO   1905.  ^ 

^'l^:''l^-&^^TSft^sir^t^^^^  Paris,  ,900;  Dui^,. 

del  Lavoro,  Vol.  Ill  and  Vol.  VII.]  Previdenza,  August,  1906;  Bollettino  dell'  UfflSo 


Kind  of  fund  or  association. 


Nov.  1, 1898, 

to  Dec.  31, 

1899. 


National  institution 
Private  companies 

Employers'  associations 

Private  and  cooperative  funds 
Railroad  funds 

Total 


CHAPTEB  VII.— workmen's  INSURANCE  IN  ITALY.  173? 

The  most  important  indication  of  this  table  is  the  gradual  decUne 
m  the  relative  importance  of  private  insurance  and  the  growing  im- 
portance of  the  state  insurance  principle  (in  the  National  Accident 
Insurance  Institution)  on  the  one  hand  and  of  various  mutual  organi- 
zations on  the  other.  Assuming  that  the  number  of  accidents  Com- 
pensated IS  fairly  representative  of  the  number  of  persons  insured 
neither  mutual  employers'  association  nor  private  funds  showed  a 
very  extensive  activity  in  the  eariier  years  of  the  application  of  this 
law,  as  they  did  not  claim  more  than  5  or  6  per  cent.  The  employers' 
associations  showed  a  tendency  to  grow.     For  the  later  years  it  is 

fr^m  throttr^'^f '  *^^'«-«.'^*!-t«  tte  activity  of  private  funds 
trom  that  of  the  employers'  associations;  but  together  these  orivate 
and  cooperative  efforts  show  a  considerable  development,  parfly  due 
m  1:^1'"'  of  obligatory  mutual  employed  assail  " 
Ihe  growth  of  thenational  institution  has  been  very  rapid  the  slight 

decline  in  1 905  being  due  to  the  formation  of  the  SicUiL  Sulphur  m£ 
Mutual  Accident  Insurance  Association,  since  the  insurance  ZtZ 
mines  had  been  carried  previously  almost  exclusively  by  the  nit  oS 
institution.  In  1899  only  one-fifth  of  aU  accidents  was  comperlr^d 
by  this  institution,  and  in  1904  two-fifths  compensated 

wS  KTX^"^  '"'  the  expense  of  the  private  insurance  companies 
which  m  the  beginning  claimed  over  70  per  cent  of  the  insurance  as 
the  employers  hurried  to  comply  with  the  requirements  of  the  kw 
bu   gradually  ost,  the  employers  being  attracted  by  the  lower  rat^ 
of  the  national  institution. 

In  the  following  table  the  accidents  compensated  by  each  woun  of 
insurance  institutions  are  classified  accorLg  to  the  t:rSSoT  o 
the  injuries  sustamed,  whether  in  death,  permanent  disability    or 
temporary  disability.     Only  for  the  years  1899  to  1901  are  these  daU 

S  not  Lt'h'T  *''  r "■  ''''  '""^  ^•^•'"'^-^^  ^^y  •>«  thus  clSiied! 
but  not  for  each  class  of  insurance  institutions  separately. 


1738 


KEPORT   OF  THE   COMMISSIONER  OF  LABOR. 


NUMBER  AND  PER  CENT  OF  COMPENSATED  A(  CIDENTS  RESULTING  IN  DEATH  PER- 
MANENT DISABILITY,  AND  TEMPORARY  DISABILITY,  BY  KIND  OF  INSURANCE 
INSTITUTION,  1899  TO  1902.  liNauKAiNUJS 

^^S^i9S2•TonPt?hlT'H^"?JSi,1f  ^'^.^^^°•^  ^^^  travail  et  des  Assurances  Sociales,  Paris,  1900;  Dussel- 
del  La^or'of  vir^^^^^  ^'^^'^  ®  ^"^^  Previdenza,  August,  1906;  Bollettino  deli'  U^o 


Accidents 

.  resulting  lit— 

Year  and  kind  of  fund  or  associa- 

Death. 

Permanent  disability. 

Temporary  dis- 
ability. 

tiou. 

Com- 
plete. 

Partial. 

Total. 

Total. 

Num- 
ber. 

Per 

cent. 

Num- 
ber. 

Per 
cent. 

Number. 

Per 
cent. 

Nov.,  1898,  to  Dec.,  1899. 

National  institution 

159 

361 

8 

5 

55 

1.3 
.9 
.8 
.8 

1.7 

345 

1,164 

51 

14 

74 

2.8 
2.8 
5.4 
2.3 
2.4 

11,663 

40,151 

885 

95.9 
96.3 
93.8 

Private  companies 

12, 167 

Employer's  associations 

41,676 

Private  and  cooperative  funds. . . 

944 
603 

Railroad  funds 

6,\jW 

vo.v 

3,129 

Total 

588 

1.1 

1,648 

2.8 

56,282 

96.1 

58,518 

1900. 

National  institution. 

153 
324 

27 
5 

50 

1.0 
.9 

1.1 
.5 

1.6 

9 
8 
1 

1 
7 

529 

1,605 

86 

40 

72 

638 

1,613 

87 

41 

79 

3.4 
4.4 
3.7 
3.9 
2.4 

14,824 

94.3 

Priv  ate  companies ... 

« 15,726 

Employers'  associations . . 

34,356     y4. 7 

36,293 

Private  and  cooperative  funds 
Railroad  funds 

2,238 
1,007 
3,180 

yij.z 
95.6 
96.1 

2,352 
1,053 

3,309 

Total 

559 

1.0 

26 

2,332 

2,358 

4.0 

55,605  !  94.7 

"58,733 

1901. 

National  institution 

279 

209 

31 

7 
46 

1.3 
.6 

1.2 
.6 

1.3 

10 
3 
....„ 

1 

895 

1,627 

106 

32 

101 

905 

1.630 

106 

35 

102 

4.1 
4.4 
4.3 
2.9 

2.8 

20,837 

35,178 

2,334 

1,148 

94.6 
95.0 
94.5 
96.5 

Private  companies 

22,021 

Emplovers'  associations. . 

37,017 

Private  and  cooperative  funds. 
Railroad  funds 

2,471 
1,190 

3,448 

95.9 

3,596 

Total 

672 

.9 

17 

2,761 

2,778 

4.2 

-  .  _  1 

62,945  1  94.9  1 

66,295 

1902. 
Total  (6) 

505 

.8 

39 

2,868 

2,907 

4.6 

59,957 

94.6 

63,369 

a  Including  211  accidents  the  results  of  which  were  unknown 
0  Data  by  accident  insurance  institutions  are  not  available. 

A  comparison  between  the  premiums  paid  to  the  insurance  institu- 
tions, the  compensation  paid  by  them,  and  the  wage  expense  of  the 
employers  throws  some  light  upon  the  cost  of  the  accident  insurance 
system.  The  amount  paid  in  wages  was  not  stated  prior  to  1901, 
so  that  the  comparison  of  premiums,  compensation,  and  wages  can 
be  made  only  for  1901  and  1902.  For  1903  to  1906  the  data  are  so 
fragmentary  that  they  are  omitted  from  the  table  which  follows. 


CHAPTER  VII. workmen's   INSURANCE  IN   ITALY.  1739 

AMOUNT  OF  COMPENSATION  AND  PREMIUMS,  COMPENSATION  AND  PREMIUMS  m 


Year  and  kind  of  fund  or  asso- 
ciation. 


Nov.,  1898,  to  Dec.,  1899. 


Wages  of 
workers. 


Compensation. 


National  institution 

Private  companies 

Employers'  associations. 


Total. 
Private  funds. 

Grand  total  (a) 
1900. 


Paid  be- 
fore Dec. 
31. 


$188,793 

327,076 

16,970 


Due  but 

notpaid 

on  Dec. 

31. 


National  institution 

Private  companies 

Employers'  associations. 


Total. 


Private  funds . . 
Railroad  funds. 


Grand  total. 
1901. 


National  institution 

Private  companies ] 

Employers'  associations! 
Cooperative  funds 


f 14, 703 
183,423 


Total. 


1203,496 
510,499 
16,97C 


Per 

cent 

of 

wages. 


Premiums  paid,  com- 

i  pen- 

sation 

Per   ,i?.P«»" 


Amount. 


$279,823 
713,915 
25,129 


cent 

of     , 
wages. 


cent 

of  pro- 

mi- 

uras. 


72.72 
71.51 
67.53 


147,488 

328,260 

37.029 


512,777 


Total. 


Private  funds.. 
Railroad  funds. 


Grand  total. 
1902. 


National  institution 

Private  companies ...'... 
Employers'  associations 
Cooperative  funds 


Total. 


$2.5,495,077 

58,221,017 

6,037,116 

605,55? 


108.420 
235.365 


353,744 


255,908 

563. G25 

46,988 


866,521 


31,423,779 

65,484,573 

6,861,861 

583,329 


415,029 

309,834 

27,094 

2,899 


150,579 

16,219 

315 


415,029 

460,413 
43.313 
3,214 


Private  funds.. 
Railroad  funds. 


520, 137 

258,961 

33,425 

3,808 


218. 159 

11,127 

111 


520, 137 
477, 120 
44,552 
3,919 


1.62 
.79 
.72 
.53 


298,610 

662,617 

44,744 


1,005,971 


85.70 

85.06 

105.02 


86.14 


372,624 
567,826 
51,840 
6.071 


1.46 

.98 
.86 
1.00 


111.38 
81.08 
83.55 
52.94 


L66 
.73 

.65 
.67 


583,958 
646.715 
61,928 
17.965 


1.86 
.99 
.90 

3.06 


Grand  total 121,847,J 


89.07 
73.78 
71.94 
21.81 


The 


915,108       232,135   1,147,243  j      .94  j 1,310. 566 


1.06 


87.54 


a  Exclusive  of  railroad  funds. 


per  cent  TnlQm  Vfnl  ^'^'^'''^^  ««  ^ages  is  shown  to  be  0.96 
Lcurate  L!  ^nd  1.08  per  cent  in  1902.  Tliisis  not  altogether 
paid      Th^  n         ?  ti»%Private  and  railroad  funds  no  prenuums  are 

Private^unds  r'^  "^'f  'Z  f'  ''"'''  *^°^  ^'^^  '^^''  ^-^^Pting  the 

CpicentaL      ,-T   °^"^  ^"°'^''  "'■"  '-^^  ^^'l  l-26>  respectively. 

ra  es'^roptfo  "t£f  'Z  '^' J^'^'^'^-^  institution,  which  corrobl 

opmion  that  the  industnes  with  the  highest  risks  are  insured 


1740 


EEPORT   OF   THE   COMMrsSIONER   OP   LABOR. 


in  this  institution  Altogether,  however,  the  accident  insurance  sys- 
tem as  estabhshed  by  tl»e  law  of  1898  did  not  cost  ItaUan  industries 
much  over  1  per  cent  of  the  wage  expense  during  1898  to  1902  As 
the  amendments  of  1903,  embodied  in  the  codified  text  of  1904  made 
somewhat  more  liberal  provisions,  the  .;ost  is  now  considerably  higher 
In  fact  the  data  for  1903  to  1906,  though  not  very  accurate,  seem  to 
indicate  an  increasing  cost,  which  in  1904  amounted  to  1.56  per  cent 
in  1905  to  2.12  per  cent,  and  in  1906  to  2.19  per  cent. 

This  comparatively  low  cost  of  the  accident  insurance  system  in 
the  earber  years  is  explained  by  the  very  low  average  amount  of  the 
compensation.  From  the  two  preceding  tables  and  the  estimates  of 
Dr.  Magaldi,  quoted  below,  the  foUowing  statement  has  been  com- 
piled : 

NUMBER  OF  ACCIDENTS  COMPENSATED  AND  TOTAL  AND  AVERAGE  AMOUNT  OP 

INDEMNITY  PAID,  1899  TO  1905. 


Year. 


1899  (o) 
1900.... 
1901 ... , 
1902.... 


Acci- 
dents 
compen- 
sated. 


55,389 
68.733 
66,295 
63,369 


Indemnity  paid. 


Total. 


$738,621 

979, 543 

1,033,636 

1,147,243 


Aver- 
age. 


$13.34 
16.68 
15.59 
18.10 


Year. 


1903 
1904 
1905 


Ac«  i- 
dents 
comi  ken- 
sated  . 


Indemnity  paid. 


73.704 
121,654 
156,215 


Total. 


$1,286,948 
1.951,572 
2,558,732 


Aver- 
age. 


$17. 4ft 
16.04 
16.38 


a  Not  including  the  railroad  funds. 

Thus  the  average  amount  of  compensation  per  case,  while  increasing 
quite  rapidly,  amounted  in  1902  to  only  $18.10,  and  in  1905  to  $10.38! 
this  including  all  cases. 

A  general  average  like  the  above  has  a  limited  value.  Of  greater 
importance  are  the  averages  for  tlie  four  main  classes  of  accidents 
those  resulting  in  death,  complete  permanent  disability,  partial  per- 
manent disability  and  temporary  disabUity.  In  such  detail,  <lata 
are  available  only  for  the  year  1901,  and  they  are  shown  in  the 
table  following.  The  average  compensation  for  death  is  foun.l  to 
have  been  only  $633.42,  for  complete  permanent  disability  $640  24 
for  partial  permanent  disability  $151.64,  and  for  temporary  dis^ 
ability  which  cases  constitute  the  vast  majority  of  aU  accidents,  $3.83 

Mo  definite  conclusions  can  be  derivc^d  from  this  table  conceniing 
any  differences  between  the  various  classes  of  insurance  institutions 
except  that  the  benefits  paid  by  the  railroad  funds  are  considerably 
higher  than  those  of  other  institutions.  The  number  of  cases  of 
death  and  total  permanent  disability  is  too  small  for  the  averages  to 
be  trustworthy  Both  in  case  of  partial  permanent  disabUity  and 
temporary  disability  the  compensation  paid  by  private  insurance 
compames  seems  to  be  decidedly  smaller  than  that  paid  either  by 
the  National  Accident  Insurance  Institution  or  by  the  mutud 
employers'  associations. 


CHAPTER  Vn.— workmen's  INStlRANOE  IK  ITALY.  1741 

NUMBER  OP  ACCIDENTS  AND  AVERAGE  INDEMNITV    BY  RESULT  o,.  m..r»^ 

BV  GROUPS  OP  INSURANCE  INSTITUWoSs  IM  ^"^  '^'^ 
tSouroe^Bollettino  dl  NotWe  sul  Credl.o  e  sulla  Previden^,  lugust,  1906.] 


Injuries  resulting  in- 


Kind  of  fund  or  association. 


Death. 


Cases 


Total  perma- 
nent disa- 
bility. 


National  institution 

Private  companies .. . 
Employers'  associations.'.'."" 
Cooperative  funds.. 

Private  funds 

Railroad  funds. 


Total. 


279 

209 

31 

1 

6 

46 


Indem- 
nity 
per 
case. 


Cases. 


Indem- 
nity 
per 

case. 


Partial  perma- 
nent disa- 
bility. 


Cases. 


572 


$613.82 
62&93 
544.13 
724.00 
713.50 
820.39 


633.42 


10 
3 


Indem- 
nity 
per 

case. 


Temporary 
disability. 


Total. 


17 


$693.70 
794  33 


338.33 
651.00 


895 

1,627 

106 

6 

26 

101 


$169.  93 
127.  01 
168.36 
274.67 
136.57 
371. 13 


Cases. 


646.24 


2,761  i  151.64 


20,837 

35,178 

2,334 

182 

966 

3,448 


In- 
dem- 
nity 

per 
case. 


$4.07 
3.41 
3.93 
4.63 
5.27 
6.34 


Cases. 


62,945 


ass 


22,021 

37,017 

2,471 

189 

1,001 

3,596 


In- 
dem- 
nity 

per 
case. 


$1&85 
12.44 
17.53 
17.01 
13.93 
27.18 


66,295 


15u50 


ii^u»5,  iyu4,  and  1905  are  shown  m  the  table  followincr      Ti.^  ^ 
T£Zt "  f  ^*^"«--  --piled  by  the  auti^rrrorigl'leToS 

from  offi^ai  re,orC^r-J:::vtt:^  ::^^:  ^ 

S  Z  it     Th  °*  '^"^^  ^r  "'^^  *^^  fi^-^  ^-oiel  TewS 
co^Sle  aSSnTSlt '= -rt?er-  ^^ 

OENERA.  RESULTS  OP  TUE  -POCATIO.^^hE  ACCIDENT  INSURANCE  .AW.  .«„ 


^:::::^i3;^^^^;^«^^-^i^^  (^^-^e.,  nen  v,b,  ,«„,, 


Eight  insurance  institutions  reporting. 


$1,495,371 

lone   ■•    2,659,502 
1905...    3,153, 


Number 
of  work- 
men in- 
svu^d. 


$1,286,948 
1,951,572 
2,558,732 


73,704 
121,654 
156,215 


16.04 
16.38 


$86.06 
73.38 
81.13 


Annual 
wages  paid 
to  insured. 


Num- 
ber of 
acci- 
dents 

per 
1,000 

in- 
sured. 


841,602 
926,631 
1,031,325 


$27,735,447 
36,348,208 
43,003,053 


72 

95 

105 


Aver- 
age 
premi- 
lunper 
$1,000 

of 
wages. 


$7.96 
13.75 
19.10 


Aver- 
age 
pre- 
mium 

Kf 

sured 


Approx- 
imate 

number 
of  em- 

£loyees 
isured. 


$1.2911,163,563 
1.951,363,129 
2.021,563,659 


Ap- 
pro.x- 
imate 
num 
ber 
of 
acci- 
dents 
per 
1,000 
m- 
sured- 


63.34 
89.25 
99.90 


eight  companies.        ™^  """W"  »»  estimate  oJ  the  ft^nZ^z^'^^^^^^^^^'^ 


1742  BEPOET   OF   THE    COMMISSIONEB   OP   LABOE. 

The  table  indicates,  fii^t,  a  rapid  increase  in  the  number  of  acci- 
dents compensated,  proportionately  as  well  as  absolutely.  In  two 
years  the  absolute  number  has  more  than  doubled  (increased  by  112 
per  cent),  partly  through  inclusion  of  new  industries  by  the  amend- 

from  72  to  105  per  1,000,  or  45.8  per  cent.  The  ayerage  amount  of 
compensation  has  not  shown  any  tendency  to  increase,  being  in  1905 
less  than  m  1903  ($16.38  as  against  $17.4C),  but  the  total  amount  of 
compensation  has  doubled  and  the  amount  of  premiums  has  eye.i 
more  than  doubled.  The  ayerage  premium  per  insured  has  increased 
from  «1.29  to  $2.02,  and  the  cost  of  the  insurance  premium  fi^m  0  8 
doubled*  ^^^^^  *"  ^'^^  P^'"  *'^''*'  '"  <^°'^^iderably  more  than 

It  is  the  general  impression  in  Italy  that  this  rapid  increase  of 
accidents  repored  is  to  a  great  extent  due  to  fraudulent  pnustices, 
and  as  vnll  be  shown  m  a  later  section,  tlicse  conditions  haye  create.! 
a  strong  demand  for  amendment  in  the  procedure  by  which  such 
frauds  might  be  prevented. 

LITIGATION   UNDER   THE   LAW. 

As  one  of  the  purposes  of  the  law  is  to  .lo  away  with  unnecessary 
and  costly  htigation,  and  substitute  for  it  a  cheap,  automatic,  and 
orderly  manner  of  settling  disputes,  the  following  statistics  of  the 
cases  of  litigation  under  this  law  are  mteresting.  It  appears  that 
durmg  the  year  1906,  1,987  cases  were  disposed  of  in  some  way  and 
m  1907,  2,498,  while  2,431  were  pending  on  December  3^1 9^7 
making  a  total  of  6,916  for  these  two  years.  In  the  table  these  cases 
are  shown  by  the  result,  by  the  court,  and  also  by  the  group  of 
insurance  institutions.      .  j  s      f  "« 


CHAPTER  VII.— workmen's  INSURANCE  IN  ITALY.  1743 

LITIGATION  UNDER  THE  ACCIDENT  INSURANCE  LAW  DURING  1906  AND  1907. 
[Source:  BoUetttao  di  NotWe  sul  Credlto  e  sulla  Prevldenja,  1908,  Vol.  XXVI.] 


19C6. 

1907. 

1906  and  1907. 

Number  of  cases— 

Number  of  cases 

Total 
_  cases 

I 

Number  of  cases 

Kind  of  fund  or  asso- 
ciation and  classi- 
fication of  courts. 

Ad- 
judi- 
cated 

Com-  . , 
pj.jj_   Aban 

.  mised  ^°°®<^ 

Tota 
_  cases 

1 

.  Ad- 
judi- 
cated 

Com-  AK„^ 

pro-  ^^^ 

^j3g^  donee 

.   Ad- 
judi- 
cated 

Com- 

pro- 

.  misec 

1 

Pend 
i  ing 
on 
Aban-   De- 
[jdoned  cem- 
ber 
31. 
1907. 

Total 
cases. 

National  institution: 

Magistrates 

Lower  courts 

Court  of  appeals . 
Court  of  cassation 

79 

187 

54 

9 

125 

341 

13 

54 

117 

6 

258 

645 

73 

9 

97 

181 

52 

9 

197 

364 

11 

1 

70 

123 

4 

364 

668 
67 
10 

176 
368 
106 

18 

322 

705 

24 

1 

124 

240 

10 

1 

211 

668 

85 

12 

833 

1.981 
225 

31 

Total 

Insurance  companies: 

Magistrates 

Lower  courts 

Court  of  appeals. . 
Court  of  cassation 

329 

479 

177 

985 

339 

573 

197 

1,109 

668 

1,052 

374 

976 

3,070 

43 

109 
27 
11 

103 

244 

4 

1 

14 

26 

1 

160 

379 

32 

12 

51 

190 

43 

3 

117 

322 

5 

36 
54 

204 

566 

48 

3 

94 

299 

70 

14 

220 

566 

9 

1 

50 

80 

1 

243 

614 

79 

14 

607 

1,559 

159 

29 

TotAl 

Mutual  associations: 

Magistrates 

Lower  courts . . 
Court  of  appeals. 
Court  of  cassation 

190 

352 

41 

583 

287 

444 

90 

821 

477 

7% 

131 

950 

2,354 

94 

134 

22 

1 

35 
61 

1 

12 
9 

141 

204 

23 

1 

104 

160 

81 

2 

40 

78 

7 

15 
9 
3 

159 

247 

91 

2 

198 

294 

103 

3 

75 
139 

8 

27 

18 

3 

157 

255 

53 

5 

457 

706 

167 

8 

Total 

251 

97 

21 

369 

347 

125 

1 

9 

27 

"  i' 

499 

2 

15 

1 

598 

222 

48 

470 

1,338 

Cooperative  funds: 
Magistrates 

1 
5 
3 

1 

12 

3 

1 
5 
1 

2 

10 

4 

1 
16 

Lower  courts. . 

7 

3 

37 

Court  of  appeals. 
Court  of  cassation 

1 

10 

4 

1  otai 

9 

7 

16 

7 

10 

1 

18 

16 

17 

1 

10  1 

44 

xTivate  funds: 

Magistrates 

Lower  courts 

Court  of  appeals. 
Courtofcassation 

2 
11 

6 
2 

2 

8 

2 
1 

6 

20 

6 

2 

11 
13 

6    . 

1    . 

2 
14 

4 

17 

27 

6 

1 

13 

24 

12 

3 

4 
22 

6 
1 

5 

18 
1 
1 

28 
05 
13 

A 

Total 

21 

10 

3 

34 

31 

16 

4 

51 

52 

26 

7 

25 

110 

All  insurance  insti- 
tutions: 

Magistrates 

Lower  courts. . 
Court  of  appeals. 
Courtofcassation 

219 

446 

112 

23 

265 
661 
18 
1    . 

82       566 

153   1,260 

7       137 

24 

264 

549 

183 

15 

357 

787 
23 
1    . 

- 

125 
187   1 

7 

746 

,523 

213 

16 

483 
995   1 
295 
38 

622 

,448 

41 

2    - 

207 
340   1 
14 

016 

,565 

218 

32 

1.928 
4,348 

72 

-lotai 

— ___J1 

800 

945 

242   1 

,987  1,011    1,168 

319   2,498   1,811   2,113 

561  j2,431 

6,916 

setUed  fn  Tf'  ^'^^^  ^"'^  ^^""^^S,  so  that  only  4,485  were 

abandoned  2  m  T,"^-  ""'  *'^"^'  '^''  "^  ^^-S  per  cLnt,  were 
!nd  only  1  si  n  """Jl  P'""  '"''''  ^'"^  «o'"Pr"'"i«e«i  out  of  court, 
number  of '1'  ^-  "'^  ?"''  '^''^'  ^^'^  adjudicated  in  court.     Th^ 

rea"he:nearf;T50  ^Fo^'t^  ^Tr  T^''^''^^  '''^*'*"""- 

tution  and  tKl  I    '   .    •  ^^"^  National  Accident  Insurance  Insti- 

luiion  and  the  pnvate  msurance  companies,  the  report  dves  the  fol 

atTf  tim?'""'^  '°'-  '''''  ^^^  fi^--  ^-  1907  -t  beS; "vaUabt 


1744 


EEPOET  OF  THE  COMMIS8I0NEE  OF  LABOR. 


(Source:  BoUettino  d.  No.ule  sul  Credlto  e  sulla  Prevldema,  IMS,  Vol.  XXVI.] 


Kind  of  Insurance  In- 
stitution. 


Num- 
ber of 
acci- 
dents. 


National  Accident  In- 
surance Institution. 

Private  insurance 
companies 


Amount 

of 
premiums 
received. 


Amount 
of  com- 
pensation 
paid  for 
accidents. 


Cases  of  litigation  on  account  of  accident. 


Adjudi- 
cated. 


66,077 
86,416 


$1,244,289 
1,637,595 


Num 
ber. 


11,119,064 
1,407,155 


329 
190 


Per 
1,000 
acci- 
dents 


Compro- 
mised. 


4.98 
2.20 


Num- 
ber 


479 
352 


Per 
1,000 
acci- 
dents 


Abandoned. 


7.25 
4.07 


Num- 
ber. 


177 
41 


Per 
l.OUO 
acci- 
dents 


Total. 


2.68 
.47 


Num- 
ber. 


985 
583 


Per 

1,000 
acci- 
dents 


14.91 
6.75 


It  appears  from  this  comparison  that  of  the  ca^es  insured  in  the 
Nat  onal  Accident  Insurance  Institution,  nearly  15  cases  per  thousand 
led  to  btigation  while  for  the  private  insurance  compaJfes  the  pr^ 
portion  IS  less  than  7  per  thousand.  It  is  exolained  in  fl.o  .flf  ^ 
report  however,  that  this  difference  agairit  thfn'ttnal  stitSbn 
IS  not  due  to  any  tendency  of  this  institution  to  put  difficu  lies  n  Z 
way  of  paying  compensation  and  to  call  forth  htigatbn   bltto    he 

!!*  *;    T'*'  ~'""=^  ''"'^P^'^^^  "^^y  scnitLze  thetjui 
for  accident   msurance   and   decline   the   risks,   while   the  natZal 

msurance  institution  is   prohibited   from  declining  any  apSt.on 

for  msurance,  and  therefore  gets  the  worst  insurance  conScts 

THE  NATIONAl  ACCIDENT  mSTTKANCE  mSTITUTIOlT. 

Among  the  institutions  provided  for  accident  insurance  the  mo.,f 
important  is  the  National  Institution  for  Insuranro  Workmen 
agamst  Industriah  Accidents  (Cassa  Na^u.ru.U  d'  AssuuraJZ^ 
gllnfoHumdegh  OTpera^  sul  Lavoro),  not  only  because  of  its  closl 
official  relations  with  the  Government,  making  it  practicaUv  a  state 
institution  and  because  of  the  large  amount'of  a^ccTdent  i Urlt 
It  carnes,  but  also  because  of  its  history  and  the  r61e  it  played  in  Z 
development  of  the  idea  of  accident  insurance.  Italy  jiined  the  £ 
of  countries  with  compulsory  accident  insurance  in  1^98,  after  a  lot 
and  obstmate  opposition,   which  laste.l    nearly  20   years       Duri  .1 

tt  Jettd  oit  n  "'^'"^  ^'^  '^'''' '"  ^'^'^^^ '-  p-''»-  ^^o3 

the  method  of  voluntary  insurance,  and  because  the  establishment 
of  this  system  did  not  change  the  legal  status  of  employer^'  iaSv 
no  objections  were  raised  to  the  biU  to  establish  «  SiA^^ai-  "*''"'*^' 
institution  for  the  voluntary  insurance^Tltwn  a^Z  ™ 

lylin^Tsst^tt'th^^rrnr  * '"  '""^  ^^'''—  -  ^-  -- 

Soduced  ^'''  *  '^''"^"^  "*  compensation  was 


CHAPTER  VII. — workmen's  INSURANCE  IN   ITALY.  1745 

For  15  years  (1883  to  1898)  this  system  of  voluntary  insurance 
operated  before  the  law  for  compulsory  insurance  was  finally  passed 
and  while  the  voluntary  system  was  admitted  to  be  insufficient  the 
volume  of  the  operations  under  this  system  was  constantly  grovring 
In  the  system  of  compulsory  insurance,  as  introduced  by  the  law  of 
1898,  this  national  insurance  institution  was  given  a  prominent 
function,  but  its  operation  under  the  new  law  has  radically  changed 
in  so  many  important  respects  that  the  history  of  this  institution 
is  divided  by  the  law  of  1898  into  two  weU-defined  periods. 

HISTORY. 

The  National  Accident  Insurance  Institution  is  a  private  institu- 
tion, organized  by  ten  private  savings  and  banking  institutions  («) 
which  on  February  8, 1883,  concluded  an  agreement  with  the  minister 
of  agriculture,  industry,  and  commerce.  This  agreement  was  approved 
by  the  law  of  July  8,  1883.  The  law  granted  to  this  private  insti- 
tution certam  privileges,  such  as  the  free  cooperation  of  the  postal 
savings  banks  m  all  its  financial  transactions,  the  exemption  of  aU 
Its  transactions  from  stamp  duties  and  other  taxes,  and  the  exemption 
of  the  institution  from  the  provisions  of  the  Commercial  Code  con- 
cerning commercial  corporations.  The  system  of  voluntary  insur- 
ance against  accidents  as  it  existed  until  the  law  of  March  17  1898 
went  into  effect,  was  established  by  this  agreement  and  the  foliowin^ 
acts:  The  law  of  December  3,  1886,  and  royal  decrees  of  March  3 
1884  (approving  the  rates),  July  3,  1884  (approving  the  constitution 
and  by-laws),  July  24,  1887,  November  22,  1888,  and  December  2^^ 
1888  (approving  the  revised  by-laws). (») 

The  institution  was  left  its  autonomous  administration,  though  put 
under   government    control.     It    was    self-supporting,    that    is     no 

ma'nl/flr  tf  .«°^™-*  --  g-^^ed.  Its  income  was  derived 
mainly  from  the  msurance  premiums,  and  in  addition  from  interest 

ZTi^tirt  "'  '"™  othermisceUaneous  sources.  The  TnS 
InLl  /'.  T""^"'  7"'^  ^*'«"'  ^"'l  t^eretore  presented  a  sub- 
plots "t        r^  "'^^  ""•^^'^  *"  "'^'^^'-^^'^^  the  insurance  of  em- 

tt stabU^l  fT'°''  •''"'  '°*'''"^^  ^°'"'^**'7'  it  f°"°«'«  that 
tne  estabhshment  of  this  institution  did  not  introduce  any  change  in 

Roml'VtlJr  crurth^J''"rn  ^^'*"''^  ''^■"^  "'  **"-■  -runn.  Bologna, 
Genoa  and  t^'ellnTo'mtnt".  .  """"t '""'  "'  ^'"'y^  *«  '-"  ^^'"^^  ^-^^t 
lire mi5,m)(M~Z  .r-  ^^^  **'■''"  institution  contributed  600,000 
bank  200  000  l^ejsl^f  ^T  ^  '"'T"^  *"  ^^''^  ^"^  (1120,625)),  the  Naples 
100,000  li^e  ($I9  3(L)t^\L.V*'°'^f  l"^"'  ^°''«°*'  ^'«"'''  ^o"*' ^"d  Sicily 
Venice  and  cU'^S'li^e  (^  eal   ''''^  ''''  ''''''''''  ""^  *^  ''-'^  »' 

w  srur^'^riri"  ¥r:/'^ntT  ''''■  ^^^  *^-^-  ««»-• 

Troisifeme  partie,  pages  1^3-i700  ^  Assurance  Contre  les  Accidento. 


1746 


REPORT   OF   THE   COMMISSIONER    OF   LABOR. 


the  legal  relations  of  the  employers  and  employees,  and  put  no  financial 
obligations  upon  the  industries  except  as  the  employer  was  willing 
to  insure  his  employees  at  his  own  expense. 

The  insurance  institution  was  organize*]  in  recognition  of  the 
necessity  of  some  provision  for  the  victims  of  industrial  accidents,  as 
well  as  of  the  advantages  of  an  orderly  adjustment  of  claims  oVer 
protracted  judicial  procedures.  Notwithstanding  the  recognition  of 
the  advantages  of  insurance,  the  obUgatory  system  was  claimed  to  be 
ill  adapted  to  Itahan  conditions,  because  tlie  burden  of  such  insur- 
ance was  excessive  in  view  of  the  weak  position  of  ItaUan  industry, 
and  because  the  compulsion  was  out  of  harmony  with  Italian  condi- 
tions. Therefore  it  was  reasoned  that  the  development  of  voluntary 
insurance  was  more  desirable,  and  for  this  development  the  national 
institution  was  to  be  a  most  efficient  stimulus.  There  had  existed 
some  private  accident  insurance  even  before  the  institution  was 
organized;  but  it  was  costly  and  therefore  not  popular.  The  national 
institution  was  able  to  quote  very  low  premium  rates  for  thrt^e  reasons: 
The  absence  of  a  profit  motive  in  its  organization  by  the  ten  savings 
banks,  which  are  institutions  for  social  welfare;  the  low  cost  of 
administration,  and  the  material  advantages  arising  from  the  guar- 
antee fund  and  the  privileges  offered  by  the  Government.  The 
premium  rates  of  the  National  Accident  Insurance  Institution  were 
very  much  lower  than  those  quoted  by  private  insurance  companies, 
the  latter  in  some  cases  being  300  or  400  per  cent  higher.  («)  It  thus 
not  only  offered  a  very  cheap  form  of  insurance  but  was  to  act  as  a 
factor  in  forcing  the  private  companies  to  reduce  their  rates. 

The  National  Accident  Insurance  Institution  began  its  operations 
on  a  very  small  scale,  but  grew  rapidly  during  the  earli(;r  years. 
In  1884  the  number  of  insured  was  less  than  500;  in  1886,  over  30,000* 
and  in  1890  over  100,000.  In  1897,  on  the  eve  of  the  adoption  of 
the  compulsory  accident  insurance  law,  the  total  number  of  insured 
was  172,869. 

PRESENT  PURPOSE  AND  SCOPE. 

The  original  legislation  concerning  the  national  institution  still 
remains  in  force,  and  only  new  regulations  concerning  premiums  and 
indemnity  were  issued  in  1898  and  1903  to  conform  with  the  require- 
ments of  the  new  law.  The  institution  provides  accident  insurance 
to  all  wlio  apply  for  it.  According  to  the  law  of  1904,  it  must  accept 
all  insurance— and  even  all  reinsurance— oftered,  though  it  may  in- 
crease the  premiums  when  the  insurance  asked  presents  a  special  risk. 
The  law  further  provides  that  estabhshments  operated  by  the  state, 

«Avantage  du  libre  choix  de  Tassureur-Coagr^s  International  des  AccldentH  du 
Travail  et  des  Assurances  Sociales.  Troisi^me  Session,  Milan,  1894  Tora«>  1  na^ea 
865  to  881.  '  ^^ 


CHAPTER  VII. workmen's   INSURANCE  IN   ITALY.  1747 

provincial  and  communal  governments,  or  by  private  persons  by 
franchise  from  the  Government,  must  insure  their  employees  in  the 
national  mstitution. 

As  far  as  obhgatory  insurance  is  concerned,  the  general  provisions 
of  the  accident  insurance  law  apply.  Voluntary  insurance  against 
accidents  may  be  contracted  for  by  any  industrial  or  agricultural 
estabhshment  in  the  country. 

According  to  the  decree  of  November  22,  1888,  all  workmen 
who  reside  within  the  Kingdom  and  who  have  reached  the  age  of  9 
years  may  be  insured.  According  to  the  agreement  of  1883  the 
minunum  age  was  10  years.  The  blind,  deaf,  mute,  epileptic,  and 
msane  are  excluded,  as  a  rule,  though  the  executive  committee  may 
permit  the  msurance  of  deaf,  mute,  or  blmd.  Epileptics  may  be 
insured  only  m  the  collective  form  and  persons  over  70  years  of  age 
only  m  the  individual  form.  ^ 

.  ^.^^f.  ^^^  beginnmg  of  the  operations  of  the  national  insurance 
institution  It  has  insured  against  the  results  of  industrial  accidents 
namely,  death,  total  or  partial  permanent  disabihty,  and  temporary 
disabihty.  Each  insurance  poHcy  may  or  may  not  include  the 
latter  separate  schedules  of  rates  being  provided  for  insurance  which 
mcludes  temporary  disabihty  benefits. 

BENEFITS. 

f„,^/^fi  T^.^^  organization  of  the  national  insurance  institution 
for  the  first  15  years  of  its  existence  was  based  upon  the  principle  of 
voluntary  msurance,  no  fixed  amounts  of  compensation  couJd  be 
estabhshed,  the  determmation  of  the  amounts  being  left  to  individual 
contracts  and  depending  upon  the  insurance  premimn  paid,  as 
explamed  m  a  later  section.  f    u,    as 

The  foUowing  stipulations  were  made  in  regard  to  the  payment  of 
compensation.  In  case  of  death,  the  whole  amomxt  of  insurance  was 
paid  to  the  legal  heu^.  Of  permanent  disabUity,  three  degrees  were 
recognized  First  degree:  Total  permanent  disability,  incFuding  the 
OSS  of  both  eyes,  both  arms,  both  hands,  both  feet,  one  arm  and  one 
hand,  one  hand  and  one  foot,  or  incurable  mental  disease.  For  such 
disability  the  payment  of  the  full  amount  of  insurance  wa^  granted 
Second  degree:  Permanent  disability,  reducing  the  earning  capacity 
one-half  or  more,  mcludmg  such  injuries  as  the  loss  of  one  arm  or 
hand  or  one  leg  or  foot,  or  such  mental  disease  as  does  not  altogether 
disqualify  the  person  from  employment.  Tliird  degree:  WTien  the 
uijuiy  IS  not  as  serious  as  in  the  preceding  degrees,  but  yet  lea<ls 
to  permanent  dimmution  of  earning  power,  such  as  loss  of  one  eve 
or  one  or  several  fingers.  For  injuries  leading  to  disability  of  Ihe 
second  or  third  degree  from  10  to  80  per  cent  of  the  total  amount 
of  insurance  was  paid.     Indemnities  for  permanent  disabihty  or 


1748 


REPORT   OF   THE   COMMISSIONER  OF  LABOR. 


death  were  paid  if  these  consequences  developed  within  one  year 
from  the  day  of  the  accident. 

In  case  of  temporary  disability  the  full  amount  of  the  daily  benefit 
stipulated  in  the  insurance  pohcy  is  paid  from  the  sixth  day  through- 
out the  continuance  of  the  disability,  but  not  over  360  days.  The 
original  agreement  provided  for  compensation  for  temporary  disability 
to  begin  one  month  after  the  injury;  but  by  the  law  of  December  23, 
1886,  the  superior  council  was  permitted  to  reduce  this  period,  with 
the  approval  of  the  Government,  and  by  the  decree  of  July  24,  1887, 
the  payment  of  compensation  beginning  with  the  sixth  day  was 
permitted. 

The  amount  of  daUy  benefits  could  be  reduced  by  20  per  cent  to 
40  per  cent  after  the  first  24  days.  If  the  duration  of  disability 
could  not  be  estimated,  or  was  likely  to  last  over  three  months,  the 
institution  could,  with  the  agreement  of  the  injured  person,  substitute 
a  lump  sum  for  the  daily  benefits.  This  amount  of  benefits  paid  for 
temporary  disabiUty  must  be  deducted  from  the  amount  due  for 
permanent  disability  or  death  when  such  results  finally  develop. 
Furthermore,  maximum  limits  of  indemnity  were  estabhshed  by  the 
regulations,  which  meant  putting  a  limit  to  the  amount  of  insurance. 
For  cases  of  death  and  total  permanent  disabUity  the  limit  was 
10,000  lire  ($1,930),  and  for  temporary  disability  5  lire  (97  cents) 
per  day. 

The  national  insurance  institution  may  also  insure  the  employers 
against  the  risk  of  employers'  liabihty,  but  the  limit  of  insurance 
must  not  exceed  10,000  lire  ($1,930).  The  maximum  limit  may  be 
made  smaller  by  the  executive  committee,  and  must  be  specified  in 
the  policy.  In  any  case  the  institution  insures  to  the  employer  the 
payment  of  only  nine-tenths  of  the  judgment  in  favor  of  the  employee, 
and  m  case  of  7  classes  of  greater  risk  (out  of  the  14  classes  intci 
which  all  the  establishments  were  divided)  only  eight-tenths.  Thus 
the  interest  of  the  employer  in  preventing  severe  industrial  accidents 
IS  not  entirely  eliminated,  even  if  the  emplover  carries  insurance 
against  employers'  Habihty. 

With  the  introduction  of  compulsory  compensation  for  accidents 
by  the  law  of  1898  and  subsequent  acts  the  compensation  for  acci- 
dents under  contracts  made  in  compliance  witli  these  laws  are  regu 
lated;  but  there  is  in  addition  a  considerable  amount  of  voluntary 
msurance,  for  which  the  rates  of  compensation  are  arbitrary. 

SOURCES   OF   INCOME. 

The  National  Accident  Insurance  Institution  is  a  seK-supporting 
institution.  Its  income,  besides  the  small  revenuelrom  interest  on 
the  endowment  and  other  investments,  is  derived  from  the  premiums 
paid  by  the  persons  contracting  for  insurance.     As  the  law  requires 


CHAPTER  VII. — workmen's  INSURANCE  IN   ITALY.  1749 

the  employers  to  meet  this  cost  in  all  industries  specified,  by  far  the 
largest  share  now  comes  from  the  employers.  The  State  does  not 
contribute  directly  to  the  resources  of  the  insurance  institution.  A 
certam  amount  of  individual  insurance  against  accidents  is  still  writ- 
ten by  the  institution.  Employees  in  industries  not  covered  by  the 
laws  of  1898  and  1903  may  thus  obtain  protection  for  themselves  at 
their  own  expense.  Employers  may  voluntarily  insure  workmen  at 
their  own  expense,  and  special  provisions  were  also  made  for  collec- 
tive insurance  of  the  membership  of  mutual  benefit  societies. 

PREMIUMS. 

The  study  of  the  premiums  and  their  development  is  of  great 
importance  because  it  throws  some  light  upon  the  problem  of  cost  of 
accident  insurance.  During  the  25  years  of  its  existence  the  pre- 
miums of  the  National  Accident  Insurance  Institution  have  under- 
gone many  revisions,  mainly  with  a  view  of  their  increase. 

The  general  scale  of  premiums  depended  upon  the  forms  of  insur- 
ance, m  addition  to  the  variation  of  the  trade  risk.  Three  forms  of 
msurance  were  recognized  at  the  beginning  of  the  operations— indi- 
vidual insurance,  simple  collective  insurance,  and  combined  coUective 
insurance.  Individual  insurance  is  a  contract  entered  into  with  an 
individual  employee,  and  guaranteeing  him  a  specified  sum  in  case  of 
injury  sustamed  from  an  industrial  accident.  Simple  coUective 
msurance  may  be  carried  either  by  an  employer  for  his  employees  an 
employer  and  his  employees  jointly  for  the  benefit  of  the  latter  or 
an  association  of  workmen  for  the  benefit  of  its  members  Finally 
combmed  collective  insurance  is  carried  either  by  the  employer  indi- 
vidually or  jomtly  with  his  employees  in  favor  of  the  latter,  and  in 
addition  to  the  regular  benefits  also  insures  the  employer  against 
judgments  arising  out  of  employers'  liability.  Insurance  against 
employers'  habihty  only  was  not  permitted. 

The  insurance  premiums  differed  for  each  of  these  three  forms  of 
msurance  and  also  varied  accordmg  to  tlie  degree  of  risk.  For  these 
purposes  all  industries  and  classes  of  employees  were  divided  into  14 
classes  on  the  basis  of  the  imperfect  accident  statistics  obtamable  at 
the  time,  and  a  long  fist  of  such  industries  and  form  of  work  and 
employment  was  prepared,  which  contained  nearly  700  items.  In 
addition  separate  rates  were  quoted  per  i)erson  insured  and  per  1  000 
lu-e  ($193)  of  wages  paid,  the  former  for  all  forms  of  insurance  and 
the  latter  only  for  coUective  insurance.  As  insurance  may  be  written 
either  with  or  without  the  inclusion  of  temporary  disability  benefits 
separate  premium  rates  were  prepared  for  both  forms.       '  ' 

The  first  tariff  of  premiums  was  approved  by  the  councU  of  the 
mstitution  m  February,  1884;  it  was  sUghtly  modified  and  raised  in 


i^SMBib 


1750 


REPORT   OF   THE   COMMISSIONER  OF  LABOR. 


December,  1888.  Both  tariffs  are  given  for  the  different  forms  of 
insurance  in  the  following  table.  Tariff  A  was  appUcable  to  indi- 
viduals insuring  themselves  against  the  results  of  industrial  acci- 
dents. Tariffs  B  and  D  were  intended  for  collective  insurance. 
Tariff  B  granted  the  right  to  the  same  comj)ensation  as  tariff  A,  but 
it  was  lower  because  of  the  collective  nature  of  the  insurance.  In 
tariff  D  the  rates  are  for  compensation  to  tlie  employee  and  also  the 
insurance  of  the  employer  against  liability  within  the  limits  speci- 
fied, namely,  up  to  10,000  lire  ($1,930).  For  the  seven  lower-risk 
groups  the  insurance  covered  only  nine-tenths  and  for  the  seven 
higher-risk  groups  only  eight-tenths  of  the  judgment  in  favor  of  the 

employee. 

For  all  the  three  classes  of  insurance  the  rates  of  compensation 
could  be  doubled,  trebled,  etc.,  by  corresponding  increases  of  the 
premium. 

Tariffs  B  and  D  can  be  applied  conveniently  only  to  permanent 
employees  and  would  present  many  practical  difficulties  with  a  shift- 
ing body  of  employees.  These  rates  were  therefore  open  to  perma- 
nent bodies,  such  as  mutual  benefit  associations  or  similar  organiza- 
tions, or  to  such  employers  as  were  able  to  furnish  complete  lists  of 
names  of  employees.  In  all  cases  the  application  of  these  tariffs 
required  a  special  permit  of  the  administrative  council  of  t]m  national 
insurance  institution. 

The  policies  for  which  the  premium  rates  shown  in  the  following 
tabl^  were  paid  included  a  death  benefit  of  1,000  hre  ($193),  a  total 
permanent  disabihty  benefit  of  1,000  lire  ($193),  a  partial  permanent 
disability  benefit  in  proportion  to  the  reduction  of  earning  power,  a 
temporary  disabihty  benefit  of  1  lira  (19.3  cents)  per  day,  and  an 
employers'  habihty  insurance  up  to  10,000  lire  ($1,930),  but  not  more 
than  nine-tenths  of  the  judgment  for  classes  1  to  7  and  eight-tenths 
for  classes  8  to  14. 


1/ 


CHAPTER  VII. — workmen's  INSURANCE  IN   ITALY.  1751 

ANNUAL  PREMIUM  RATES   PER   PERSON  INSURED,  AS  APPROVED  IN  1884  AND  IN 
1888.  BY  FORM  OF  INSURANCE  AND  CLASS   OF  RISK. 

ISource:  BoUettlno  dl  Notizle  siil  Credit©  e  sulla  Previdenza,  1884.    Cassa  Nazionale  d'AssicurazIone  per 
gl'Infortuni  degli  Operai  sul  Lavoro.    Regolamento  dei  premi  e  delle  indennita  e  tarifle.    Milano,  1898.] 


Form  of  insurance. 

Premium  rate  per  person  insured  in  risk  class — 

I 

Lire. 
1.00 

1.50 

.60 
.72 

.90 
L08 

1.03 
1.39 

II 

m 

IV 

V 

Lire. 
1.85 

2.77 

1.12 
1.28 

1.68 
1.92 

2.17 
2.81 

VI 

Lire. 
1.99 

2.99 

1.28 
1.44 

1.92 
2.16 

2.44 
3.16 

VII 

Lire. 
2.24 

3,36 

1.44 
1.60 

2.16 
2.40 

2.95 
3.75 

VIII 

Lire. 
2.73 

4.13 

1.60 
1.99 

2.40 
2.99 

3.54 
4.54 

IX 

X 

XI 

xn  xiTi 

XIV 

Individual  insurance  (tariff 
A),  1884:  (a) 

Without  temporary  dis- 
ability benefit 

With  temporary  disabil- 
ity benefit 

Lire. 
1.12 

1.68 

.72 
.80 

1.08 
1.20 

1.41 
1.81 

Lire. 
1.35 

2.03 

.80 
.96 

1.20 
1.44 

1.55 
2.03 

Lire. 
1.57 

2.35 

.96 
1.12 

1.44 

1.68 

1.87 
2.43 

Lire. 
3.29 

4.93 

1.99 
2.40 

2.99 
3.60 

4.47 
5.67 

Lire. 

4.60 

6  90 

2.40 
3.20 

3.60 
4.80 

6.37 
7.97 

Lire. 
6.13 

9.20 

3.20 
4.80 

4.80 
7.20 

8.94 
^\  "id 

Lire.  Lire.  Lire. 

8.0510.0513.00 

1 
1 

19  OK  i<^  no  10   RA 

Simple  collective  insurance 
(tariff  B)  (exclusive  of  em- 
ployers' liability): 
Without    tempo-1 ,  qq. 
rary    disability  l}^- 

beneflt •'jlSSS.. 

With    temporary),  CQ. 
disability  bene-J}|°|- 

Comblned  collective  insur- 
ance (tariff  D)  (with  em- 
i                         ployers'  liability),  1888:  (6) 
1                             Without  temporary  dis- 

1                               ability  benefit 

1                           With  temporary  disabil- 
1                              Ity  benefit 

4.80 
7.20 

7.20 
10.80 

12.40 
16.00 

iW.  W^   ±it.  uu 

8.0012.00 
9.6012.00 

12.00;18.00 
14.4018.00 

15.8619.33 

-ittl.  «M» 

a  Not  changed  in  December,  1888. 


b  No  corresponding  tariff  in  1884. 


The  normal  tariffs  used  were  those  based  upon  the  amount  of  the 
wage  expenses,  and  quoted  per  1,000  lire  ($193)  of  wages  paid,  rather 
than  those  based  on  the  number  of  persons  employed.  According  to 
the  first  tariflf  of  1884,  the  amount  of  compensation  agreed  upon  in 
case  of  death  or  total  permanent  disabihty  could  be  either  one,  two, 
three,  or  four  years'  salary;  partial  permanent  disabihty  was  com- 
pensated proportionately,  and  for  temporary  disability  the  daily 
allowance  was  equal  to  one-thousandth  of  the  insurance  in  case  of 
death. 

The  tariff  C  as  quoted  covered  insurance  for  all  the  possible  conse^ 
quences  of  industrial  accidents — death,  permanent  disabihty,  and 
temporary  disability — but  if  it  was  desired  to  exclude  all  provision  for 
temporary  disability  the  premium  rates  were  reduced  one-third. 
This  form  of  insurance  included  employers'  liability.  It  was  evi- 
dently expected  in  the  beginnmg  that  the  payments  connected  with 
this  form  of  insurance  would  be  heavy.  Thus  two  tariffs  were  pre- 
pared, C  and  C\  the  former  insuring  only  nine-tenths  of  the  employers' 
hability  and  C*  insuring  the  entire  hability ;  and  the  difference  between 
these  two  tariffs  was  considerable,  as  may  be  seen  from  the  following 
table.  Moreover,  such  unlimited  insurance  of  employers'  habihty 
was  permitted  only  for  the  classes  of  lower  risks,  I  to  X,  so  that  for 
the  classes  XI  to  XIV  the  rates  are  equal  m  both  tariffs  C  and  O. 
67725°— VOL  2—11 17 


1752 


REPORT   OF   THE   COMMISSIONER  OF   LABOR. 


The  premiums  for  various  amounts  of  insurance  were  not  proj)or- 
tionate  to  the  amount  of  compensation,  which  is  partly  explained  by 
the  inclusion  of  the  fixed  charge  for  employers^  liability. 

The  premiums  shown  in  the  next  table  were  for  the  following 
benefits: 

(1)  In  case  of  death  or  total  permanent  disability,  an  amount  equaj 
to  the  specified  number  of  times  the  annual  wages. 

(2)  In  case  of  partial  permanent  disability,  a  proportionate  part  of 
the  sum  above  mentioned,  according  to  the  reduction  of  earning  power. 

(3)  In  case  of  temporary  disability,  a  daily  benefit  equal  to  one- 
thousandth  part  of  that  amount,  but  not  over  the  daily  wages  and 
not  over  5  lire  (96.5  cents),  beginning  with  the  thirty-first  day  of 
disability  and  up  to  three  hundred  and  sixty  days. 

(4)  A  guarantee  of  employers'  liability,  unlimited  (tariflF  0*)  or  up 
to  nine-tenths  (tariff  C). 

ANNUAL  PREMIUM  RATES  PER  1,000  LIRE  ($193)  OF  WAGES  PAID   ACCORDING  TO  THE 
TARIFF  OF  1884,  BY  FORM  AND  AMOUNT  OF  INSURANCE  AND  CLASS  OF  RISK. 

[Source:  Bollettino  di  Notlzie  sul  Credito  e  sulla  Prevldenza,  1884.] 


Form  and  amount  of 
insurance. 


Combined  collective  insur- 
ance, with  insurance  of  em- 
E lovers'  liability  limited 
)  nine-tenths  (tariff  C). 
Amount  of  policy: 

1  year's  wages 

2  years'  wages 

3  years'  wages 

4  years'  wages 

Combined  collective  insiu"- 

ance,  with  unlimited  in- 
surance of  employers'  lia- 
bility (tariff  Ci). 
Amount  of  policy: 

1  year's  wages 

2  years'  wages 

3  years'  wages 

4  years'  wages 


Premium  rate  per  1,000  lire  ($193)  in  risk  class- 


Lire 
1.30 
2.05 
2.75 
3.40 


1.44 
2.28 
3.06 
3.78 


II 


Lire. 
1.39 
2.49 
3.32 
4.10 


1.54 
2.76 
3.69 
4.56 


III 


Lire. 
1.81 
2.81 
3.73 
4.56 


2.01 
3.12 
4.14 
5.07 


IV 


Lire 
2.03 
3.24 
4.37 
5.40 


2.25 
3.60 
4.86 
6.00 


Lire. 
2.43 
3.83 
5.13 
6.35 


2.70 
4.26 
5.70 
7.05 


VI 


Lire. 

2.81 
4.40 
5.89 
7.29 


3.12 
4.89 
6.54 
8.10 


vn 


Lire 
3.16 
4.97 
6.64 
8.18 


3.51 
5.52 
7.38 


vm 


Lire 
3  75 
5  72 
7  56 
9.18 


4  14 

(..  36 
H  40 


9. 09!  10  20 


IX 


Lire. 
4.54 
7.02 
9.32 

11.39 


5.04 

7.80 

10.35 

12.66 


Lire 

5.67 

8.64 

11.34 

13.77 


6.30 

9.60 

12.60 

15.30 


XI 


Lire. 

7.97 
11.88 
15.39 
18.50 


(a) 
(«) 
(«) 
(«) 


XII 


Lire. 
11.34 

17.28 


xm 


Lire. 

16.88 

27.00 


22.li836.45 
27.64  45.23 


(•) 


XIV 


Lire. 
25.33 
40.50 
54.68 
67.68 


(«) 
(a) 
f«) 
f«) 


a  Unlimited  Insiu-ance  of  employers'  liability  not  permitted  for  this  class. 

These  tariffs  per  1,000  lire  ($193)  of  wages  paid,  as  the  most  fre- 
quently used,  were  most  modified  in  1888.  Tariff  C^  was  altogether 
abolished,  it  being  considered  undesirable  to  grant  unlimited  insurance 
of  employers'  liabiHty.  Tariff  C,  for  combined  collective  insurance 
with  limited  employers'  liability,  became  tariff  E,  and  a  new  tariff  for 
simple  collective  insurance,  per  1,000  lire  ($193)  of  wages  paid,  was 
prepared. 

The  determination  of  the  compensation  in  multiples  of  the  annual 
earnings  was  thought  too  rigid,  and  a  more  flexible  system  of  multiples 
of  daily  wages  was  substituted,  eight  classes  being  recognized  instead 
of  the  previous  four  classes.     As  in  the  preceding  tariff  of  1884,  tariffs 


rj 


CHAPTER  VII. workmen's   INSURANCE   IN    ITALY.  1753 

* 

C  and  E  cover  insurance  for  all  the  possible  consequences  of  industrial 
accidents.  If  it  was  desired  to  exclude  temporaiy  disability  the 
premium  rates  according  to  tariff  C  were  reduced  by  one-third.  As 
Tariff  E  included  a  charge  for  employers'  liability  insurance,  it  could 
be  adjusted  for  the  exclusion  of  temporary  disability  by  deducting 
from  the  quotation  of  tariff  E,  which  is  to  be  used,  one-third  of  the 
corresponding  quotation  from  tariff  C. 

The  premiums  shown  in  the  next  table  were  for  benefits,  as  follows: 

(1)  In  case  of  death  or  total  permanent  disability,  an  amount  equal 
to  the  specified  number  of  times  the  daily  earnings. 

(2)  In  case  of  partial  permanent  disability,  a  proportionate  part 
of  the  sum  above  mentioned,  according  to  the  reduction  of  earning 
power. 

(3)  In  case  of  temporary  disability,  a  daily  benefit  equal  to  one- 
thousandth  of  that  amount. 

(4)  Under  the  combined  collective  insurance  policy,  a  guarantee  of 
employers'  liability  up  to  10,000  lire  ($1,930),  not  exceeding  nine- 
tenths  of  the  judgment  for  classes  1  to  7  and  eight-tenths  for  classes 
8  to  14. 

ANNUAL  PREMIUM  RATES  PER  1,000  LIRE  ($193)  OF  WAGES  PAID,  ACCORDING  TO  THE 
TARIFF  OF  1888,  BY  FORM  AND  AMOUNT  OF  INSURANCE  AND  CLASS  OF  RISK. 

ISom-ce:  Cassa  Nazionale  d'Assicurazione  per  gl'  Infortuni  degli  Operai  sul  Lavoro.    Regolamento  dei  preml 

e  delle  indennit^  tarifle.     Milano,  1898.J 


Form  and  amomit  of  insur- 
ance. 


Simple  collective  insurance 
(tariff  C): 
Amount  of  policy — 

300  days' wages 

400  days'  wages 

500  days'  wages 

600  days'  wages 

700  days'  wages 

800  days'  wages 

900  days'  wages 

1,000  days'  wages 

Combined  collective  msvir- 
ance  (tariff  E): 
Amount  of  policy — 

300  days'  wages 

400  days'  wages 

500  days'  wages 

600  days' wages 

700  days'  wages 

800  days*  wages 

900  days'  wages 

1,000  days'  wages 


Premium  rate  per  1000  lire  ($193)  in  risk  class- 


Lire. 


.08 
47 
.88 
29 
.60 
.91 
3.24 
3.56 


1.39 
1.75 
2.12 
2.49 
2.76 

3.  as 

3.32 
3.60 


II 


Lire. 
1.20 
1.60 
2.01 
2.43 
2.81 
3.19 
3.58 
3.93 


1.81 
2.14 
2.47 
2.81 
3.11 
3.41 
3.73 
4.00 


III 


Lire. 
L44 
1.91 
2.38 
2.87 
3.32 
3.78 
4.24 
4.64 


2.03 
2.43 

2.m 


3.62 
4.00 
4.37 
4.72 


IV 


Lire 

1.68 

2.24 

2.1 

3.36 

3.88 

4.41 

4.94 

5.44 


2. 
2.! 

3.; 


43 
90 
37 
3.  241  3. 83 
26 
69 
13 
54 


4. 
4. 
5. 
5. 


Lire. 
1.92 
2.56 
3.20 
3.84 
4.42 
5.00 
5.66 
6.24 


2.81 
3.34 
3.87 
4.40 

4.87 
5.34 
5.89 
6.36 


VI 


Lire. 
2.16 
2.88 
3.62 
4.34 
5.03 
5.71 
6.39 
7.02 


3.16 
3.76 
4.37 
4.97 
5.53 
6.09 
6.(>4 
7.15 


vn 


Lire. 
2.40 
3.23 
4.06 
4.88 
5.66 
6.44 
7.23 
7.94 


3.75  4. 


4.41 
5.07 
6.72 
6.a3 
6.94 
7.56 
8.10 


VIII 


Lire. 
2.99 


01 
03 
04 
00 
97 


8.92 
9.80 


6. 
6. 
7. 
7. 
8. 
9. 
10. 


54 
37 
20 
02 
79 
56 
32 
00 


IX     x 


Lire. 
3.60 

4.85 
6.10 
7.35 
8.51 
9.67 
10.83 
11.90 


Lire. 

4.80 

6.50 

8.20 

9.89 

n.46 

13.03 

14.59 

16.03 


5.67 

6.66 

7.65 

8.64 

9.54 
10.4414. 
11.34  15. 
12.15  16. 


7. 

9. 
10. 
11. 

13. 


97 

28 
58 
88 
05 
22 
39 
43 


XI 


Lire. 
7.20 
9.69 
12.19 
14.69 
17.00 
19.32 


XII  XIII 


Lire. 

10.80 

15.46 

18. 12 

21.77 

25.19 

28.61 


21. 64  32. 04 
23.77  35,22 


11. 
13. 
15. 
17. 
19. 
20. 
22. 
24. 


34  16. 
32,19. 
30,22. 
28  25. 
OS '27. 
8s  30. 
68  33. 
30  35. 


02 
0 


79 


87 


Lire. 

14.40 

19.21 

24.02 

28.84 

33.37 

37.91 

42.44 

46.6 


00  20.  60 


24. 

28. 


02  32. 


36. 


56  40. 
34  44. 


47. 


XIV 


Lire. 

18.00 

23.97 

29.95 

35.91 

41.56 

47.21 

52.84 

58.10 


•25.33 
.39 
35.  45 
40.50 
45.23 
.96 
00154.68 
44  59.08 


69  30. 

72 

76 

51 

26149 


The  new  conditions  imposed  by  the  accident  insurance  law  upon 
the  National  Accident  Insurance  Institution  necessitated  the  unm^ 
diate  preparation  of  a  new  premium  tariff  to  conform  with  the  cost 
of  msurance  under  the  new  law.  As  the  law  of  1898  did  not  cover 
all  industrial  establishments  and  did  not  altogether  destroy  the  oppor- 
tumties  for  voluntary  insurance,  the  old  tariffs  remained  in  force  and 


1754 


REPORT   OF   THE   COMMISSIONER   OF   LABOR. 


> 


a  new  tariff  of  rates  (tariff  F)  was  added  for  insurance  in  compliance 
with  the  requirements  of  the  law.  Tariff  F,  shown  in  the  table  fol- 
lowing, includes  rates  for  insurance  with  employers'  liability  (com- 
bined collective  insurance)  and  without  such  liability  (simple  collective 
insurance).  Somewhat  higher  rates  are  also  quoted  in  case  the 
employer  desires  to  grant  for  temporary  disability  a  somewliat  higher 
daily  allowance  than  one-half  of  the  daily  wages  as  provided  for  by 
the  law. 

The  tariff  was  approved  by  the  executive  council  of  the  insurance 
institution  on  September  10,  1898,  and  by  royal  decree  of  October  30, 
1898.  It  was  preliminary  in  its  character,  not  being  based  upon  any 
very  exact  data.  The  old  classification  of  industries  and  occupations 
was  preserved  with  only  a  few  changes,  which  were  all,  however,  in 
the  nature  of  transfers  from  a  lower  to  the  next  higher  risk  group. 

The  tariffs  are  seen  to  be  higher  than  the  highest  rates  quoted  in 
the  highest  tariff  of  1888 — that  providing  com])ensation  of  1,000  times 
the  daily  wages  for  death.  But,  nevertheless,  the  premium  securing 
all  the  forms  of  compensation  guaranteed  by  the  law  of  1898  amounts 
to  less  than  1  per  cent  of  the  wage  expense  for  the  first  seven  risk 
groups.  It  is  less  than  2  per  cent  in  Groups  VIII,  IX,  and  X,  and 
only  in  the  Groups  XI  to  XIV  does  it  rise  to  a  very  high  level. 

ANNUAL  PREMIUM  RATES  PER  1,000  LIRE  ($193)  OF  WAGES  PAID,  FOR  INSURANCE 
ACCORDING  TO  THE  REQUIREMENTS  OF  THE  LAW  OF  MARCH  17,  1898,  AND  ALSO 
FOR  AN  INCREASE  OF  AMOUNT  OF  COMPENSATION  FOR  TEMPORARY  DISABILITY 
(TARIFF  F). 

[Source:  Maurice  Bellom,  Les  Lois  d' Assurance  Ouvri^re  k  rEtranger.    n.  Assurance  contre  les  Acci- 
dents, 4  »"«°e  partie.     For  benefits  covered  by  the  premliuns  below,  see  p.  1753. J 


Form  and  amount  of 

Premium  rate  per  1,000  lire  ($193)  in  risk  class— 

insurance. 

I 

n 

ni 

IV 

v 

VI 

VII 

VIII 

Lire. 

11.48 
11.81 
12.13 
12.46 

12.07 
12.34 
12.60 
12.85 

IX 

Lire. 
13.93 
14  35 
14  74 
15.12 

14  70 
15.03 
15.33 
15.63 

X 

XI 

Xtl 

Lire. 
41.26 
42.48 
43.62 
44  76 

43.21 
44  21 

45. 13 
46.06 

XIII 

Lire . 
54  68 
56.28 
57.79 
59.31 

57.01 
58.36 
59.61 
6a  86 

XIV 

Simple  collective  insurance, 
with  temporary  disability 
benefits  amounting  to— 

50  per  cent  of  daily  wages. 

60  per  cent  of  daily  wages. 

70  per  cent  of  daily  wages. 

80  per  cent  of  daily  wages. 
Combined  collective  insur- 
ance, with  temporary  dis- 
ability benefits  amounting 
to- 

50  per  cent  of  daily  wages. 

60  per  cent  of  daily  wages. 

70  per  cent  of  daily  wages. 

80  per  cent  of  daily  wages. 

Lire. 
4  19 
4.32 
4.43 
453 

4  31 
443 
4  52 
4  61 

Lire. 
460 
4  74 

4  87 
499 

4  82 
4  94 
5.04 
5.14 

Lire. 
5.43 
5.60 
5.75 
5.90 

5.66 
5.80 
5.93 
6.05 

Lire. 
6.37 
6.56 
6.73 
6.91 

6.66 
a82 
6.% 
7.10 

Lire. 
7.31 
7.52 
7.71 
7.91 

7.65 
7.83 
7.98 
a  14 

Lire. 

S.23 
8.47 
8.70 
8.92 

8.61 
8.81 
8.99 
9.18 

Lire. 
9.29 
9.57 
9.83 

iao9 

9.79 
10.01 
10.21 
10.41 

Lire. 
18.76 
19.33 
19.85 
20.37 

19.96 
20.39 
20.78 
21.17 

Lire. 
27.83 
2&67 
29.44 
3a  21 

29.40 
30.06 
30.66 
31.26 

Lire. 

6&08 
7a  07 
71.95 
73.84 

7a  84 
72.52 
74  10 
75.67 

1 

The  rates  quoted  above  were  preliminary,  and  the  administration 
of  the  National  Accident  Insurance  Institution  was  ordered  to  pre- 
pare a  new  schedule  of  premium  rates  within  two  years.  On  Novem- 
ber 1,  1900,  this  time  was  extended  to  October  20,  1902,  and  on 
September  6,  1902,  again  extended  to  December  31,  1903,  in  view 
of  the  preparation  for  the  amendment  of  the  law.(®)     The  new  tar- 

fl  Bollettino  di  Notizie  eul  Credito  e  sulla  Previdenza,  1902. 


CHAPTER  VII. — workmen's  INSURANCE  IN   ITALY.  1755 

iffs  were  finally  approved  by  the  superior  council  of  the  institution 
on  November  28,  1903,  and  by  royal  decree  on  December  3,  1903. 
Accompanying  these  new  premiums  is  a  new  set  of  regulations  con- 
cerning premiums  and  compensation. 

According  to  these  new  regulations,  the  following  six  forms  of 
insurance  are  written  by  the  institution,  which  are  essentiaUy  the 
same  as  in  the  past. 

A.  Combined  collective  insurance  according  to  the  law  as  amended 
and  inclusive  of  employers'  Hability. 

B.  Simple  coUective  insurance  according  to  the  law,  but  exclusive 
of  employers'  habihty. 

C.  Combined  collective  insurance  for  a  stipulated  rate  of  com- 
pensation and  including  employers'  Habihty  (for  industries  not  cov- 
ered by  the  law). 

D.  Simple  coUective  insurance  for  a  stipulated  rate  of  compensa- 
tion but  exclusive  of  employers'  Habihty  (for  industries  not  covered 
by  the  law). 

E.  Individual  insurance  according  to  the  law  and  exclusive  of 
employers'  Habihty. 

F.  Individual  insurance  for  a  stipulated  rate  of  compensation. 

As  a  rule,  to  which  specific  exceptions  may  be  made  bv  the  insti- 
tution, the  coUective  forms  of  insurance  embrace  aU  workmen 
employed  by  the  establishment  who  come  under  the  provisions  of 
the  laws  of  March  17,  1898,  and  June  29,  1903.  But  simple  coUec- 
tive msurance  may  also  be  taken  by  a  workmen's  mutual  benefit 
society.  AU  coUective  insurance  must  complv  with  the  general 
conditions  of  the  poHcy  as  approved  by  the  minster  of  agriculture 
industry,  and  commerce.  The  conditions  of  the  individual  poHcv 
are  prepared  by  the  superior  council  of  the  institution,  conforming 
as  far  as  possible  to  those  of  the  coUective  policy. 

The  premium  rates  were  radicaUy  changed  bV  the  new  tariff  \ 
general  increase  Was  found  necessary  because  of  the  gradual  rise  in 
tae  number  of  accidents  compensated.  Besides,  the  twentv  vears' 
experience  of  the  institution  permitted  a  more  careful  classification 
ot  mdustries  and  occupations  according  to  then-  accident  risks 
instead  of  14  groups,  the  new  tariff  presents  32  groups.  In  the 
table  foUowing  are  presented  the  two  basic  tariffs,  A  and  D  for  the 
'^f^^fr^J  ""^  ^^^^^^^  «f  insurance.  Tariff  A  is  quoted  per  1,000  lire 
($193)  of  wages  paid  and  includes  the  legal  insurance  as  weU  as 
employers'  habihty.  Tariff  D  is  quoted  per  emplovee,  and  cover, 
under  the  corresponding  class  of  insurance  the  foUowing  amounts  of 

Z7('ZT''''    ""  '^''  ^^  ^'"'^  ^^  '""'^^  permanent  disabUity  1,000 
dLabni^ev   1  !^  P^P^^^^^^^t^  a^iount  in  case  of  partial  permanent 

Sf  "^Ci  A^-'"  ^''•'  ''""''^  P^^  ^^y  ^^  '^^  -^  temporary  dis- 
ability.     Tariff  A  is  practicaUy  of  the  greatest  importance 


1756 


REPOET   OF   THE   COMMISSIONER  OF   LABOR. 


The  premium  under  tariff  B  (that  is,  exclusive  of  employers*  lia- 
bility) is  obtained  by  reducing  the  corresponding  premium  under 
tariff  A  by  3  per  cent. 

Insurance  under  tariffs  C  and  D  is  intended  for  industries  not  cov- 
ered by  the  law.  Premiums  for  this  form  must  be  quoted  i)er  per- 
.son  per  annum.  If  the  compensations  stipulated  are  identical  with 
those  required  by  the  law,  then  the  premiums  imder  tariffs  A  and  B 
may  be  applied  to  the  annual  earnings  of  eacli  employee.  Tariff  D 
is  apphcable  when  the  stipulated  compensation  is  as  given  above. 
If  it  is  desired  to  include  the  insurance  of  employers'  Uability,  10  per 
cent  must  be  added  to  these  rates.  If  other  amounts  of  compensa- 
tion are  stipulated,  the  institution  may  quote  different  rates.  For 
individual  insurance  the  same  rates  are  applied. 

The  law  defines  the  daily  allowance  for  temporary  disability  as 
half  of  the  daily  earnings.  If  it  is  desired  to  increase  this  to  80  per 
cent  of  the  earnings,  the  rate  of  the  second  higher  risk  gi-oups  is 
apphcable  for  the  first  six  groups,  and  the  next  higher  group  for  the 
remaining  groups.  Eight-tenths  is  the  normal  maximum  of  the  daily 
earnings  insurable,  though  in  exceptional  cases  nine-tenths  may  be 
stipulated;  the  daily  allowance  must  not  exceed  5  lire  (96.5  cents), 
unless  one-haK  of  the  wages  exceeds  this  limit.  The  other  maximums 
estabhshed  are:  For  death,  10,000  lire  ($1,930),  and  for  total 
permanent  disabihty,  12,000  Ure  ($2,316). 

ANNUAL  PREMIUM  RATES  APPROVED  DECEMBER,  19<»3,  BY  CLASS  OF  RISK. 

[Source:  Bollettino  di  Notizie  sul  Credito  e  suUa  Prevldenza,  1904.    For  benefits  covered  by  the  premiums 

below  see  p.  1755.] 


Pre- 

Premium per 

each  employee. 

Pre- 

Premium per  each  employee. 

mium 
per 

mium 
per 

Risk 

1,000 
lire  of 

Including  com- 

Exclusive of 

Risk 

1,000 
Ure  of 

wages 
paid 

(tariff 
A). 

Including  com- 

Exclusive of 

class. 

pensation  for 

compensation 

class. 

pensation  for 

coini»ensatioii 

wages 
paid 
(tariff 
A). 

temporary 

for  temporary 

temporary 

for  tt'mt>orary 
disability 
(tariff  D). 

disabiUty 

disability 
/-tariff  D). 

disability 

(tariff  D). 

(tariff  D). 

Lire. 

Lire. 

Lire. 

Lire. 

Lire. 

Lire. 

I 

2.50 

1.00 

SO.  19 

LOO 

SO.  19 

XVII... 

26.00 

8.40 

SI.  62 

6,  .50 

SI.  06 

II 

3.00 

1.25 

.24 

1.10 

.21 

XVIII.. 

30.00 

9.60 

1.83 

6  00 

1.16 

Ill 

4.00 

1.50 

.29 

1.20 

.23 

XIX.... 

35.00 

10.60 

2.05 

6.70 

1.29 

IV 

5.00 

1.75 

.34 

L30 

.25 

XX 

40.00 

11.80 

2.28 

7.60 

1.45 

V 

6.00 

2.00 

.39 

1.40 

.27 

XXI. ... 

45.00 

13.00 

2.51 

8.50 

1.64 

VI 

7.00 

2.30 

.44 

1.60 

.31 

JCXII... 

50.00 

14.20 

2.74 

10.00 

1.93 

VII 

8.00 

2.60 

.50 

1.80 

.35 

XXIII.. 

55.00 

15.40 

2.97 

11,50 

3.22 

VIII.... 

9.00 

3.00 

.58 

2.00 

.39 

XXIV.. 

65.00 

16.60 

3.20 

13.00 

3.51 

IX 

10.00 

3.30 

.64 

2.20 

.42 

XXV... 

75.00 

18.00 

3.47 

14.50 

3.80 

X 

11.00 

3.60 

.69 

2.40 

.46 

XXVI.. 

90.00 

20.00 

3.86 

16.50 

3.18 

XI 

12.00 

4.00 

.77 

2.60 

.50 

XXVII. 

105.00 

25.00 

4.83 

19.00 

3.67 

XII 

14.00 

4.60 

.89 

3.00 

.58 

XXVIII 

125.00 

3L00 

5.98 

22.00 

4.25 

XIII.... 

16.00 

5.30 

1.02 

3.50 

.68 

XXIX -. 

150.00 

38.00 

7.33 

25.00 

4.83 

XIV.... 

18.00 

6.00 

1.16 

4.00 

.77 

XXX... 

200.00 

48.00 

9.26 

30.00 

6.79 

XV 

20.00 

6.60 

1.27 

4.60 

.87 

XXXI.. 

250.00 

60.00 

11.  .58 

40.00 

7.72 

XVI.... 

23.00 

7.50 

1.45 

5.00 

.97 

XXXII. 

,300.00 

75.00 

14.48 

56.00 

10.62 

Note.— Tariff  B  may  be  derived  from  tariff  A  by  a  reduction  of  3  per  cent.  Tariff  C  may  be  derived  from 
tariff  D  by  an  increase  of  10  per  cent.  In  insurance  forms  £  and  F  tariffs  B  and  D,  respectively,  may  be 
used. 


CHAPTER  VII. workmen's  INSURANCE  IN   ITALY.  1757 

The  Hst  of  industries  and  occupations  with  the  risk  class  under  which 
each  has  been  placed  is  given  on  page«  1758  to  1769.  As  is  mdicated 
m  the  many  notes,  it  is  not  absolute.  Many  conditions  may  be  taken 
into  consideration  for  the  purpose  of  mcreasing  the  premium  by 
placmg  the  mdustry  or  occupation  in  a  higher  risk  group.'  In 
addition  to  these  specific  qualifications,  a  general  rule  permits  the 
increase  or  decrease  of  the  premium  under  the  foUowmg  circum- 
stances :  Increase  of  premium  m  case  of  use  of  mechanical  or  circular 
saws,  use  of  motors  or  dangerous  machinery,  extensive  use  of  means 
of  transportation,  work  on  scaffolds  or  stagmgs  or  in  any  other 
position  m  which  falls  are  possible,  work  in  place  when  coUapse  of 
materials  is  Ukely,  use  of  explosives,  corrosive  substances,  com- 
pressed  gases,  mflammable  Kquids,  or  other  dangerous  substances 

Decrease  of  premium  m  case  of  use  of  electric  motors,  especially 
for  the  purpose  of  dnvmg  machmery;  use  of  special  and  efficient 
safety  appliances,  or  other  conditions  evidently  reducmg  the  risk  of 
the  industry. 

Whenever  several  distinct  processes  differing  as  to  then-  degree  of 
risk  are  combmed  in  one  establishment,  the  premium  may  be  com- 
puted m  the  foUowing  way:  The  wage  expense  in  each  department 
IS  multiplied  by  the  correspondmg  premium  rate,  and  the  sum  of  the 
products  IS  divided  by  the  total  wage  expense.  Where  such  computa- 
tion IS  impossible,  a  simUar  computation,  based  upon  the  number  of 
employees  m  the  various  departments,  may  be  made. 

Furthermore,   the  executive  committee  of  the  national  insurance 
mstitution  is  permitted  to  add  new  mdustries  to  those  in  the  list 
and  even  transfer  mdustries  from  one  risk  group  to  another,  upon 
txie  basis  of  experience  acquired. 

The  institution  is  to  write  insurance  asked  for  by  any  mdustry  to 
which  the  law  of  obhgatory  insurance  applies,  but  may  declme  the 
insurance  in  case  of  industries  not  subject  to  the  law  if  the  risk 
appears  unfavorable,  because  of  the  character  of  the  persons  to  be 
insured,  their  age,  or  their  condition  of  health,  if  they  object  to  a 
sutticient  mcrease  of  the  premium. 

\\T^(^^T'''\  ^.  •*^'  ^'T^"^  ^'  p""  ^^'^^'  ^  ^p^^^^i  ^^'^^^  ^^  two 

Zf  :l  r^^'  'V^^'^"^  "^"^  ^^^  P^^^^^'  ^^^^  the  premium  does 
^IT      ,^5^^^(^9•^5);  of  5  lire  (96.5  cents)  when  the  premium  is 

fo  L  ^.^^.^^  r  (^,?-^^l. ^^^  ^^^  ^«^«  than  200  lire  ($38.60) ;  and  of 
Hrp7A«  Aof  M  ^^^'""'^  contracting  for  a  premium  of  over  200 
lire  C$d8.60).     No  special  charge  is  levied  upon  mdividual  pohcies. 


1758 


REPORT  OF   THE   COMMISSIONER   OF  LABOR. 


Finally  a  minimum  premium  is  established  for  all  policies.  For 
the  individual  policies  this  minimum  amounts  to  only  1  lira  (19.3 
cents),  and  for  the  collective  policies  the  minimum  is  as  follows: 

MINIMUM  ANNUAL  PREMIUMS  FOR  COLLECTIVE  INSURANCE. 


For  risk  classes— 

Minim  lun  annual 
premium  allowable. 

ItoV 

Lire. 
5 
M) 
19 

ao 

30 
40 
BO 

$0,965 

VI  to  X.                          

1.930 

XI  to  XV.                        

2.895 

XVI  to  XX.                   

3.860 

XXI  to  XXIII     

6.790 

XXIV  to  XXVI 

7  720 

XXVII  to  XXXII 

9.650 

In  the  following  table  are  shown  the  industries  and  occupations 
included  in  each  of  the  32  risk  classes  and  for  each  class  the  annual 
premium  rate  in  per  cent  of  wages  paid.  The  rates,  which  were 
approved  in  December,  1903,  are  for  combined  collective  insurance 
according  to  the  law  as  amended,  including  insurance  of  employers' 
liability. 

CLASSIFICATION  OF  ENTERPRISES,  INDUSTRIES,  AND   PROFESSIONS,  BY   DEGREE 

OF  RISK;  AND  PREMIUM  FOR  EACH  RISK  CLASS. 

[Source:  Cassa  Nazionale d' Assicurazione  per  gl'  Infortuni  degli  Operai  sul  Lavoro  .  Regolamento  dei  premi 
e  delle  indennit^  e  tarifle,  1903.    For  benefits  covered  by  these  premiums,  see  page  1755.] 


3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 


14 
15 

16 
17 
18 

19 


AGRICULTXJRE,  ANIMAL  INDUSTRY,  AND  SILVICULTURE. 

Agriculture: 

Agriculture,  with  machinery,  including  the  entire  personnel  of  the  estab- 
lishment («) 

Agriculture,  without  machinery,  including  the  entire  personnel  of  the 
establishment 

Steam  plowing 

Macliine  seeding • 

Machine  mowing 

steam  thrashing 

Steam  pressing  of  fodder 

Steam  chopping  of  fodder 

Tilling  for  hemp  and  flax  with  machinery 

Tilling  for  hemp  and  flax  without  machinery 

Drying  rooms,  with  machinery 

Drying  rooms,  without  machinery 

Engineers  and  firemen  attending  to  steam  engines  used  for  agricultural 
work  not  mentioned  in  the  tariff  (irrigation,  drainage,  cleaning,  and 
grinding  of  cereals,  pressing,  etc.),  including  accessory  machinery  when 
it  does  not  present  any  special  danger 

Hort  ieulture,  viticulture,  gardening,  and  other  work  of  a  sim  ilar  nature  ( b) 

Dissipating  hailstorms 

Animal  industry: 

Cattle  raising,  driving,  and  care  of  stock 

Poultry  raising 

Silkworm  raismg,  with  their  removal  from  the  leaves  of  the  mulberry 
tree,  and  their  transportation 

Silkworm  raising,  without  the  removal  from  the  leaves  of  the  mulberry 
tree,  and  their  transportation 


XX 

XII 
XX 

XIV 

xX 

XXII 
XVIII 

XXV 

XVIII 

VIII 

xm 

IX 


XIX 

VIII 

XXVII 

XXI 

I 


IX 


4.0 

1.4 
4.0 
1.8 
4.0 
5.0 
3.0 
7.5 
3.0 
.9 
1.6 
1.0 


3.5 

.9 

10.5 

4.5 
.25 

1.8 

1.0 


I 


CHAPTER  VII. workmen's  INSURANCE   IN   ITALY.  1759 

CLASSIFICATION  OF  ENTERPRISES,  INDUSTRIES,  AND   PROFESSIONS,  BY  DEGREE 
OF  RISK;  AND  PREMIUM  FOR  EACH  RISK  CLASS-Continued. 


In- 
dus- 
try 
num- 
ber. 


20 
21 
22 

23 
24 


25 
26 
27 
28 
29 
30 
31 
32 
33 
34 
35 

36 
37 
38 
39 
40 
41 
42 

43 
44 
45 
46 
47 
48 

49 
50 
51 
52 

53 
54 
55 
56 
57 
58 
59 
60 

61 
62 
63 
64 

65 
66 
67 
flS 
09 
70 
71 
72 

73 

74 


Industry. 


Annual 

premium 

rates  in 

per  cent 

of  wages. 


AGRICULTURE,  ANIMAL  INDUSTRY,  AND  SU.VICULTURE— Concluded. 

Silviculture: 

Tree  felling  in  the  mountains  (a) 

Tree  fell ing  on  the  plains  ( 6 ) 

Trhnming  and  gathering  flowers  and  seed  and  other  work  performed  upon 
1/116  trccs. -----.----,..-.......,_... 

Manufacture  of  charcoal,  with  chopping  of  wood! 

Manufacture  of  charcoal,  without  chopping  of  wood  ...... . . , . . . . . , . . . . .' ', 


FOODSTUFFS,  OILS,  AND  TOBACCO. 

Beverages,  alcohols,  and  ice: 

Effervescent  waters 

Mineral  waters '.'.'.'.'. 

W  ines  (  c) ^ ..."""  ""]."[] 

Breweries 

Manufacture  of  malt !.".!.!."!.]! 

Manufacture  and  refining  of  aicohol! .!"!.!.".!"'.""[. 

Manufacture  of  spirits,  liquors,  exclusive  of  the  distiiling  withmachinerv 

Same  as  above,  without  machinery 

Sirups 

Vinegar 

Artifacial  ice .'.'...'..... 

Coffee  and  spices:  

Coffee  drying  and  roasting,  with  machinery 

Coffee  drying  and  roasting,  without  machinery ...".. 

Coffee  substitutes,  with  machinery 

Coffee  substitutes,  without  machinery 

Spices,  pulverizing  and  grinding ". 

Liquors 

Mustard ]!!.!'!!.'.]!!! 

Milk  and  its  products:  

Condensed  milk,  including  manufacture  of  the  cans. . 

Condensed  milk,  exclusive  of  the  manufacture  of  the  cans 

Milk,  sterilization  and  modification 

Manufacture  of  cheese,  including  cattle  raising 

Manufacture  of  cheese,  exclusive  of  cattle  raising,  with  machinery 

Manufacture  of  cheese,  exclusive  of  cattle  raising,  without  machinerv 
Slaughtermg  and  salting  of  meats: 

Pubhc  slaughterhouses,  including  the  entire  personnel 

Salting  meat,  including  slaughtering 

Salting,  without  slaughtering,  with  machinery 

Salting,  without  slaughtering,  without  machinery 

Flour  grinding,  rice  polishing,  baking  and  pastes: 

Flour-grinding  mills,  stationary 

Flour-grinding  mills,  floating 

Pounding  rice 

Bakeries,  with  machinery ".["."" 

Bakeries,  without  machinery 

Manufactvire  of  wafers [[ 

Food  pastes,  with  machinery ].""!"]' 

Food  pastes,  without  machinery '. 

Vegetable  and  animal  oils:  

Animal  oils 

Vegetable  oils  in  general,  large  establishments 

Vegetable  oils  in  general,  small  establishments 

Vegetable  oils  in  general,  extraction  of  residual  oils  by  means  of  sulphur 
Pastry  bakmg,  chocolate,  preserves,  and  food  products: 

Pastry  baking  and  confectionerv,  with  machinery . . . 

Pastry  baking  and  confectionerv,  without  machinery '. 

Chocolate  and  almond  cakes,  with  machinery 

Chocolate  and  almond  cakes,  without  machinery .    . 

Preserves,  including  manufacture  of  cans 

Preserves,  exclusive  of  manufacture  of  cans 

Prepared  food  products,  with  machinery 

Prepared  food  products,  without  machinerv . . 
Tobacco:  

Tobacco  manufactures 

Sugar: 

Sugar  factories  and  refineries 


a  The  premium  may  be  reduced  when  the  use  of  mechanical  motors  is  limited. 
b  If  machinery  is  used  the  premivun  must  be  increased. 


o  With  or  without  transportation. 

nfrlrf  i^^^-^^J^*'"^  transportation;  the  premium  may  be  reduced 
OGere  sufficient  ^arantee  of  security. 

motore."^^"™  ^^  increased  if  there  is  connected  with  it  any  transportation  service  or  the 


in  exceptional  cases  if 


XXVIII 

12.5 

XXVI 

9.0 

XX 

4.0 

XXVI 

9.0 

XI 

1.2 

XIX 

3.5 

XI 

1.2 

XI 

1.2 

XVII 

2.6 

VIII 

.9 

XVI 

2.3 

XIII 

1.6 

XI 

1.2 

XIII 

1.6 

IX 

1.0 

XXII 

5.0 

VIII 

.9 

III 

.1 

X 

LI 

VI 

.7 

XIII 

L6 

X 

LI 

X 

LI 

XIV 

1.8 

X 

1.1 

X 

1.1 

XVI 

2.3 

XI 

L2 

VI 

.7 

XXIII 

5.5 

XVIII 

3.0 

XIV 

1.8 

XI 

1.2 

XVII 

2.6 

XIX 

.3.5 

XV 

2.0 

XVI 

2.3 

VII 

-S 

V 

.6 

XVI 

2.3 

VII 

.8 

IX 

1.0 

XII 

1.4 

IX 

1.0 

XVIII 

3.0 

IX 

1.0 

IV 

.5 

XI 

1.2 

VI 

.7 

XV 

2.0 

VIII 

.9 

XIV 

L8 

VIII 

.9 

II 

.3 

XVIII 

3.0 

the  transportation 

use  of  mechanical 

1760 


REPORT  OF  THE  COMMISSIONER  OF  LABOR. 


CLASSIFICATION  OF  ENTERPRISES,  INDUSTRIES,  AND    PROFESSIONS,  BY  DEGREE 
OF  RISK;  AND  PREMIUM  FOR  EACH  RISK  CLASS— Continued. 


In- 
dus- 
try 
num- 
ber. 


75 
76 
77 
78 
79 
80 

81 
82 
83 
84 
85 

86 
87 
88 

89 
90 
91 
92 
93 
94 
95 
96 

97 
98 
99 
100 
101 
102 
103 
104 

105 
106 
107 
108 

109 
110 
111 
112 
113 


114 
115 
116 
117 
118 

119 
120 
121 

122 

123 
124 
125 
126 


Industry. 


PAPER,  LEATHER,  GUMS,  AND  PKINTINQ. 


Risk 
class. 


Paper  and  cardboard  making: 

W  ood  pulp 

Paper  manufacturing,  with  machinery  («) 

Paper  manufacturihg,  without  machinery  («) 

Cardboard  with  machinery  (6) .  

Cardboard,  without  macbmery  ( &) 

Papier-m&ch6,  statuary  pasteboard 

Manufactures  of  paper  and  cardboard: 

Colored  paper  and  wall  paper,  with  machinery 

Colored  paper  and  wall  paper,  without  machinery ....  —  ^ 

Paper,  wax,  oiled,  parchment,  sand,  glazed,  etc.,  with  machinery 

Same  as  above,  ^tho  ut  machinery - v ;     ML LV 

Various manufeetures  (boxes,  envelopes,  tubes,  bags,  etc.)  with  machin- 
ery ( c) 

Same  as  above,  without  machinery  (c) 

Stationery  and.  bookbinding,  with  machinery 

Stationery  and  bookbinding,  without  machinery  •-.--- 

Preparation  of  leather  and  manufacture  of  leather  substitutes: 

Tanneries,  with  machinery 

Tanneries,  without  machinery -- -  .  —  -  ■  • 

Dyeing,  glazing,  and  preparation  of  skins  and  leather,  with  machinery.. 

Same  as  above,  without  machinery 

Parchment 

Wax  cloth 

Artificial  leather 

Bark  grinding  mills 

Manufactures  of  skins,  leather  and  substitutes: 

Footwear,  with  machinery 

Footwear,  without  machinery 

Gloves,  with  machinery 

Gloves,  without  machinery 

Saddlery ,  harness,  and  similar  things,  with  machinery 

Saddlery ,  harness,  and  similar  thmgs  without  machinery 

Tnmks  and  other  manufactures  of  leather,  with  machinery  

Trunks  and  other  manufactures  of  leather,  without  machinery 

India  rubber,  gutta-percha,  and  celluloid ,  manufacture  of : 

Manufacture  of  fcidia  rubber  and  guttarpercha,  with  machlnMT 

Manufactiu-e  of  India  rubber  and  gutta-percha,  without  machinery.. . . 

Water-proof  textiles 

Manufactures  of  celluloid 

Poly  graphic  arts:  ,^^        .,         ... 

Printing,  lithographing,  color  printing,  etc.,  with  machinery  W 

Same  as  above,  without  machinery  (d) 

Engravers 

Designers  and  copyists 

Photographers 

CHEMICAL  INDUSTRIES. 

Acids,  salts,  and  other  chemical  products: 

Calcium  carbide 

Distillation  of  coal  tar - 

Cream  of  tartar - /- • —  ,  ^ 

Wood  distillation,  exclusive  of  felhng  and  transportation  of  trees 

Sulphuret  of  carbon •- 

rhemical  Droducts  not  specified  in  the  tann: 

(A)  Manufacture  of  corrosive  substances  (strong  acids,  caustic  alkahes,etc). 

(b)  Manufacture  of  various  products ,  where  corrosive  substances  are  used . 

(c)  Manufacture  of  various  products  without  the  use  of  corrosive  sub- 

(d)  Manufacture  of  pharmaceutical  products 

Starch ,  dextrin ,  and  albumen :  , 

Starch  and  face  powder,  with  macmnery 

Starch  and  face  powder ,  without  machmery 

Fecula ' 

Glucose,  dextrin,  and  albumen 


Annual 

premium 

rates  in 

per  c«nt 

of  wages. 


XV]  I 
XIV 
VIII 

:xi 

IV 
XI 

XI 

in 

X 

lit 

XI 

Itt 

VIJI 

XIV 
XI 

xn 
vn 

XI 

VIII 

XI 

xvu 

VII 

III 

VI 

II 

VIT 
III 
VI 

n 

XIV 

VI 

X 

xni 

V 

II 
11 


t\ 


XV 

XVII 

IV 

XV 

XXIV 

XVIt 
XV 

XII 
IX 

XI 

vr 
vn 

xt 


2.6 
1.8 

.9 
1.2 

.5 
1.2 

1.2 
.4 

1.1 
.4 


1 


.2 
.4 
.9 
.3 


1.8 
1.2 
1.4 

.8 
1.2 

.9 
1.2 
2.6 

.8 
.4 
.7 
.3 
.8 
.4 
.7 
.3 

1.8 

.7 
1.1 
1.6 


.6 

.3 
.3 
.25 


2.0 

2.6 

.5 


1.4 
1.0 

1.2 

.7 
1.4 
1.2 


a  Th«»  T>remimn  is  increased  if  it  is  combined  with  the  manufacture  of  wood  pulp. 

?  FvPl?isi^  KlraanuScture  of  wood  pulp;  otherwise  the  premiums  for  paper  must  be  aijplied. 


with  curcular  saws. 


CHAPTER  VII. WORKMEN  S  INSURANCE   IN   ITALY. 


1761 


.L 


{ 


CLASSIFICATION   OF   ENTERPRISES,  INDUSTRIES,  AND  PROFESSIONS,  BY  DEGREE 
OF  RISK;  AND  PREMIUM  FOR  EACH  RISK  CLASS— Continued. 


In- 
dus- 
try 
niun- 
ber. 


127 
128 
129 
130 

131 
132 
133 
134 
135 
136 

137 
138 
139 

140 
141 
142 

143 
144 
145 

146 

147 
148 
149 
150 
151 
152 
153 
154 
155 
156 
157 

158 
159 
160 
161 
162 
163 
164 
165 


166 
167 
168 

169 
170 
171 


172 
173 
174 
175 


Industry. 


CHEMICAL  INDUSTRIES— concluded. 

Glue  and  artificial  fertilizers: 

Glue,  with  machinery  (a) 

Glue,  without  machinery  (o) 

Artificial  fertilizers,  with  machinery  (t>) , 

Artificial  fertilizers,  without  machinery  (^) i 

Dyestuffs  and  colors  and  varnishes: 

Dyestuffs  and  colors  (animal,vegetable,  and  mineral),  with  machinery  (c) 

Same  as  above,  without  machinery  (c) 

Varnishes 

Blacking  (exclusive  of  the  manufacture  of  boxes) 

Writing  ink 

Printing  ink 

Explosives: 

Explosives  in  general  (gunpowder,  djmamite,  guncotton,  etc.) 

Pyrotechnics  (manufacture  and  setting  off  of  fireworks) 

Cartridges  (manufacture  and  charging) 

Matches: 

Wax  matches 

Wooden  matches,  including  mechanical  manufactiu^  of  the  splints. 

Wooden  matches,  exclusive  of  the  mechanical  manufacture  ofthe  splints, 
Illuminating  gas  and  its  products: 

Common  gas,  msinufacture  and  distribution , 

Acetylene,  manufacture  and  distribution 

Coke 


Fats  and  their  derivatives,  soaps  and  candles: 

Fats  in  general  (lubricants,  tallow,  margarine,  artificial  butter,  etc.)  with 
machinery 

Same  as  above,  without  machinery 

Stearin,  with  machinery , 

Stearin,  without  machinery '.'.'.'.'.. 

Glycerin,  with  distillation  of  fat 

Glycerin,  without  distillation  of  fat 

Soap,  with  machinery ] 

Soap,  without  machinery [[[[[[[[.[] 

Candles  of  wax  and  tallow,  with  machinery 

Candles  of  wax  and  tallow,  without  machinery ',[[] 

Stearin  candles,  with  machinery 

Stearin  candles,  without  machinery 

Petroleum,  essences,  ether,  rosin,  and  asphalt: 

Petroleum  refining 

Essences ....". 

Ethers ] " 

Perfumery 

Distillation  of  rosins ""]".[[] 

Sealing  wax '/'[ 

Asphalt  working,  with  machinery 

Asphalt  working,  without  machinery 


CONSTRUCTION   OF  BUILDINGS,  PUBUC  ROADS,  AND  IRRIGATION  WORKS. 

Laborers  in  various  works: 

Unskilled  day  laborers  in  works  not  otherwise  specified  in  the  tariff,  in- 
cluding transportation  on  rail  or  by  animal  traction  and  with  use  of 

blasting 

Same  as  above,  exclusive  of  transportation  and  without  use  of  blasting 
Building— Construction    and    repair    of    buildings    (dwellings,    factories, 
churches,  towers,  and  accessory  structures): 

(a)  Work  executed  at  a  considerable  height  or  with  incomplete  scaffold- 

ing or  on  roofs,  cupolas,  etc.,  or  work  mainly  connected  with  tear- 
ing down,  construction  of  towers,  belfries,  smoke-stacks,  placing  of 
ligntning  rods,  etc. . . , 

(b)  Work  executed  altogether  or  mainly  upon  scaffolding  or  with  freq  uent 

use  of  blasting  or  with  certain  amount  of  tearing  down  of  buildings. 

(c)  Work  executed  only  partly  upon  scaffolding,  or  in  which  blasting  is 

used  only  exceptionally  or  with  very  little  tearing  down  of  buildings. 

(d)  Work  .n  which  special  measures  of  prevention  are  applied,  or  such  as 

is  performed  indoors  on  slightly  elevated  staging,  without  tearing 
down  of  structures  or  use  of  blasting,  and  general  assistance  in  con- 
struction   

Framework  and  construction  in  wood '.'.'.'.'.' 

Pavements  of  wood  blocks  and  of  cement 

Construction  of  fireplaces  inside  of  buildings 

Installation  of  gas  fixtures,  heaters,  and  water  pipes 


Risk 
class. 


XI 
VII 
XII 

IX 

XIII 

IX 

XIV 

VIII 

V 

IX 

XXVI 

XXVIII 

XXVI 

vin 

XIV 

vni 

XI 
XVI 
XIV 


XIII 
XI 

XIII 
XI 

XVI 
XI 

XIII 

XI 

XI 

VII 

XIII 

VIII 

XIII 

X 

XIV 

IV 

XIII 

XI 

XV 

XI 


XIX 
XV 


XXIV 

XXI 

XVII 


XV 

XXII 

IX 

XI 

XV 


Annual 

premium 

rates  in 

per  cent 

of  v.ages. 


1.2 

.8 

L4 

1.0 

L6 
1.0 
L8 
.« 
.6 
1.0 

9.0 

12.5 

9.0 

.9 

L8 

.9 

L2 
2.3 
L8 


1.6 
1.2 
1.6 
1.2 
2.3 
1.2 
1.6 
1.2 
1.2 

.S 
1.6 

.9 

1.6 
LI 
L8 
.5 
1.6 
1.2 
2.0 
L2 


3.5 

2.0 


6.5 
2.6 


2.0 
5.0 
LO 
1.2 
2.0 


a  Increase  of  premium  if  benzine  is  used  for  extraction  of  the  fats. 

t>  Increase  of  premium  accompanied  by  production  of  sulphuric  acid. 

e  Increase  of  premium  if  use  is  made  of  grinding  mills,  corrosive  substances  or  digesters. 


1762 


EEPORT  OF  THE   COMMISSIONER   OF  LABOR. 


CLASSIFICATION   OF  ENTERPRISES,  INDUSTRIES,  AND  PROFESSIONS,  BY  DEGREE 
OF  RISK;  AND  PREMIUM  FOR  EACH  RISK  CLASS— Continued 


In- 
dus- 
try 
num- 
ber. 


Industry. 


176 

177 
178 
179 


180 

181 

182 

183 
184 

185 

186 

187 

188 

189 

190 

191 
192 

193 
194 
195 
196 
197 
198 
199 
200 
201 
202 

203 
204 
205 

206 

207 

208 

209 
210 
211 
212 


213 

214 
215 

216 


Risk 


CONSTRUCTION  OF  BtJILDINGS,  PUBLIC  ROADS,  AND    IBRIOATION  WORKS— 

concluded. 

Painters,  gilders,  white  washers,  plasterers,  vamishers,  workers  in  mosaic, 
paper  hangers,  etc.: 

(a)  On  scaffolding  and  exterior  of  the  buildings  (also  in  t  he  inside  of  build- 

ings when  staging  is  placed  at  great  height) 

(b)  On  scaffolding  on  inside  of  buildings 

(c)  In  buildings  or  in  shops,  exclusive  of  all  work  on  scaffolding 

Decorators,  installation  of  special  illumination,  and  of  work  executed  on 

hand  ladders  or  movable  Kdders 

Hydraulic  work  and  bridges: 

Subterranean  aqueducts,  construction  and  maintenance — 

(a)  Including  work  in  galleries  or  at  a  certain  depth  and  with  frequent 

use  of  blasting 

(b)  Including  work  in  open  air  or  at  a  slight  depth  with  rare  use  of 

blasting 

(c)  Including  work  in  the  open  air  with  superficial  ♦'xeavations  and 

without  use  of  blasting 

Sewers,  cleaning  without  pneumatic  machines 

Sewers,  cleaning  with  pneumatic  machines 

Canal  construction: 

(a)  Work  at  great  depth  or  subterraneous,  with  danger  of  landslides  and 

with  frequent  use  of  blasting 

(b)  Work  at  slight  depth  with  rare  use  of  blasting,  not  including  trans- 

portation of  the  excavated  material  by  tramways 

Canal  maintenance 

Regulation  of  streams  and  water  courses: 

(a)  Work  with  use  of  blasting  or  in  places  subject  to  lan<lslides,  construc- 

tion of  masonry  on  large  scale;  use  of  dredges 

(b)  Work  with  rare  use  of  blasting,  without  danger  of  landslides,  with 

masonry  work  on  small  scale 

Watchmen,  hydraulic  works 

Ports,  construction  and  repair: 

(a)  Work  with  compressed  air  or  with  frequent  use  of  i>lasting 

(b)  Work  with  moderate  use  of  blasting  and  extraction  tiiid  with  excavar 

tion  of  stone 

(c)  Work  without  use  of  blasting  and  without  excavation  of  stone 

(d)  Other  work  presenting  lower  risk 

Personnel  of  lighthouses 

D  i  vers 

Pile  driving 

Dredges,  floating 

Dredges,  on  dry  land 

Construction  of  common  wells 

Construction  of  artesian  wells,  with  machinery 

Construction  of  artesian  wells,  by  hand  labor 

Bridges,  construction  and  maintenance: 

(a)  Of  iron  (a) 

(b)  Of  wood  (a) 

(c)  Of  masonry 

Public  roads— Construction: 

(a)  With  tunnels  and  bridges  of  considerable  magnitude,  either  because 

of  tlie  number  or  because  of  their  length  or  elevation 

(b)  With  tunnels  and  bridges  of  certain  magnitude,  or  w  ith  frequent  use 
of  blasting,  or  with  excavation  of  material,  mountain  roads 

(c)  With  small  tunnels  and  bridges,  with  exceptional  use  of  blasting  and 
without  excavating  work,  level  roads 

(d)  Without  tunnels  or  bridges,  without  blasting,  with  limited  carting. 

Maintenance  of  ordinary  roads,  with  carting 

Maintenance  of  ordinary  roads,  without  carting 

Construction  of  tunnels 


ELECTRICITY. 

Installation  of  electric  telephone  and  telegraph  lines: 

Electric-power  conduits  or  electric-light  wires,  installation  and  mainte- 
nance (&) 

Telephones,  installation  and  maintenance,  with  work  on  roofs  and  poles.. . 

Telephone  installation  and  maintenance,  including  stringing  of  wires  on 
poles 

Telegraphs,  installation  and  maintenance 


Annual 

premium 

rates  in 

per  cent 

of  wages. 


XXI 

XV 
VIII 

XXI 


XXI 

XVII 

XI 

XXII 

XIX 

XX 

XVI 
XII 

XX 

XIV 
XVII 

XXVI 

XXIII 

XIX 

XV 

XXI 

XXIX 

XXI 

XXII 

XIX 

XXIV 

XXII 

XIX 

XX 

XIX 

XX 


XXV 

XXII 

XIX 

XVII 

XVII 

IX 

XXV 


XVI 
XXV 

XVI 
XVI 


4.5 

2.0 

.9 

4.5 

4.5 

2.6 

1.2 
5.0 
3.5 

4.0 

2.3 
1.4 

4.0 

1.8 
2.6 

9.0 

5.5 
3.5 
2.0 
4.5 
15.0 
4.5 
5.0 
3.5 
6.5 
5.0 
3.5 

4.0 
3.5 
4.0 

7.5 

5.0 

3.5 
2.6 
2.6 
1.0 
7.5 


2.3 
7.5 

2.3 
2.3 


olf  use  is  made  of  compressed  air  the  premium  may  be  increased  by  one  or  two  classes.  The  premium 
may  also  vary  according  to  the  magnitude  of  the  construction  work . 

b  The  premium  to  be  increased  if  the  work  is  to  be  performed  with  live  wires,  especially  in  case  of  a  high- 
tension  current. 


CHAPTER  VII. workmen's   INSURANCE  IN   ITALY.  1763 

CLASSIFICATION  OP  ENTERPRISES,  INDUSTRIES,  AND   PROFESSIONS,  BY   DEGREE 
OF  RISK;  AND  PREMIUM  FOR  EACH  RISK  CLASS-Continued. 


In- 
dus- 
try 
num- 
ber. 


217 


218 
219 
220 
221 
222 

223 

224 
225 
226 
227 
228 

229 
230 
231 
232 


233 
234 
235 
236 

237 

238 

239 

240 
241 
242 


243 

244 
245 
246 
247 
248 
249 
250 
251 

262 
253 
254 
255 
256 
257 
258 
259 
260 
261 
262 

263 

264 
265 
266 


Industry. 


Risk 
class. 


ELECTRICITY— concluded. 

Production  and  distribution  of  electric  energy: 

Electric  power  houses.    (Also  including  installation  of  fixtures.). 


BRICKYARDS,  POTTERY,  AND  GLASS  INDUSTRY. 

Brickyards  and  manufacture  of  plaster  and  cement: 

Brickyards,  machine  manufacture. . . 

Brickyards,  manufacture  bv  hand 

Brickyards,  manufacture  both  by  hand  and  machinery 

Gjrpsum  (plaster  of  paris),  manufacture  of. 
,,  .Cement,  manufacture  of  various  materials  (not  indudine'extraction)" 
Majohca,  porcelam,  and  earthenware:  Awacuuu;... 

Majolica,  porcelain,  and  earthenware. . 
Glass  and  mirrors:  

Glass,  including  production  of  plate  glass. . 

Glass,  without  production  of  plate  glass        

Glass  beads 

Enamels ..."."]" 

Working  up  of  glass  "(grinding,  polishing," chemical,' in whanic^^^ 
photographic  engravmg) 

Glaziers,  working  on  scaffolding 

Glaziers,  working  without  scaffolding. .'..['. 

Mirrors,  with  production  of  plate  glass. . .  

Mirrors,  without  production  of  plate  glass..! 


WOODWORKING. 

Poles,  sticks,  umbrellas,  and  pipes: 

Strips  of  wood  for  cornices,  with  use  of  mechanical  saws 

btrips  of  wood  for  cornices,  without  use  of  mechanical  saws 

Canes,  umbrellas,  whips,  and  pipes,  with  use  of  mechanicarsaws"  (a) 

o««   ^^^'."™^''^"^'  whips,  and  pipes,  without  use  of  mechanical  s&^'(a)'. 

Barrels,  with  machinery  (a) 

Barrels,  without  machinery  (o) 

Horn,  ivory,  mother-of-pearl,  amber,  etc.:    

Horn,  ivory,  mother-of-pearl,  bone,  tortoise  shell,  manufacture  of.  with 
machinery ' 

Same  as  above,  without  machinery! ! 

Amber,  «oral,  meerschaum,  manufacture"  of,"  with  "machinery 

Aniber,  coral,  meerschaum,  manufacture  of,  without  machinerV 

Caijenters  and  cabinetmakers  (performing  work  not  included  under  aii'y" other' 

Carpenters  and  cabinetmakers,  working  with  machinery  (including cirou- 


Same  as  above  (exclusive  of  circular  saws) '. 

Carpenters  and  cabinetmakers,  working  witiioii't  maciiin'e'ry 

Carpenters  and  cabmetmakers,  working  on  scaffolding  or  stt^in'g 

Manufacture  of  Venetian  blinds,  with  power  saws  

Manufacture  of  Venetian  blinds,  without  power  saws        

Shoe  trees  and  wooden  shoes,  with  power  saws  

Shoe  trees  and  wooden  shoes,  without  power  saws     

Impregnation -of  wood  (6) 

Carving,  inlaid  work,  wood  turning,  and  otiier' delicate  woodwork- 

Wood  carvers  and  inlaid  woodworkers 

Wood  turners,  using  power  saws 

Wood  turners,  without  power  saws ! 

Wooden  ware  and  wooden  toys,  with  machinerv 

Wooden  ware  and  wooden  toys,  without  machinery 

myons,  pencil  boxes,  and  similar  office  supplies .  

Manufacture  of  match  splints,  with  machinerv  

Manufacture  of  match  splints,  without  machinery  .     

Wooden  sticks 

Fans,  with  use  of  power  saws !!!!!!!!!!!!!!! 

Fans,  without  use  of  power  saws '. 

Sawmills  and  wood  planing:  

Wood  sawing  (lumber,  firewood,  hard-wood  flooring,  staves)  with  use  of 
power  saws,  including  circular  saws "^  "* 

Same  as  above,  with  use  of  power  saws  but  exclusive  of  circular  saws' 

tsame  as  above,  with  use  of  handsaws 

Planing 


XVII 


XVI 
IX 

XIV 
VI 
IX 


xrv 

IX 
VI 

VII 

IX 
XVI 

VII 
XIV 

VII 


xvni 

XIII 

XVII 

IX 

XVIII 
X 


XIV 

VIII 

V 

III 


XXI 

XVIII 

XIII 

XXI 

XX 

VI 

xvni 

X 

XIII 

IX 

XVI 

XI 

XV 

XI 

XII 

XV 

IX 

XIV 

XV 

vin 


XXIII 

XIX 

XV 

XVIII 


Annual 

premium 

rates  in 

percent 

cf  wages. 


2.6 


2.3 
1.0 
1.8 
.7 
1.0 

.6 

L8 

1.0 

.7 

.8 

1.0 
2.3 

.8 
1.8 

.8 


3.0 
1.6 
2.6 
1.0 

3.0 
1.1 


1.8 
.9 
.6 
.4 


4.5 
3.0 
1.6 
4.5 
4.0 
.7 
3.0 
1.1 
1.6 


a  Premium  to  be  increased  if  use  is  made  of  circular  saws. 
thelys'teK'i^rT^lt^on"''''^'^"^  according  to  the  danger  presented  by  the  substances  employed 


1.0 

1.8 

2.0 

.9 


5.5 
3.5 
2.0 
3.0 

and 


1764 


REPORT  OF   THE   COMMISSIONER   OF   LABOR. 


CLASSIFICATION   OF  ENTERPRISES,  INDUSTRIES,  AND  PROFESSIONS,  BY  DEGREE 
OF  RISK;  AND  PREMIUM  FOR  EACH  RISK  (X ASS— Continued. 


267 

268 
269 
270 
271 
272 
273 


274 

275 
276 

277 
278 
279 
280 
281 

282 
283 
284 

285 

286 
287 
288 
289 


290 
291 
292 


293 
294 
295 

296 
297 
298 
299 
300 
301 
302 
303 

304 
305 
306 
307 
308 
309 
310 
311 
312 
313 
314 


■WOODWORKING— concluded . 

Cork,  wicker,  and  brushes: 

Cork  working 

Manufactures  of  wicker .."V.\[ .[[..]]]] 

Manufactures  of  rush  products 

Brushes,  with  woodworking '.'.'.'.'.'.'.'. 

Brushes,  without  woodworking '.".!!".!!!'!! 

Whisk  brooms  and  paint  brushes,  with  use  of  power.  V. . 
Whisk  brooms  and  paint  brushes,  without  use  of  power. 


MACHINEEY  AND  MECHANICAL  WORK. 

Appliances  for  lighting,  heathig,  electricity,  and  exact  instruments  In  general: 

Appliances  for  lighting,  heating,  hydraulic  work,  manufacture,  and 
installation  (a) 

Appliances  enumerated  above,  manufacture  but  without  Installation  («•)! 

Scientific  instruments  and  appliances  (chemical,  pharmat-f-utical,  surgi- 
cal, mathematical,  physical,  and  optical),  with  machinery  (c) 

Same  as  above,  without  machinery  ( c) 

Scales,  weights,  and  measiu-es,  with  machinery  ( c) ] 

Scales,  weights,  and  measures,  without  machinery  ( c) 

Ordinary  timepieces 

Tower  clocks,  manufacture  and  installation  (^j '.'. 

Firearms: 

Ordinary  firearms,  with  machinery  (<) 

Ordinary  firearms,  without  machinery  («) ! 

Artillery 

Shipyards: 

(a)  Large  establishments  for  construction  of  wooden  and  Iron  ships, 
includmg  machine  shops .. 

b)  Construction  of  wooden  ships  and  boats,  with  power  saws........ 

c)  Same  as  above,  without  power  saws 

^d)  Construction  of  barges,  boats,  etc.,  with  power  saws !!"!!!!!"' 

e)  As  above,  without  power  saws  (the  repair  work,  calking,  etc.,  shall  be 

assimilated,  accordhig  to  its  importance  and  the  mode  and  place  of 
execution,  to  one  of  the  preceding  groups) 

Breaking  up  of  wooden  ships '. 

Breaking  up  of  iron  ships .."!"!!!!!!]!!!!!!!!! 

Dry  docks,  management  (not  including  the  repair  of  ships  oir  any  work  on 

boardship) 

Carts  and  carriages: 

Ordinary  carts  and  carriages,  with  use  of  power  saws 

Ordinarv  carts  and  carriages,  without  use  of  power  saws 

Railroad  and  tramway  cars 

Musical  instruments  and  accessories: 

Musical  instruments  not  otherwise  specified  In  the  tariff,  with  machinery 

Same  as  above,  without  machinery 

Organs,  pianos,  harmoniums,  with  use  of  power  saws !!!!!!!!!!!!! 

Organs,  pianos,  harmoniums,  without  use  of  power  saws 

Harmonicas,  with  machinery ] ]  ] ' 

Harmonicas,  without  machinery "....[[""[.  .[[[[V. 

Musical  strings,  catgut '.'.'.'.'.'....,'.'.'.'. 

Musical  strings,  metal ""!!"!!!!!"!!!!!!!.!!" 

Machines  and  machine  shops  in  general: 

Manufacture  of  boilers  for  industrial  uses 

Demolition  of  boilers  for  industrial  uses 

Agrlcultvu-al machinery 

Construction  and  repair  of  grinding  milis,  with  use  of  pow'er  saws 

Construction  and  repair  of  grinding  mills,  without  use  of  power  saws 

Automobiles  (increase  of  premium  If  testing  is  included) 

Bicycles " 

Sewing  machines  and  typewriters I""  """ ..["[[[" 

Pumps  (with  Increase  of  premium  if  work  In  wood  Is  Included) '.'. 

Weaving  looms  and  other  Implements  for  weaving 

Grinders  and  assemblers  of  machinery 


VIII 
V 

vn 

XVII 

vn 

XVIl 
Vll 


XII 
IX 

XI 

VII 

XI 

VII 

V 

X 

XV 

XI 

XVI 11 


XXV 
XXI 
XIX 

XVIl 


XIII 
XXIX 
XXXI 

XV 

XVI 

XIII 
XVI II 

XII 

vni 

XVI 

XI 

XI 

V 

IV 

VII 

XXI 
XXIII 
XVI 
XIX 
XVI 
XVI 
XIV 
XI 
XIV 
XIII 
XIX 


Annual 
premium 

rates  In 
percent 
of  wages. 


0.9 
.6 
.8 

2.6 
.8 

2.6 
.8 


a  If  the  work  of  Installation  is  done  upon  the  outside  of  buildings  or  on  scaffoldings  or  if  use  is 
power  or  of  foundry  work  the  premium  must  be  increased. 

6  If  use  is  made  of  power  or  of  foundry  work  the  premium  must  be  increased 
c  Premiums  are  increased  If  use  Is  made  of  power  saws. 

**  The  premium  to  be  increased  If  it  is  combined  with  work  outside  »if  the  towers, 
e  With  increase  of  premium  If  it  is  combined  with  the  charging  of  cartridges 


1.4 
1.0 

1.2 
.8 

1.2 
.8 
.6 

1.1 

2.0 
1.2 
3.0 


7.5 
4.5 
3.5 
2.6 


1.6 
15.0 
25.0 

2.0 

2.3 
1.6 
3.0 

1.4 

.9 

2.3 

1.2 

1.2 

.6 

.5 

.8 

4.5 
5.5 
2.3 
3.5 
2.3 
2.3 
L8 
1.2 
1.8 
1.6 
3.5 

made  of 


CHAPTER  VII. workmen's   INSURANCE  IN   ITALY.  1765 

CLASSIFICATION  OF  ENTERPRISES,  INDUSTRIES,  AND  PROFESSIONS,  BY  DEGREE 
OR  RISK;  AND  PREMIUM  FOR  EACH  RISK  CLASS-Continuei. 


I 


315 
316 
317 
318 
319 


320 
321 
322 
323 
324 
325 
326 
327 


328 
329 
330 
331 
332 
333 
334 
335 
336 
337 
338 

339 
340 
341 
342 

343 


344 

345 

346 

347 

348 

349 

350 

351 

352 

353 

354 

355 

356 

357 

358 

359 

360 

361 

362 

363 

364 

365 

366 

367 

368 

369 

370 

371 

372 


MACHINERY  AND  MECHANICAL  WORK— Concluded. 

Machine  shops: 

(a)  For  lai^e  construction 

(^)  For  small  construction,  with  machineiy  (o) 

(c)  For  small  construction,  without  machinery  (a) 

(d)  For  repair,  with  machinery  (o)  

(e)  For  repair,  without  machinery  (o)   


METALS. 


XVIII 

XVI 

XIII 

XIII 

X 


^°^mn^oi^®l&i^"^*^*^'  ?°i«ltlng,  and  early  manufacturing  processes): 
Iron  and  steel  foundries,  large  establishments  "^;»«»cay. 

iron  and  steel  foundries,  small  establishments,  With  machine!^ 

BlSSth^hi^^         '  ^^^  estabUshments,  without  machinery ! ! '. '. 

Forging  hammers,  large"  establishments! '. 

Forgmg  hammers,  small  establishments         

Iron  and  steel  rolling 

XT  -i^°°  ^^  ^^^^  ^^^®  drawing,  hot. .'.'."." I        yt  v 

^SSsT''  ^''''^'^^^  ""^  ^""^^  ^^  ^^^^  (smeitog  aiid  early  in^ufacturlng' 

Smelting  of  various  metals,  large  establishments 

s^«   In!  ^J  various  metals,  smaU  establishments,  with  m^hi^e^; 

Smeltmg  of  various  metals,  small  establishments,  without  machmerv 

Rollme  of  various  metals,  large  establishments.  .     .  macnmery. . . 

Wire  drawing,  various  metals,  hot  (exclusive  of  precious' metals) 

Wiredrawing  of  precious  metals...  "o^xcuua; 

Manufacture  of  tin  plate 

Gold  beaters,  with  machinery.       

Gold  beaters,  without  machinery 

Gold  and  silver  plate 

Metal  |;rindmg ^ [][ 

Goldsmithing,  silversmithing,  jewelry: 

Sllversmithing,  with  machinery 

Silversmithing,  without  machinery. .  

Go  dsmithing  and  Jewelry,  with  machinery       

^oldsmithing  and  jewelry,  without  machinery  

^ni?«v  ^  fS?  utensils,  metal  furniture  and  varioiis"  micl^i 

Blacksmiths  and  locksmiths,  working  in  iron  and  steel 


XXII 
XVIII 
XIII 
XIX 
XIX 
XVI 
XIX 


XV 

XIII 

X 

XIII 

XVIII 

VI 

XV 

X 

III 

VIII 
XIII 


not  otherwise 


une  as  above,  without  machlnerv  (6) ..  


Same 


Same  as  above,  working  on  scaffolding  or  staging?  V)" 

Knives,  scythes,  cutting  arms,  etc.,  with  machlnerV ' 

Knives,  scythes,  cutting  arms,  etc.,  without  machinery 

Files,  rasps,  and  saws "*"ctor 

Metallic  springs  for  vehicles  or  large  maci^ery 

Metallic  springs  of  small  size..  

Screws 

Horseshoers !!!!!"'.'"!! 

Iron  furniture  and  safes',  with  machinery 

iron  furniture  and  safes,  without  machinery         

Tff^mJjSf '  P^""^^'^'  and  zinc  workers,  in  the  shop," With' maishlnei^" ' ' 
w^T  i^^'  P'"^bers  aiid  zmc  workers.  In  the  shopVwlthout  machSi^" 
Workmg  on  roofs,  staging,  or  scaffolding  (6)  macamery. 
Brass  working *  

Coppersmith  manufacturing,'  objects  of  iidm'e  "use... 

Metallic  pens 

Metal  stamping  and  pressing",' wltii  inacidnery  .* 

Metal  stampmg  and  pressing,  without  machinery. 

Cartridges,  exdusive  of  charging  

Metal  novelties  and  jewelry,  with  machinery 

Metal  novelties  and  jeweh^,  without  machinery  

Needles  and  pins 

Screws  and  bolts 

Nails,  with  machinery 

Nails,  without  machinery. ..." 

Iron  points 

Wire  metal  rope,  and  cables  ....'. 

Metal  netting,  including  wli«  drawing 


X 

III 

rv 
III 


ou[tsTdl  t^h^  machi^eYh^.*'"''^^**  ^°'  ^^""^  °'  '°'^"  construction  ustag  factory 

mL^aL°£i®**-^°'"^'  t^^t  ^S'  5"^^  as  is  performed  partly  In  the  shoo  and  mrtlv 
Suo^^FS"^  proportionate  to  the  Importance  of  o^ratlSm^o^eS  mlS^ 


XIV 
VIII 
XIX 
XIII 

IX 
XIII 
XVI 
XIII 

XI 
XIX 
XIV 

IX 

XVI 

XII 

XXIV 

XII 

XIV 

X 

XII 

VI 
X 

XI 
VII 

X 

XIV 

XII 

X 

XII 

XII 

XVI 


Annual 

premium 

rates  in 

percent 

of  wages. 


3.0 
2.3 
L6 
L6 
LI 


5.0 
3.0 
L6 
3.5 
3.5 
2.3 
3.5 
3.5 


2.0 

L6 
1. 1 
1.6 

ao 

.7 

2.0 

LI 

.4 

.9 

L6 

LI 
.4 
.5 
.4 


L8 
.9 
3.5 
L6 
LO 
L6 
2.3 
1.6 
L2 
3.5 
1.8 
1.0 
2.3 
1.4 
6.5 
1.4 
L8 
LI 
L4 
.7 
LI 
L2 
.8 
LI 
L8 
1.4 
LI 
L4 
L4 
2.S 


work  and  for  repairs  done 


on  scaffolding,  an  Inter- 
under  the  two  different  oon- 


f 


1766  BEPORT  OF  THE  COMMISSIONER   OF  LABOR. 

CLASSIFICATION  OF   ENTERPRISES,  INDUSTRIES,  AND  PROFESSIONS    BY  DEGREE 
CLASSIFICAT^ONJ^*^  Ji.^^^  PREMIUM  FOR  EACH  RISK  CLASS-Contmued.  ^ 

Annual 

premium 

rates  in 

per  c«nt 

of  wa^es. 


373 
374 
375 
376 

377 
378 
379 
380 
381 


METALS — concluded. 


implements  and  utensils,  metal  fumitare  and  various  articles -Concluded. 
Metal  netting,  exclusive  of  wire  drawing 

Type  for  printing 

Metal  turners 

Metal  chases 

^'"^  aSingTnd'lSl^^inetals,  with  machinery  («).-. 

PHnH  SI  and  bo  ishini  metals,  without  machmery  (a)  

IwfrpfatTnl'^oW&ng,  nickel  platin^^ 


Enameling  metals 
Electric  plating 


MINERALS.  (6) 


382 

383 
384 

385 

386 
387 
388 
389 
390 

391 

392 
393 
394 
395 
396 
397 
398 
399 


400 

401 

402 

403 

404 

405 

406 

407 

408 

409 

410 

411 

412 

413 

414 

415 


•'%g|totcS'T;^v'S,'sSr-cl  coloring  e^rtM 

Mineral  fuels:  .  

Hard  and  soft  coal  mmes 

Turf  pits 

Metals* 

Metal  mining,  including  smelting 

Kle?gi?ii?e7and  porphyry,  with  inclmed  plane 

Marble,  granite,  andjwrphyry, 


without  inclined  plane. . 


Lava,  pozzolana,  and  tufa  stone  quames. 


^"^^S^u'Shur  mining,  including  working  up  of  the  mineral. 
Various  minerals: 


Graphite  munng 

Mica  and  barytes  and  magnesite  quames 

Petroleum  mining -- 

Rock  salt  mining 

Salt  works 

Ice  cutting v  - :  ■  •  •," 'i\:i«».'  >V\ 

Working  up  of  the  products  of  mining,  (c) 

^■"i^SfrfiCiffi^orSlSS'™^^^^^^^^    : 

Gravel,  machine  crushing ;■■•; __ 

Gravel,  hand  crushing 

Manufacture  of  emery -....- 

Crushing  of  stones  and  earths  .. . 


XI 

IX 

XVI 

IV 

XIV 

VIII 

IX 

Xll 

V 


XVIII 

XIX 
XI 

XX 

XXIII 

XIX 

XXIV 

XXII 
XXIV 

XXIV 

xxn 

XXII 

XVItl 

XX 

XVI II 

XIX 

IX 

XIX 


L2 

1.0 

2.3 

.5 

1.8 

.9 

1.0 

1.4 

.6 


3.0 

3.5 
L2 

4.0 

5.5 
3.5 

6.5 
5.0 
6.5 

6.5 


3.0 
3.5 
1.0 
3.5 


r^lere  working  upon  scaffolding  or  staging 

pSpS:  not  worki^on  scaffolding  or  stagmj.,-^.^..^-  -_..;. 

and  marble-c 

and  marble-c 

ndmechanica 
Miiistones  and  grindstones. 


i?S?ISS  SSd  martr.E<=7t(rr;;workrni-on"^"*oldta^  <"  "»«'°«- " ' 
-krnictnnnc  and  erindstones 


I 


XXI 

4.5 

XVII 

2.6 

XI 

1.2 

XVI 

2.3 

XIX 

3.5 

XXIII 

5.5 

XII 

1.4 

XVII 

2.6 

XX 

4.0 

XVIII 

3.0 

XV  HI 

3.0 

XIV 

1.8 

XVII 

2.6 

XVII 

2.6 

XII 

1.4 

XIII 

L6 

Slate  and  lava  working 

Precious  stone  working 

a  The  premium  to  be  increased  i^  «^,jJ,f^thfslXSb^^^^^^^^  may  be  increased 

6  For  t^e  classescomprised  under  the  rst  {«  ^f  si^^^suDgroups,  j^'aterial  and  danger  that  several 

if  the  condition  of  work  was  unfavorable  ^^omipnt  use  of  exprosives:  third,  excavations  not  contmued 
persons  might  be  crushed  at  once;  f^S^^^^i^Sh  ?arS  size  Sat  lepth  or  ai^tivity  of  the  mines  or  quar- 
Swjording  to  the  regulations  of  V^^  ^^a^;tSor  SofSffirnl  t6ols;  sixth,  product  ion  of  deleterious 
ties;  fifth,  dangerous  methods  oftransiwrtation^^  ^        ^  material  (thecr.ishing  of  gravel, 

or  ekplosive  gases.    The  premium  mayj^  reduced  ii  me  wor^b^  ^^^  ^.^  the  mines  or 

roasting  and  pulverizing  ores,  saw^rf^fd^  Jen  SSuS  different  classes.    Still  greater  reduc- 

quarries,  unless  these  processes  ^^ve  already  been  incnKieum^  ^^^  premium  may  also  be 

tion  may  be  granted  f  the  work  is  I^rfonned  ^^^^^^f  ^^^Xalught  that  the  entire  danger  of  falling 

reduced  when  the  extraction  of  the  ore  takes  p  ace  ax  ^"^u  a     ^        i^echanical  traction 
"^^Ttll^uS^Xe  Se^{^rStLS,'^&£  aSrwi^  Of  minerals,  when  executed  in  independent 
establishments. 


CHAPTER  VII.— WOEKMEN'S  INSURANCE  IN  ITALY.  1767 

CLASSIFICATION  OF  ENTERPRTqifQ    TMT^TTomT,,™^ 


416 
417 
418 
419 

420 
421 

422 
423 
424 
425 

426 

427 
428 

429 

430 
431 
432 
433 

434 
435 
436 
437 
438 


Wool  and  cotton  cardine  

Artificial  wool. .  

*^£n\X°h^1,7'"'«''«°'*«»-(P'e^"in"iobe^d 

Silk  spinning 

Silk  waste  working         

Yam  twisting.  With  maciiinei^^ 

Yam  twistmg,  without  machinery" 

'''^SS.lf^^.^l^^!S'^^,^''-^'-<iii-^-''^ir^splnr^: 

Hand  weaving  (6)  

Preparation  of  yam  and  "tissues" 

Dyeing  of  yam  or  cloth  wiVh'^o^i; ••■:"• 


Dyeing  of  yam  or"cloth;  "With'iii^hinei^" 
Ti^nr- °^  ""^  y^?^  °^  ^'oth  withoXnServ 


439 
440 
441 
442 
443 

444 

445 

446 


447 
448 
449 
450 

451 
452 

453 
454 
455 
456 

457 


Manuf^tui^  oThempJut^  I^d  flax''  ''""^  ^'"""^^  "^"^y- 

Cotton  manufactures  ^  ii»A 

MKt^StSlr^^-^'^^-^-»'^-eaVix;g;:::::::^        

MWacturesoflaxitgoods:iace;ribWns,"passexn^ 


458 

459 
460 
461 
46? 
463 


TBANSPOETAHON. 

Porters,  elevators,  cranes,  etc.: 

Pc'r^S^fia^olr^^-'^'P^-O'^^ytog 

Porters  in  Other  places  (c) 

Street  messengers 

„     XtlSit:'!^!'-  "'"<''»^'«'^«".-d  other  mechiiic.iWppiian^ 
Railroads:  ..f 

Personnel  of  the  repair  shops 

Tram  service ^ 

Common  laborers '"'[ ." 

Tr«^f^"^®<*"s employees...    

iramways:  

Horse  cars,  the  entire  personnel 

&^;J^„-??,S--«'-""--:::::-::::::::::-:- 


VI 

VII 

XI 

VI 

II 

VII 

VIII 

X 

III 

IX 
IV 

V 

II 


IX 

in 

IV 

VII 

III 

IX 
X 

VII 
IV 

IV 


-s^S'^TiZ'ii^-ssi^r^.^^^in^ 


XXIV 

XX 

XVII 

xm 

XVUI 

XVI 

XII 

XXI 

XV 

XI 

XIX 

XVII 

XVII 

XV 

XVI 

XV 

XVII 

XVI 


.animals,  eteX  ^""'^'^"^^'°«  "material,  coal,  lumber,  furniture,  boxes 
'^%i^^'''^^--^oisinsii^eiiid'^^^  XXIII 

&p-4S^-:Stt%^r.^. 

Automobiles,  chauffeur 

.h?.l?!????ses  mentioned  " 


XVIII 

XXI 

XX 

XVI 

IX 

XXVI 


Annual 

premium 

rates  in 

percent 

of  wages. 


a7 

.8 
LS 

.7 
.3 

.8 
9 
1 

.4 
1.0 

.5 


1 


1.0 
.4 
.5 
.8 
.4 

1.0 

1.1 

.8 

.8 

.5 


6.5 
4.0 
2.6 
1.6 

3.0 
2.3 
1.4 

4.5 

2.0 
1.2 
3.5 
2.6 
2.6 
2.5 

2.3 
2.0 
2.0 
2.3 


5.5 

3.0 
4.5 
10 
2L3 

1.0 
9.0 


67725°— voi,  2-11- 


-18 


small  bulk  not  otetog  i^.^^f a"^; 


1768 


REPORT  OF   THE   COMMISSIONER  OF  LABOR. 


CLASSIFICATION  OF  ENTERPRISES,  INDUSTRIES,  AND  PROFESSIONS    BY  DEGREE 
OF  RISK;  AND  PREMIUM  FOR  EACH  RISK  CLASS-Continued. 


In- 
dus- 
try 
num- 
ber. 


464 
465 
466 
467 

468 
469 
470 
471 


472 
473 
474 
4r5 
476 
477 
478 
479 
480 

481 
482 
483 

484 
485 
486 

487 
488 
489 

490 
491 
402 
403 


494 
495 
496 
497 

498 
499 
500 
501 
502 
503 
504 
505 
506 

507 
508 
509 
510 
511 
512 
513 
514 
515 
516 


Industry. 


TRANSPCiRTATiON— concluded . 


Transportation  in  carts,  carriages,  etc.,  and  telephones— Concluded. 

liana  wagons  on  rails 

Forest  roads !!!!!!!!!!! 

Inclined  planes 

Telephones iiiii!!"!! !!!."!!".'!!.'! 

Transportation  on  rivers  and  lakes:  

Sailing  vessels  on  lakes,  rivers,  and  lagoons,  including  the  entire  crew. 

Steam  vessels  as  above 

Barges  and  fishing  vessels  on  lakes,  rivers,  and  iagoonsV.'.'.' 

Rafts,  and  floats  on  lakes ,  rivers,  and  lagoons. . . 
Deep  sea  transportation,  (a)  

CLOTHING. 

Clothing,  furs,  lingerie,  corsets,  etc.: 

Dealers,  with  machinery 

Dealers,  without  machinery 

Lingerie,  with  machinery '.'.'.'.'.'.'.'..'.'."'. 

Lingerie,  without  machinery '.'.'.'.'.'.'.'.". 

Corsets,  with  machinery 

Corsets,  without  machinery ".".!!."!!!!! 

Buttons  of  cloth  or  thread,  with  machinery! 

Buttons  of  cloth  or  thread,  without  machinery. 

Mattresses 

Hats: 

Felt  hats,  with  machinery 

Felt  hats,  without  machinery ""[["]"""[ 

Straw  hats,  with  machinery '.'.'.'..'.'.'.'.'.'.'.'.. 

Straw  hats,  without  machinery 

Beretta,  with  machinery !!!!!!!!!"!'!"!!!! 

Beretta,  without  machinery 

Millinery,  plumes,  and  artificial  flowers: * 

Millinery 

Artificial  flowers .!!!!!!!!!!!!! 

Plumes 

Washing,  ironing,  and  cleaning:   

Laundries,  with  machinery 

Laundries,  without  machinery 

Cleaning 

Ironing '.'.'.'.'.'.'.'.'.'.'.'.'.'. 


MISCELLAKEOUS. 

Retail  trade: 

Wine,  selling  at  retail  (exclusive  of  manufacture  or  transportation) 

Drug  stores 

Butcher  shops "..""""[     

Retail  selling,  of  classes  not  otherwise  mentioned  in  the  tariff 

Guards,  guides,  and  firemen: 

Forest  and  field  watchmen 

Night  watchmen '.'.'.'.'.'.'.'. 

City  watchmen \ ..[""["...  \[ 

Watchmen,  in  customs  service  in  cities !!!!!!!!!!!!!!!!!!] 

Watchmen,incustomsserviceout  of  town 

Guards  of  tax  officers ] . .  ] '. 

Hunting  guards [["["...[[[[[ 

Alpine  guards  and  porters 

Regular  firemen WW"  V. .["""'  ' 

Personnel  of  service  in  general:  (*) 

Hotels,  the  night  service 

Domestic  servants,  male ]  ]  ] 

Sea  bathing  establishments 

Other  bath  establishments !!...'!!!!!.! 

Hospitals ,  the  entire  personnel "-WWIW.] ..[][[[][[  ' 

Hospitals  for  the  insane,  the  night  personnel ""!"!!!!!!!!" 

Theaters,  the  night  personnel, including  machinists 

Domestic  servants,  female,  and  porters 

Carriers 

Employees  in  general WWV. ..][[[[[[[ 


Risk 

class. 


xxn 

XX 

XXVII 
XX 

XIX 

XVII 

XVIII 

xvni 


VI 

I 

VI 

I 

IV 

I 

vm 

I 

VI 
IV 

II 

IV 

II 

IV 

I 

I 

II 
ui 


Annual 
premium 

rates  In 
per  cent 
of  wages. 


5.0 

4.0 

10.5 

4.0 

3.5 
2.6 
3.0 
3.0 


.7 

.25 

.7 

.25 

.5 

.25 

.9 

.25 

.7 

.5 
.3 
.5 
.3 
.5 
.25 

.25 

.3 

.4 


XII 

L4 

IV 

.5 

VII 

.8 

IV 

.6 

V 

.6 

VIII 

.9 

XII 

1.4 

n 

.3 

XI 

1.2 

XI 

1.2 

XIV 

1.8 

rx 

LO 

XX 

4.0 

XV 

2.0 

XIV 

L8 

XIX 

3.5 

xrv 

1.8 

XI 

1.2 

VI 

.7 

XII 

1.4 

VI 

.7 

XI 

1.2 

XVII 

2.6 

XIV 

L8 

vni 

.0 

VIII 

.9 

I 

.25 

a  For  deep  sea  transportation  a  special  tariff  applies  which  has  not  yet  been  approved 
b  Tiie  personnel  of  service  included  here  must  not  be  occupied  ai  anything  but  hand  work:  if  persons 
handling  machmery  (elevators,  all  kinds  of  motors,  steam  heating  plants,  etc.)  are  included,  the  premium 
must  be  increased  correspondingly.  or        ,       /  ,*  «4/.o*ixai*iu 


CHAPTER  VII.-W0BKMEN'S  INSUEANCE  IN   ITALY.  1769 

CLASSIFICATION  OF    ENTERPRTQFq    TxrT^TTom^.^ 


517 

518 

519 

520 

521 

522 

523 

524 

525 

526 

627 

528 


MISCELLANEOUS— concluded 
GSv?d&r^"^^^«  '^^  ^°^^S  on°£dde?8 .''  [  1  [ 

HiStera.^^^"^'  the'entire'^^^inei:::  ::::;:;::::• 


Boiler  scraping 
Enginee: 


Kt 'b£S^  dtoln/eciogesiabiiVhnienU: ! ! ! ! ! ; : !  I ! ! ! : ! ; : ; ; ; 


529 
530 
531 


Appendix.  (6) 

navigation:  «=  m w  ou anuary  31 , 1 904,  concerning  deep-sea 

P^T  °'  ^^^^  and  short-distance  tugs 


Annual 

premium 

rates  In 

percent 

of  wages. 


1.0 
1.2 
1.0 
4.5 
2.6 
6.5 
3.5 
.5 
1.1 
2.0 
2.0 
1.0 


XVII 
XIII 

xxrv 


isg^sSfo'tSli^^'Sh^n^M^^^^ 
^  From  BoUettino  di  NotlJffs'u'lVr^^^d^to^'e^Jf^^^^^^^^^^  f^nsured  ^  "b^l^^^?  ^oU>rs 


2.6 

1.6 
6.5 


orint 


ADMINISTKATION. 

savings  bank,  Zlt^Zl^LTl''"''-''  '''''''"^  ^  *»»«  ^ilan 
entered  into  he  agrefment  Tht  ''^^^"^  institutions  which  have 
bank  acts  also  asThrrecutivrcor''*'i^'/r'^"^"  ''^  *he  Milan 
institution.  It  must  mee/"  eSHnd'of  *''  T""^*^  '°^"^-- 
administers  all  the  current  Tust^ek  j  fl  '^   necessary,  and 

supervising  the  work  of  the  execSorl     ItTr^!.^^^^^^ 
premium  changes    DreDar««  th^  .  ^^""^^  *^®  necessarv 

yea.  the  techLll'^sSments    cTd^u  tsthrT.'^'^'  ^^^^>'  «- 
employers  and  workmen  for  in.  ,r,n.    1        ?  agitation  among  the 

of  accident  preventS^  etc  ^Mh«  .t  7'''^"°'  ^'"'"^^  "^^t^ods 
the  agreements  act  L  local  afnts  „f"  ^-  '°'"  ^^'^  ^*^«  '^^-<i 
these  local  officers  are  unSer  IhTlf  .  T"*"""  institution,  and 
while  the  work  of  thk  comr^i!,?*'*''^  i^**  ^^^''^^'^^  committee, 
national  insurance  iSitutrn^f !  '^^  P°"'*^  P^^^^  ^^  the 

constituted  as  follows  Se^^esfdeTv^^^^  ^L  *  ^"P«""^  ««"-<>" 
hers  of  the  executive  00^^*^^'  ^"^J'^^^'^^'^t,  and  five  mem- 
of  the  other  nine  banks  ^f^'  *°^.  ''"^  representative  from  each 
oftener  if  necessary  It  al^ '°T'  """^^  '''''  semiamxually,  ^1 
approves  the  ann/al  budtTand  ieTr""  *°^  -den.nity';ates, 
tl^e  action  of  executiveoffi^ct,tl;tdraT^ter^^^^  and  revised 


1770 


REPORT  OF   THE   COMMISSIONER   OF  LABOR. 


The  law  of  December  23,  1886,  provided  a  method  for  introducing 
changes  in  the  conditions  of  the  agreement.  According  to  the  law 
the  superior  council  may  recommend  to  the  Government  such  changes 
in  the  conditions  as  experience  shall  prove  desirable,  and  these 
recommendations  may  be  approved  by  royal  decrees  (administrative 
acts). 

STATISTICS   OF   OPERATIONS. 

A  record  of  the  operation  of  the  National  Accident  Insurance 
Institution  for  the  entire  period  is  quoted  in  the  following  table, 
showing  the  total  number  of  policies  issued  and  the  number  of  persons 
insured  each  year  from  the  beginning  of  the  organization  of  the 
institution.  This  table  shows  the  growth  of  the  transactions,  though 
not  altogether  accurately.  The  number  of  policies  issued  and  the 
number  of  persons  insured  is  excessive  for  the  years  1898  and  1904. 
During  1898  the  first  compensation  act  went  into  effect,  and  during 
1904  the  amendments  of  1903,  and  in  both  years  many  poUcies  were 
written  twice,  first  for  a  short  time  under  the  old  conditions,  and  then 
again  to  comply  with  the  new  requirements,  wliich  explains  the  very 
large  number  of  policies  issued  during  these  two  years. 

NUMBER   AND   KIND   OF   POLICIES    ISSUED    AND   NUMBER   OF   PERSONS  INSURED 
EACH  YEAR  BY  THE  NATIONAL  ACCIDENT  INSURANCE  INSTITUTION.  1884  TO  1907. 

[Source:  Bollettino  di  Notiele  sul  Credito  e  sulla  Previdensa,  1902  to  1908.    Atti  della  Cassa  Nazionale 
d'Assicurazione  per  gl'  Infortuni  degli  Operai  sul  Lavoro,  1908  and  1909.] 


Indi- 
vidual 
insur- 
ance: 
Persons 
insured. 

Collective  insurance. 

Simple. 

Combined. 

1  oiai. 

Year. 

Policies 
issued. 

Persons 
insured. 

Average 
niraiber 
insured 

per 
policy. 

Policies 
issued. 

Persons 
insured 

Average 
number 
insured 

per 
policy. 

Policies 
issued. 

Persons 
insured. 

1884.... 

1885 

1886.... 
1887. . . . 
1888.... 
1889...- 
1890.... 
1891..-- 
1892.... 
1893. . . . 
1894. . . . 
1895.... 
1896.... 
1897.... 
1898  (o). 

1899 

1900. . . . 
1901.... 
1902. - . . 
1903.... 
1904  (o). 

42 
304 
532 
1,058 
1,192 
1,292 
2,056 
1,904 
1,947 
1,922 
2,105 
2,472 
2,540 
2,777 
2,710 
2,274 
2,452 
2,669 
3,029 
3,082 
3,379 
3,409 
3,460 
3,811 

6 

28 

76 

02 

75 

82 

113 

101 

100 

105 

141 

187 

190 

250 

337 

201 

296 

443 

378 

463 

(6) 

(ft) 

306 

2,382 

6,687 

4,103 

4,018 

4,191 

4,977 

5,516 

6,047 

11,762 

11,368 

12,282 

16,803 

15,318 

20,287 

6,665 

8,169 

9,917 

10,305 

10,718 

C) 

C) 

51.0 
85.1 
88.0 
66.2 
53.6 
5L1 
44.0 
54.6 
60.5 
112.0 
80.6 
65.7 
88.4 
6L3 
60.2 
33.2 
27.6 
22.4 
27.3 
23.2 

2 
53 

228 

259 

359 

538 

749 

905 

997 

1,142 

1,247 

1,464 

1,670 

1,843 

3,976 

3,823 

5,493 

8,880 

14,607 

17,927 

c  39, 505 

e 27, 136 

c 32, 027 

c 33, 151 

96 

10,521 

25,487 

34,370 

48,202 

78,304 

93,797 

106,503 

111,122 

117,052 

121,536 

138,879 

148, 5H9 

154, 774 

272, 825 

107,326 

207,464 

298,383 

392,027 

444,739 

c972,8t)8 

c537,+U 

c 642, 154 

c 644, 870 

47.6 

198.5 

111.8 

132.7 

134.3 

145.6 

125.2 

117.7 

111.5 

102.5 

97.5 

94.9 

89.0 

84.0 

68.6 

28.1 

37.8 

33.6 

26.8 

24.8 

C24.6 

C19.8 

«20.1 

C19.5 

50 

386 

836 

1,379 

1,626 

1,912 

2,918 

2,910 

3.044 

3,169 

3,493 

4,123 

4,400 

4,870 

7,023 

6,298 

8,241 

11,992 

18,014 

21,472 

42,884 

30,545 

35,487 

36,962 

443 

13.207 

32.706 

39,531 

53,412 

83.787 

100.830 

113.923 

119.116 

130, 736 

134.999 

153,633 

167,912 

172,869 

295,822 

116,264 

218,085 

310,969 

406,361 

458,539 

976,247 

1905 

540.850 

1906 



645  614 

1907 

648,681 

CHAPTEE  VII.— workmen's  INSUBANCE  IN  ITALY.  1771 

The  actual  increase  in  tlie  number  of  wage-workers  inonr^H  ;» 
shown  in  the  second  column  of  the  followmg  tluJ^gZZ^Je 
number  of  persons   msured   throughout   the   vear      tL  HJfflf  ^ 
between  the  number  of  persons  infured  during  t"e  yit   t  shown' 
on  page  1770,  and  the  average  number  insured  throu^ut  the  vl^ 

STsLrt  W*''' tS-'^^^  r^'t  °^  P^-^-^  we^etsutV  o" 
r^^^  !^    .  .      ^  ^'S**^*  number  was  reached  in  1903   aftpr 

which  the  formation  of  the  Sulphur  Mine  Employed  Sal^ 
Wance  Association  caused  a  considerable  redu^ctbn  in  S?ave7 
age  number  of  persons  insured  throughout  the  year  in  SeNatLL" 
Accident  Insurance  Institution.  J  «"  m  me  iNational 

This  table  shows  the  increase  in  the  number  of  accidents  The 
column  giving  the  amiual  number  of  accidents  per  1  oSper^n^ 
msured  shows  a  very  rapid  increase  in  the  frequLcy  of  accW^^ 
Wluch  has  caused  a  very  strong  outciy  against  th2  frauHrpfa^JJ 
and  malmgermg,  discussed  more  fuUy  in  a  subsequent  section 

sipn(bythedecreeofJuir.l'lV^ 

of  over  five  days,  whUe  previously  benefits  were  paid  oTfor  LfuriE 

hshed  by  the  accident  statistics  of  all  countries,  a  vei^y  large  nrlSfon 
of  accidents  caused  disability  of  less  than  one  montL"^^  ^  *'*"" 
eigS;::^  (Tssst  7^^  ^^^  ^^^Y^^-^^  fainy  uniform  for  about 
eL^i^rZ^  SCra^lti'ls^pSyTSt  ^/^^ 

taken  place  m^ai^Se  ^LZ'Z:^-^^.  LT^^'T 
for  the  death  ratio  has  not  increased,  but  rather  dec^^l      a  ' 

panson  of  the  totals  for  the  three  nerioT  t hi  !  ^f 'f'^d.  A  com- 
ment of  the  law  asss  tni«08  wu  '  .  """^  ^^^^''^  ^^^  «n*c«- 
(1890  tl  TonQt  /  !  ^  ^^'  ^^^  P*"''*^  of  ^^  first  law  of  1898 
U899  to  1903),  and  of  the  amended  law  (1904  t.^  1onA^    u  • 

more  forcibly  the  rapid  increase  in  tie  lidLt  rate.     '^'  ''"^  «"* 


a  The  large  number  of  policies  issued  in  this  year  is  explained  by  the  fact  that  policies  were  issued 
twice  during  the  year,  first  before  the  new  regulations  went  into  effect,  and  then  for  the  rest  of  the  year. 
b  Included  in  combined  collective  insurance, 
e  Including  simple  collective  insurance. 


1772 


REPOBT  OF  THE  COMMISSIONER  OF  LABOR. 


NUMBER  AND  PER  CENT  OF  ACCIDENTS  TO  PERSONS  INSURED  IN  THE  NATIONAL 
ACCIDENT  INSURANCE  INSTITUTION  AND  ACCIDENT  RATES,  BY  RESULT  OF  INJURY, 

1884  TO  1906. 

[Source:  Atti  dellaCassaNazionaled'Assicurazionepergl'  Infortuni  degli  OperaisulLavoro.  Verb^della 
Seduta  del  22  dicembre  1908.  On  September  30,  1908,  there  remained  unsettled  3  cases  of  1900;  1  of 
1901 ;  7  of  1902;  56  of  1903;  127  of  1904;  90  of  1905,  and  738  of  1906.  Thixw  numbers  are  not  included  m  the 
figures  reported  for  the  respective  years.] 


Year. 


Average 
number 

of 
persons 
insured 
through- 
out the 
year. 


1884. 
1885. 
1886. 
1887. 
1888. 
1889. 
1890. 
1891. 
1892. 
1893. 
1894. 
1895. 
1896. 
1897. 
1898. 
1899. 
1900. 
1901. 
1902. 
1903. 
1904. 
1905. 
1906. 


1888  to  1898.  . 
1899  to  1903... 
1904  to  1906... 


67 

6,556 

24,440 

36,992 

58,023 

77,876 

94,507 

103,238 

109,253 

118,133 

125,119 

138,192 

146,696 

158,214 

160,772 

178,439 

202,355 

245,501 

340,256 

421,363 

370, 198 

373,570 

406,183 

1,290,023 
1,387,914 
1,149,951 


Number  of  accidents 
resulting  in— 


Death. 


2 
91 

47 

62 

65 

101 

84 

89 

96 

82 

113 

99 

174 

145 

158 

159 

298 

339 

399 

353 

307 

334 

1,110 

1,353 

994 


Per- 
ma- 
nent 
disa- 
bility. 


19 

67 

104 

108 

133 

153 

203 

211 

247 

299 

336 

366 

431 

390 

406 

646 

956 

1,554 

2,372 

2,037 

2,005 

2,844 

2,877 
5,934 
6,886 


Tem- 
po- 
rary 
disa- 
bility. 


Total 
num- 
ber of 
acci- 
dents. 


Numberof  accidents 
per  1,000  insured 
resulting  in— 


Death. 


49 

538 

1,374 

3,393 

4,695 

5,249 

5,636 

5,720 

6,977 

7,610 

8,338 

9,804 

11,999 

12,019 

10,908 

14,920 

21,420 

31,561 

42,489 

50,579 

51,914 

62,064 

81,440 
121,298 
164,557 


70 

696 

1,525 

3,563 

4,893 

5,503 

5,923 

6,020 

7,320 

7,991 

8,787 

10,269 

12,604 

12,554 

11,472 

15,725 

22,674 

33,454 

45,260 

54,226 
65,242 

85,427 
128,585 
172,437 


0.31 

3.72 

1.27 

1.07 

.83 

L07 

.81 

.81 

.81 

.66 

.82 

.67 

1.10- 

.90 

.88 

.78 

1.21 

1.00 

.94 

.95 

.82 

.82 

.86 
.97 
.86 


Per- 
ma- 
nent 
disa- 
bUity 


2.90 
2.74 
2.81 
1.86 
L71 
1.62 
1.97 
1.93 
2.09 
2.39 
2.43 
2.49 
2.72 
2.42 


Tem- 
po- 
rary 
disa- 
bUity. 


Num- 
ber of 
aU 
acci- 
dents 
per 
1,000 
in- 
sured. 


28 
19 
90 
57 
63 
50 
5.37 
7.00 


2.23 
4.28 
5.99 


7.47 
22.02 
37.14 
58.48 
60.29 
55.54 
54.59 
52.36 
59.06 
60.82 
60.34 
66.84 
75.84 
74.76 
61.13 
73.73 
87.25 
92.75 
100.84 
136.63 
138.97 
152.80 

63.13 

87.40 

143.10 


10.68 
28.48 
41.22 
61.41 
62.83 
58.23 
57.37 
55.10 
61.96 
63.87 
63.59 
70.00 
79.66 
78.08 
64.29 
77.70 
92.36 
98.32 
107. 41 
143.08 
145.16 
160.62 

66.22 

92.65 

149.95 


Per  cent  of  aoci- 
dents  resulting 
in— 


Death 


Per- 
ma- 
nent 
disa- 
bility. 


Tem- 
po- 
rary 

disa- 
bUity. 


2.8> 

13.07 

3.08 

1.74 

1.33 

1.84 

1.42 

1.48 

1.31 

1.03 

L29 

.95 

1.38 

1.15 

1.38 

1.01 

1.31 

1.01 

.88 

.67 

.57 

.51 

1.30 

1.05 

.57 


27.14 
9.63 
6.82 
3.03 
2.72 
2.78 
3.43 
3.50 
3.37 
3.74 
3.82 
3.57 
3.42 
3.11 
3.54 
4.11 
4.^22 
4.65 
5.24 
3.84 
3.70 
4.36 

3.37 

4.62 
4.00 


70.00 

77.30 

90.10 

95.23 

95.95 

95.38 

95.15 

95.02 

95.32 

96.23 

94.89 

95.48 

96.20 

95.74 

95.08 

94.88 

94.47 

94.34 

98.88 

96.49 

95.73 

96.13 

96.33 
94.33 
95.43 


In  addition  to  the  increase  of  accidents  there  was  also  an  increase 
in  the  average  amount  of  compensation.  In  the  following  table  the 
figures  do  not  refer  to  the  amount  of  compensation  paid  during  any- 
one year,  but  the  amount  paid  in  compensation  for  accidents  occurring 
during  the  year.  Such  a  method  of  presentation  is  much  more  accu- 
rate and  valuable,  though  it  causes  considerable  delay,  as  the  figures 
for  the  last  five  or  six  years  are  always  subje(?t  to  correction  because 
some  claims  remain  unsettled  for  several  years.  The  marked  increase 
of  the  average  amount  of  compensation  per  case  from  $9.92  in  1898  to 
$17.93  in  1899  shows  the  effects  of  the  act  of  1898,  which  regulated 
the  amounts  of  compensation  and  increased  it  for  both  the  fatal 
cases  and  those  leading  to  permanent  disability.  Under  the  volun- 
tary system  the  average  amount  paid  for  a  fatal  accident  fluctuated 
between  $140.17  and  $243.74;  under  the  law  of  1898  it  immediately 
increased  to  $548.02,  and  in  1905  was  $570.69.  In  cases  of  per- 
manent disabihty  the  average  amount  of  compensation  under  the 
voluntary  sytem  was  under  500  lire  ($96.50),  and  immediately  after 
the  passing  of  the  law  of  1898  increased  to  nearly  1,000  lire  ($193). 


CHAPTEB  VII.-~W0BKMEN'S  INSUKANCE  IN   ITALY.  I773 

T^^-"  ---CK^fN^T^Vx^^^^^^^^^  BV    THE    NATIONAL 

YEAR,  BY  RESULT  OF  INJURY.  18^  TO  1^        OCCIDENTS    OCCURRING    IN    EACH 

[Source:  AttI  della  Cassa  Nazlonai«  ^'  aooi         . 

_  "^  ''^^^.^S-^^^,^;^^->{^y^P^  au,  Lav...    v„u.. 


Year. 


Compensation  paid  out  for  accidents  resulting  in- 


Death. 


Amount. 


}^ «280 

IB I    15,556 

9,937 


1887 

1888 

1889 

1890 

1891, 

1892. 

1893. 

1894. 

1895. 

1896. 

1897. 

1898. 

1899. 

1900. 

1901. 

1902. 

1903. 

1904. 

1905.. 

1906.. 


Per 

cent  of 

total 


Permanent  dis- 
ability. 


1888  to  1898. 
1899  to  1903. 
1904  to  1906.. 


11,233 
11,201 
19,019 
17,606 
17,123 
19,983 
19,391 
27,542 
21,809 
38,967 
32,317 
86,587 
91,261 
177,573 
211,176 
255,952 
209,878 
175,201 
186,026 

236,192 
822,126 
571,105 


17.73 

68.68 

41.18 

30.78 

25.00 

30.10 

27.01 

24.75 

26.67 

22.69 

29.25 

22.19 

29.85 

25.95 

42.09 

33.76 

40.23 

32.74 

28.67 

22.66 

21.29 

18.77 


Amount. 


$1,173 
4,715 
8,003 
9,684 
11,400 
16,204 
18,814 
22,260 
21,081 
28,375 
29,458 
33,015 
37,-590 
36,593 
76,553 
120,201 
176, 052 
297,286 
455,587 
487,155 
430,690 
553, 959 


Per 

cent  of 

total. 


Temporary 
disability. 


Total 

foraU 

accidents. 


Average  compensation  paid 
in  case  of— 


Amount. 


26.64  264,474 
33.49  1,126,100 
20.84  1,471,804 


74.20 

20.82 

33.17 

26.54 

25.45 

25.64 

28.86 

32.17 

28.13 

33.20 

31.29 

33.60 

28.79 

29.44 

37.21 

44.47 

39.89 

46.09 

51.04 

52.60 

52.34 

55.88 


29.83 
45.87 
53.71 


$128 
2,379 
6,190 
15,577 
22,203 
27,971 
28,769 
29,808 
33,865 
37,699 
37,159 
43.437 
53,988 
55,549 
42,572 
58,831 
87,763 
136,543 
181.096 
229,073 
21fi,  981 
251,321 

386,025 

506.806 
697. 375 


Per 

cent  of 

total. 


43.53 

20.64 
25.45 


SI,  581 
22,650 
24,130 
36,494 
44,804 
63,194 
65,189 
69,191 
74,929 
85,465 
94,159 
98,261 
130,545 
124,459 
205,712 
270,293 
441.388 
645.005 
892,635 
926.106 
822,872 
991,306 


886,691 
2.455.032 
2,740,284 


$140. 17 
170.95 
211. 43 
181. 18 
172. 32 
188.31 
209.60 
192.39 
208.16 
236.48 
243. 74 
230.30 
223.95 
222.88 
548.02 
573. 97 
595.88 
622.94 
641.48 
594.  .55 
570.69 
556.96 

212. 79 
607.63 
573.00 


$61.75 
70.38 
76.95 
89.67 
85.72 
105.91 
92.68 
105.50 
85.35 
94.90 
87.67 
90.21 
87.22 
93.98 
188.55 
186.07 
184.15 
191.30 
192.07 
239.15 
214.  81 
194.78 

91.95 
189.77 
213. 74 


$2.60 
4.42 
4.50 
4.59 
4.73 
5.33 
5.10 
5.21 
4.85 
4.95 
4.46 
4.43 
4.50 
4.62 
3.90 
3.94 
4.10 
4.33 
4.26 
4.53 
4.18 
4.05 

4.74 
4.18 
4.24 


$22.59 
32.54 
15.82 
10.24 
9.16 
11.48 
11.01 
11.49 
10.24 
10.69 
10.72 
9.57 
10.36 
9.92 
17.93 
17.19 
19.47 
19.28 
19.72 
17.48 
15.18 
15.19 

10.38 
19.11 
15.89 


compared  with  the  Italkn  wiges  °'^''*^'''^^^  considerable  when 
nortLt^rpZlSr"?  ^^^  r^^  '^^  ^'-  '-*  *^We  does 

liability.  Ti.:f^c^c^^Xht^TzVrr'''''''''''  '^^  ^-"p'^---' 

liability  payments  ^ndVeZpJZnth^'  ''""""*  "^  employe,.' 
the  entire  compensation  paCenS  T^!  /T"'""''  constituted  of 
year  are  naturally  very  gfeTbut  ih  A^'^t^at'ons  from  year  to 

payments  since  1898   wh!n  th.  7"^  '^'''^^^  ^^'^^  i'^  ^^<^i^ 

waspassed,isveryslSffi;ant  *t  ^r^^T  T'^^'^*  '"^"'^^''^  1*^ 
the  vast  maioritv  oTn^i^      •       P/^*"^  ^^"^  *^«  **ble  on  page  1770 

class-thaTk,Thll?uSh  ""'"^  '"  °'  *^«  combined  "^^ollective 
according  to  the  Kch  i^^^^^^^^^  of  employee'  liability-bu 

^ault  only,  and  is  ^^J^^^Z:^^:^:^^^  ^^^ 


1774 


KEPOKT   OF   THE   COMMISSIONER   OF   LABOR. 


PROPORTION  BETWEEN  EMPLOYERS'  LIABILITY  PAYMENTS  AND  TOTAL  AMOUNT 

OF  INDEMNITY  PAID,  1884  TO  1906. 

[Source:  Attl  della  Cassa  Nazionale  d'  Assicurazione  per  gl'  InfortunJ  degli  Operai  sul  Lavoro.    Verbale 
della  Seduta  del  22  dicembre  1908  del  Consiglio  Superiore  e  Bilancio  Coiisuntivo  del  1907.    M  ilano,  1909.1 


Year. 


1884.... 
1885..-. 
1886.... 
1887.... 
1888.... 
1889.... 
1890.... 
1891.... 
1892.... 
1893.... 
1894. . . . 
1895.... 
1896..., 


Total 
indemnity 
paid  (in- 
cluding 
liability 
payments) , 


$1,581 
38,550 
25,270 
37, 194 
45,351 
64,040 
73, 136 
71,719 
79,874 
88,749 
100,623 
102,166 


Employers'  liability 

payments. 

Per  cent 

Amount. 

of  total 
indem- 

nity. 

" *$i5*899" 

4i.'24 

1,139 

4.51 

700 

L88 

546 

1.20 

846 

1.32 

7,947 

10.87 

2,528 

3.52 

4,945 

6.19 

3,284 

3.70 

6,464 

6.42 

3,905 

3.82 

Year. 


1897. 
1898. 
1899. 
1900. 
1901. 
1902. 
1903. 
1904. 
1905. 
1906. 


Total 
Indemnity 
paid  (in- 
cluding 
liability 
payments), 


1884  to  1898. 
1899  to  1906. 


$134,049 
128.521 
207,473 
271,881 
444,341 
656,432 
901,116 
930, 438 
824,589 
991,407 

990,823 
5,227,677 


Employes'  liability 
payments. 


Amount. 


$3,504 
4,(h;2 
1,701 
1,58K 
2,953 

11,427 

8,481 

4,132 

1.71S 

101 

55,7m 
32,361 


Per  cent 
of  total 
indem- 
nity. 


2.61 
3.16 
.85 
.58 
.66 
L74 
.94 
.47 
.21 
.01 

5.63 
.62 


The  general  results  of  the  operation  of  this  institution  in  the 
separate  industrial  groups  to  which  the  insured  belong  are  shown  in 
the  following  three  tables  for  a  period  of  four  years,  1899  to  1902. 
By  thus  combining  the  data  for  a  number  of  years  lai^er  numbers  are 
obtained  and  the  averages  and  proportions  are  more  trustworthy 
than  for  a  single  year.  The  data  for  individual  insurance  are  not 
included  in  these  tables. 

One  of  the  most  interesting  things  brought  out  by  the  following 
table  is  the  proportion  between  the  premiums  and  the  wage  expense 
in  the  various  industrial  branches.  The  lowest  relative  cost  is  found 
in  the  textile  industry,  only  0.47  of  1  per  cent  of  the  wage  expense 
being  paid  as  premiums.  The  highest,  nearly  3  per  cent,  is  quite 
unexpectedly  found  in  agriculture.  This  is  easily  explained,  how- 
ever, by  the  fact  that  only  persons  tending  agricultural  macliinery 
are  subject  by  the  law  to  compulsory  insurance.  With  this  excep- 
tion, mining  shows  the  highest  percentage,  followed  by  construction. 
Among  the  industries  showing  a  low  relative  cost  are  found  clothing, 
paper  and  printing,  brick,  earthen  and  glass  ware,  and  even  transpor- 
tation (which  does  not  include  many  railroad  employees,  as  these  are 
protected  mainly  by  the  railroad  mutual  funds). 

The  proportion  between  indemnity  paid  and  premiums  collected 
shows  very  interesting  fluctuations.  It  demonstrates  that  the  actual 
cost  of  accidents  often  varies  considerably  from  the  expected  cost. 
Thus  in  the  brick  and  china  manufacturing  industry  and  in  mining 
the  actual  cost  was  very  much  higher  than  the  expected  cost  as  rep- 
resented by  the  premium  charged,  while  in  the  paper  and  printing 
industry  it  was  only  about  two-fifths  of  what  was  exj)ectedj  in 
clothing  and  in  textiles  it  was  about  seven-tenths. 


CHAPTEK  TII.-WOEKMEN's  IKSUEANCE  IK   ITALY.  1775 

BY  INDUSTRIES,  1899  TO  L  NATIONAL  ACCIDENT  INSURANCE  INSTITUTION^ 


ISourc:  B„.,e..to„  dl  Noti*  su.  C,«Ut„  ,  ™„a  P«v.den«,  „.,,  ,^.  j 


Indemnity  insured  for— 


Death  and 
pennanent 
disability. 


Premiums 
received. 


Agriculture 

Brick,  earthen  and  elass 
ware 

Building  and 'ooiistfuol 
tion 

Chemicals,  etc'.'.'.".' .".".■ " " ' 

Clothing 

Electricity '.'. 

Food  oil,  andtobaocoll.' 

Machmery 

Metal  working 


'$1,131,768 

2,411,757 

28, 123, 573 
7,139,843 
206,600 
1,346,248 
3,301,663 
7,021,850 


Temporary 
disability 


Mining.:::—::::::;-  d'Ul'm 
S?p?^'.p™tii»g.etc.:::::  Iidlim 


Textiles 

Transporta'tionV.V." 
Woodworking. 
Other  industries".* 


8,004,213 

17,089,850 

1,877,770 

2,493,625 


Total. 


S5, 093, 532 
12,058,783 

140,561,472 

35, 688, 165 
1,032.999 
6,731,239 
16,483,644 
35,084,587 
26,327,880 
76,223,010 
12.750,410 
40,017.484 
84. 198, 270 
9,380,782 
5.494,412 


Amoimt. 


Indemnity  paid. 


103,236,290  507,126,669 


$553,306 

1,211,775 

14,146,474 
3, 617, 479 
103,300 
701.187 
1,705,348 
3,569.121 
2,707,654 
8,165,581 
1,356,724 
4,225,617 
8,507.301 
990,708 
848,242 


*32,508     2.87 
17,651       .73 


Amount. 


Per 

cent 

of 

wages 

paid. 


Per 

cent 

ofpre- 

miunu. 


552,851 
88,168 
1,042 
18, 167 
37,583 
94,750 
58,888 

359,656 
15,671 
37,702 

166,009 
26,816 
13,333 


128,077 
23,631 

512. 7(3 
67.832 
718 
15.822 
30,719 
89,321 
59.303 

444.577 

6,559 

27, 1,30 

179.050 

22,572 

8,278 


2.48 
.98 


86.37 
133.88 


52,409,817   1,520,795  j  1.47  :i751^:i^ 


1.82 

92.75 

.95 

76.93 

.35 

68.91 

1.18 

87.09 

.93 

81.74 

1.27 

94.27 

1.12 

100.70 

2.91 

123.61 

.26 

41.85 

.34 

71.96 

1.05 

107.86 

1.20 

84.17 

.33 

62.09 

1.47 


99.71 


'^^;;;^^^^o^^^no^i^  3UI  c«mto  e  su>U  Previdea^,  M.,,  .907., 


1776 


REPOKT  OP  THE   COMMISSIONER  OF  LABOR. 


The  following  table  shows,  by  industries  and  results  of  accidents, 
the  indemnity  paid  during  the  four-year  period,  1899  to  1902,  to 
persons  insured  under  the  collective  accident  insurance  of  the 
National  Accident  Insurance  Institution : 

TOTAL  AND  AVERAGE  PER  CASE  OF  INDEMNITY  PAID  UNDER  THE  COLLECTrV^E 
ACCIDENT  INSURANCE  OF  THE  NATIONAL  ACCIDENT  INSURANCE  INSTITUTION, 
BY  INDUSTRIES  AND  RESULT  OF  INJURY,  1899  TO  1902. 

[Source:  Bollettlno  dl  Notlzle  sul  Credito  e  svdla  Prevldenza,  May,  1907.] 


Indemnity  paid  for  accidents  resulting  in— 


Industry. 


Death. 


Amount. 


Agriculture 

Brick,  earthen  and  glass  ware. 
Building  and  construction . . . 

Chemicals,  etc 

Clothing 

Electricity 

Food,  oil,  and  tobacco 

Machinery 

Metal  working 

Mining 

Paper,  printing,  etc 

Textiles 

Transportation 

Woodworking 

Other  industries 


S6,152 

1,737 

204,534 

26,839 


Total. 


6,426 

5,758 

10,426 

12,975 

199,682 

72 

3,408 

71,388 

5,042 

4,318 


Aver- 
age per 
case. 


^0 
579 
607 
610 


Permanent  disa- 
blUty. 


Amoimt. 


558,757 


918 
676 
613 
865 
605 
72 
341 
585 
504 
480 


601 


$16,915 

17,021 

212,602 

23,532 

627 

6,690 

18,766 

52,913 

29,015 

154,273 

4,165 

17,036 

69,320 

11,706 

1,989 


Aver- 
age per 
case. 


636,579 


J277 
200 
195 
208 
157 
197 
182 
169 
148 
198 
83 
122 
186 
108 
199 


TemT)orary  dissi- 
IbUity. 


Amount. 


184 


$5,010 

4,873 

95,627 

17,461 

91 

2,697 

6,195 

25,982 

17,312 

90,622 

2,323 

6,686 

38,342 

5,824 

1,971 


Aver- 
age per 
case. 


Ail  accidents. 


Amount. 


321,016 


$6.18 

a  21 

4.35 
4  07 
4.14 
3.90 
4.02 
3.27 
a  39 
4.90 
a  69 
2.96 
3.69 
a  76 
a  77 


4.13 


$28,077 
23,631 

512,763 
67,832 
718 
15,822 
30.719 
89.321 
59.303 

444.577 

6.559 

27.130 

179.050 

22.572 

8.278 


Aver- 
age per 
case. 


1,616,362 


$31.65 
14.72 
21.91 
15.24 
27.62 
2L59 
1&58 
ia79 
11.14 
22.67 
9.63 
11.28 
1&45 
ia56 
15.27 


18.  4A 


FINANCIAL    STATISTICS. 

In  the  details  of  the  financial  organization  a  radical  change  was 
affected  by  the  decree  of  November  22,  1888.  The  original  agree- 
ments provided  that  the  premiums  should  be  calculated  without 
taking  into  consideration  the  cost  of  administration,  and  that  these 
be  distributed  among  the  10  banks  pro  rata,  proportionately  to  their 
contributions  to  the  guarantee  fund.  After  10  years  of  experience 
the  banks  might  be  permitted  to  substitute  a  definite  annual  pay- 
ment instead  of  these  pro  rata  payments,  or  a  lump-sum  payment  of 
the  capitalized  value  of  such  annual  payments.  Half  of  the  surplus 
from  the  operations  of  the  insurance  institution  was  to  be  used  in 
payment  of  the  guarantee  fund  in  pro  rata  sums;  and  as  long  as  the 
entire  guarantee  fund  was  not  repaid,  the  interest  on  the  outstanding 
amounts  was  to  be  returned  to  the  banks.  After  the  entire  guarantee 
fund  is  repaid  from  the  surplus  a  part,  but  not  over  one-half,  of  the 
additional  surplus  determined  by  the  superior  council  might  be  used 
for  accumulating  a  reserve  fund  and  part  for  the  benefits  of  the 

insured. 

This  system  was  abolished  by  the  decree  of  November  22,  1888. 
According  to  the  system  then  established  the  guarantee  fund  was 


CHAPTER  VII.— workmen's  INSURANCE  IN  ITALY.  1777 

turned  into  the  treasuiy  of  the  insurance  institution  which  was  to 
make  use  of  this  fund  and  the  interest  from  it  as  of  all  other  reTSu^ 
On  the  other  hand  the  insurance  institution  was  requked  to  meet 
all  expenses  of  admmistration.  The  prohibition  to  load  thLe 
expenses  upon  the  premium  rate  was  abrogated,  and  the  ?o  banl 
which  signed  the  agreement  were  freed  from  anv  further  nhLf 
to  contribute  to  the  cost  of  administration.  Thelsur^^^^^^^^^ 
was  required  to  build  up  a  reserve  fimH  ^^^h  "'r^^^^^^^^/^s^^i^^ution 

»0  000  li„  <.96,500,  .hen  «.,  .„%,„.,.  Tt^.lZ^fZ'^ 

As  is  seen  from  the  statement  of  resourrp.,  «r.^   r  ki-.- 
resources   had   grown   to   81,313,973   171905      rt  two   n     '  "     t 
Items  are  the  reserve  for  comDensatinn  nf  .r  i  Pnncipal 

the  year  and  the  original  ^ZZ^f^Jn^oZtllml^^^^^ 

has  been  fircontinuour  '""'  ''"'^"'"'  """^  *^^^'  ^^''^'^ 


Year. 


Resources 
on  Decem- 
ber 31. 


Liabilities  on  December  31. 


Guaran- 
tee fund. 


Surplus. 


1889... 

1891... 

1892... 

1893... 

1894... 

1899... 

1900... 

1901... 

1902... 

1903... 

1904... 

1905... 

1906... 

1907... 


$344,895 
370, 198 
387,971 
407, 623 
425,084 
566,171 
609,589 
682,439 
808,464 
970, 109 
1,137,977 
1,313,973 
1,474,675 
1,859,422 


«289,500 
289,500 
289,500 
289,500 
289,500 
289,500 
289,500 
289,500 
289,500 
279,850 
271,586 
279,850 
279,850 
279,850 


$9,723 
13,510 
19,300 
19,300 
19,300 
29,837 
49, 137 
54,040 
54,040 
54,040 


Reserve 
for  com- 
pensation 
of  cases 
pending. 


Reserve 
for  fluc- 
tuation 
of  value 
of  secu- 
rities. 


$17,894 
24,340 
28,005 
25,655 
34,289 
105,412 
124,400 
195,323 
345,864 
468,888 
592,991 
742,151 
884,483 
1,129,426 


$13,510 
13,510 
27,406 
27,406 
27,406 
27,406 
27,406 
27,406 
47,618 
35,931 
40,644 
23,526 
26,566 


Extraor- 
dinary 
reserve. 


$5,790 
19,300 
28,950 
36,284 
44,390 
57,900 
54,108 
68,578 
43,819 


other 
reserves 

and 
funds. 


77,200 
38,093 
48,250 
38,109 


$1,930 
3,860 
3,860 
3,860 
3,860 
14,128 
27,638 
31,498 
19,682 
17,370 
20,021 
21,962 
27,987 
37,381 


Bills 
payable. 


Surplus 
from 
opera- 
tions of 
the  year. 


«Atti  della  Cassa  Nazionale 


I'  Assicurazione  per  gl'  Infortuni  degli  Operai 


$17,557 
3,387 
3,684 
4,051 
4,783 
7,914 
10,497 
16,094 
28,153 
102, 343 
128,270 
171,860 
210, 579 
262,237 


$2,501 
2,791 
1,162 
1,567 
1,556 
34,074 
26,903 


11,978 
19,413 


85,853 


sul  Lavoro,  1904-1909. 


1778 


EEPORT  OF   THE   COMMISSIONER  OF  LABOR. 


In  the  following  tables  showing  the  receipts  of  the  institution 
it  was  impossible  to  present  comparable  data  for  the  entire  period 
because  of  a  radical  change  in  -the  form  of  presentation  of  the 
accounts.  The  first  table  represents  a  purely  formal  recei])t  account. 
The  actual  income  of  the  institution  consists  mainly  of  two  items — 
the  premiums  received  and  the  interest  on  investments.  All  other 
revenues  were  comparatively  insignificant,  except  for  1902  and  1903, 
when  they  included  transfers  from  the  reserves  for  the  purpose  of 
covering  the  deficits  from  operation  during  these  two  years. 

In  the  table  of  receipts  for  1904  to  1907  the  form  of  tlie  account 
has  been  changed,  and  the  total  represents  the  actual  revenue  of  the 
institution.  In  1907  the  premiums  were  about  95  per  cent  of  the 
total  receipts. 

RECEIPTS  OF  THE  NATIONAL  ACCIDENT  INSURANCE  INSTITUTION  FOR  VARIOUS 

YEARS,  1889  TO   1903. 

[Source:  Bollettino  di  Notizie  sul  Credito  e  suUa  Previdenza.    Data  for  1890  and  1895  to  1898  not  obtainable.] 


Year. 

Reserve 
for  com- 
pensation 
of  cases 
pending. 

Premiums. 

Interest. 

All  other. 

Loss  from 
operations. 

Total. 

1889 

$14,758 

21,895 

24,340 

28,006 

25,655 

55,570 

105, 412 

124,400 

195, 323 

345, 864 

$58,220 

87,205 

88,069 

95,621 

100,244 

265,569 

298,610 

384,011 

583,958 

822,341 

$12,478 
17, 169 
18,007 
18,714 
19,436 
22,250 
25,270 
26,973 
28,340 
29,376 

$8,777 
2,577 
2,883 
1,298 
1,651 
1,265 
7,073 
7,478 
054,994 
6  100,361 

$94,233 
128,846 
133,299 
143,639 
146,986 
344,654 
436,365 
654,679 
891   071 

1801 

1892 

1893 

1894 

1899 

1900 

1901 

$11,817 
28,4S6 
12,068 

1902 

1903 

1,310,000 

o  Including  $53,060  taken  from  the  reserves  for  payment  of  claims. 
b  Including  $67,027  taken  from  the  reserves  for  payment  of  claims. 

RECEIPTS  OF  THE  NATIONAL  ACCIDENT  INSURANCE  INSTITUTION.  1904  TO  1907. 

[Source:  Atti  della  Cassa  Nazionale  d'  Assicurazione  per  gl'  Infortuni  degli  Operai  sul  Lavoro:  Bilancio 

Consuntivo  del  1904,  1905,  1906,  and  1907.] 


Year. 

Premiums. 

Interest. 

Office  fees. 

All  other. 

Total. 

1904 

$1,219,249 
1,121,709 
1,244,289 
1,586,953 

$34. 935 
39, 737 

48.  .W8 
50,088 

$26,127 
22,631 
25,596 
26,839 

$502 
296 
4.<3 

1,  354 

91,280,813 
1,184,373 
1,318,716 
1,665,234 

1905 

1906 

1907 

On  account  of  a  change  in  the  form  of  keeping  the  accounts  the 
expenditures  are  also  shown  in  two  tables.  For  the  years  1889  to  1^03 
the  first  table  shows  the  actual  indemnity  paid  during  the  year,  and  the 
reserve  computed  at  the  end  of  the  year  to  cover  outstanding  claims 
as  an  item  of  expenditure.  The  gains  from  operation  are  also  shown 
as  an  expense  item  to  balance  with  the  revenue  account.  For  the 
years  1904  to  1907  an  effort  is  made  to  account  for  the  actual  expenses 
of  the  year,  the  indemnity  for  claims  accrued  duriag  the  year  being 


CHAPTEB  Vn.-W0EKMBN'S  INSURANCE  IN  ITALY.  1779 

shown  rather  than  the  indenmitv  actuallv  n«;^      v 
comparisons  may  be  made  for  the  TnlTLS'   v"r  ""T  '""^ 

the  tendency  to  ^aud.e nt  pilt  ,7eLlfdy  !^^^^^^^^ 


Year. 


Indem- 
nity 
paid. 


Reserve 
at  end  of 
the  year 
for  com- 
pensation 
of  cases 
pending 


1889.. 
1891.. 
1892.. 
1893.. 
1894.. 
1899.. 
1900.. 
1901.. 
1902.. 
1903.. 


Ex- 
pen- 
ditures 
for  ad- 
minis- 
tration. 


$44,366 

65,619 

70,652 

76,982 

80,089 

151,692 

240, 713 

307, 621 

472,332 

701,459 


$17,894 

24,340 

28,005 

25,655 

34,289 

105, 412 

124,400 

195, 323 

345,864 

468,888 


$9,820 
13,072 
14,044 
14,859 
16,557 
25, 778 
29,741 
34,937 
45, 932 
60,399 


Medi- 
cal ex- 
penses. 


$2,786 

1,291 

846 

785 

727 

2,277 

3,625 

4,414 

8,359 

13,047 


Legal 
ex- 
penses. 


Ex- 
penses 

for 
inspec- 
tion. 


$373 

36 

755 

474 

1,826 

1,396 

2,273 

2,570 

5,425 

18, 573 


Taxes 
on  in- 
vest- 
ments. 


$2,363 
2,846 
4,034 
6,298 
7,953 


$1,647 
2,266 
2,377 
2,470 
3,234 
4,299 
4,893 
5,244 
5,441 
5,423 


Trans- 
ferred 
to  re- 
serves. 


All 
other 
ex- 
penses. 


$13,688 
19,033 
15,440 
21,230 
8,106 
16,950 


.1, 


30,838 


157 

398 

18 

618 

602 

211 

971 

536 

1,421 

5,350 


Gain 
from 
opera- 
tions. 


$2,501 
2,791 
1,162 
1,566 
1,556 
34,074 
26,903 


Total. 


I 


$94,232 
128,846 
133,299 
143,639 
146,986 
344,461 
436,365 
554,679 
891,072 
1,311,930 


i^:zrc^:::z'r  ^"™  -'^-^^^^^^ — -■  -  -  - 


Year. 


1904. 
1905. 
1906. 
1907. 


Indemnity 
accrued. 


$924,570 

985,383 

1,119,064 

1,335,393 


Expend! 
tares  for 
adminis- 
tration. 


Medical 
expenses 


Legal 
expenses. 


$88,465 

92,790 

111,300 

119,586 


$14, 567 
18,437 
25,280 
36,555 


-■ 


Cost  of 
determi- 
nation of 
injuries. 


Expenses 
of  inspec- 
tion. 


$30,558 
53,665 
56,014 
61,066 


$3,479 
4,577 
6,523 
7,343 


Taxes  on 
invest- 
ments. 


All  other 
expenses. 


$8,971 
12,991 
15,025 
19,050 


$5,423 
5,423 
5,423 
2,125 


$2,893 
4,148 
9,431 

17,005 


Total. 


tl,  078, 926 
1,177.414 
1,348,060 
1, 598,  723 


not  furnish  a  satisfaS  bit  Z  Z""'  ^^^^^P^^S  accounts,  do 
results  of  the  insurance  SsSion      7  ^°»«l'^«"»'»  ^  *«  ^^e  financial 

report  of  this  institution  contains  a  labKr^'^*  ^'l'  '''''  *"''"^' 
premiums  received  with  f^n!  ?i  wmpanng  the  amount  of 

Bame  year  and^ropX  cWel'    fP^f^'^^^^  --"?  during  the 

-eluding   the   c'omSa^tTaya  J:  t  TS  '7  *'^*  ''''' 
durmg  the  year  anrl  th^  „      i'aj'aoie   ror   all   accidents   occurring 

year.     As,  hCever    t£  to^"  ''^/t^--t'-ation  for  the  sam! 
Botdefini^lyknl^^J;  *"**„',  7""'^*  ""^  compensation  payable  is 

changes,  the'annlTstteTtt  ItS  J^^r"'^"*  *°  ^'*^^^^ 
tions.     In  the  foUowin..  f«hl»  tv.  ^       ,     subsequent  modifica- 


1780 


REPORT  OP  THE   COMMISSIONER  OF  LABOR. 


as  far  as  available.  It  was  impossible  to  obtain  such  data  for  1885 
to  1888,  1890,  and  1895  to  1898. 

Until  1900  the  premiums  not  only  covered  the  compensation  paid, 
but  left  a  surplus  for  meeting  the  other  expenditures,  and  even  per- 
mitted the  formation  of  reserves.  But  taken  together  the  compen- 
sation and  the  expenditures  of  administration  very  often  exceeded 
the  amount  of  premiums  received,  so  tliat  evidently  the  low  pre- 
miums were  possible  only  because  of  the  interest  from  the  guarantee 
fund  and  the  accumulated  reserves.  The  proportion  between  com- 
pensation and  premiums  became  quite  alarming  in  1901,  when  the 
compensation  exceeded  the  premiums  by  15.71  per  cent.  Adding 
the  cost  of  administration,  the  excess  of  total  expenditures  over  pre- 
miums reached  27.68  per  cent  in  1901,  23.71  per  cent  in  1902,  and 
21.74  per  cent  in  1903.  Thus  the  premiums  were  far  too  low  to  cover 
the  cost  of  insurance.  The  general  revision  of  the  rates  remedied  the 
situation,  while  the  formation  of  the  obligatory  mutual  association 
for  the  Sicilian  sulphur  mines  reduced  the  amount  of  compensation 
paid  very  materially. 

The  favorable  proportion  between  the  compensation  paid  and  the 
premiums,  and  the  seemingly  large  surplus  for  the  last  few  years  are 
deceptive  because  due  to  delay  only,  many  claims  for  beneiits  remaining 
unsettled.  For  these  years,  therefore,  the  amount  of  compensation 
payable  is  nearer  to  the  truth  than  the  amount  of  compensation  paid 
out  for  each  year  up  to  September,  1908.  For  1905  the  amount  paid 
out  as  compensation  was  $824,589,  while  the  amount  payable  was 
computed  at  the  end  of  the  year  at  $985,383,  and  it  is  reasonable  to 
assume  that  for  1905,  as  for  all  the  preceding  years,  the  amount 
eventually  paid  would  be  higher  than  the  computed  amount  due. 
For  1906  the  amount  paid  out  up  to  September  30, 1908,  was  $991,407, 
while  the  computed  amount  payable  was  $1,119,064.  Taking  these 
amounts,  the  proportion  of  the  compensation  to  the  premiums  for 
1905  is  87.85  per  cent,  and  not  73.51  per  cent,  and  adding  the  expense 
account,  104.48  per  cent  and  not  90.1  per  cent.  For  1906  the  pro- 
portion is  89.94  per  cent  instead  of  79.68  per  cent  for  compensation 
alone,  and  107.90  per  cent  instead  of  97.65  per  cent  for  compensation 
and  expenses  together.  For  1907,  the  last  year  reported,  the  amount 
actually  paid  was  comparatively  small;  the  amount  payable  was 
$1,335,393,  or  84.15  per  cent  of  the  premiums,  while  the  expense 
account  was  $263,330,  or  16.59  per  ceut  of  the  premiums.  The  total 
cost  was  therefore  100.74  per  cent  of  the  premiums. 


CH.4PTER  VII.— WORKMEN'S  INSURANCE  IN  ITALY.  1781 

COMPARISON  BETWEEN  PREMTTTU*?    rnMT>Ti'XTo  .  mx^. 
1908,  AND    TOTAL    EXPENDWURES    OP    THE    v^TrnM^f  "''™  SEPTEMBER  30. 
INSTITUTION,  FOR  VARIOUS  YEARS  f889?o  IW  OCCIDENT    INSURANCE 

1907.    Data  for  1890  and  1895  to  189llot  o'bSiSbl^r  °  Conrantivo  del  1904,  fw,TJS?SJd 


Year. 


Premiums 
received. 


1889.. 

1891.. 

1892.. 

1893.. 

1894.. 

1899.. 

1900.. 

1901.. 

1902.. 

1903.. 

1904.. 

1905.. 

1906.. 


$58,220 
87,205 
88,069 
95,621 
100,244 
265,569 
298,610 
384,011 
583,958 
822,341 
1,219,249 
1,121,709 
1,244,289 


Compen- 
sation 

paid  for 

each  year 
(up  to 

Sept.  30, 
1908). 


145,351 

73, 136 

71, 719 

79,874 

88,749 

207. 473 

271,881 

444,341 

656,432 

901,116 

930, 438 

824, 589 

991,407 


General 
ex- 
penses, (a) 


Total  com- 
pensation 
and  ex- 
penses. 


Exoefis  of— 


Pre- 
miums. 


S13.244 
14,399 
15,656 
16,679 
19,381 
31.814 
38,485 
45,974 
66,013 
99,971 
148,667 
186, 586 
223,572 


S58,595 

87,535 

87,375 

96,553 

108, 130 

239.287 

310,366 

490,315 

722. 445 

1,001,087 

1,079,105 

1.011,175 

1,214,979 


Per  cent  of  premiums. 


Total 
pay- 
ments. 


Compen- 
sation. 


S694 


26,282 


•375 
330 


932 
7.886 


140,144 

110,534 

29,310 


11,756 
106.304 
138, 487 
178. 746 


77.90 
83.87 
81.43 
83.53 
88.53 
78.12 
91.05 
115.  71 
112.41 
109.  .58 
76.31 
73.51 
79.68 


Expenses. 


22.75 

16.51 

17.78 

17.44 

19.33 

11.98 

12.89 

11.97 

11.30 

12.16 

12.19 

16.63 

17.97 


Total 
payments. 


100.65 
100.38 

99.21 
100.97 
107.86 

90.10 
103.94 
127.68 
123.71 
121.  74 

88.50 

90.14 
97. 6S 


mmor 


disbursements,  not  considered 


exli'n'ii^ofadSysSon^  investments,  and  in  some  years  other 


The  per  capita  amount  of  premium  anH  «!«..  r.f 
been  computed  and  are  ^hnwnT  T  Tn  ^^  <^onipensation  have 

the  entire  life  of  the  Tst  tuZ      /^^/^"^^^^^^  ^-^le.     By  dividing 
the  accident  insLlVe^    ^  ^^^^^^^  ^  "T^'-T'  f^^^"^  '^ 

and  rates  of  1898  (1899  t^  l^m<^  I  a  11'      !  ^^^^  "^^^^  *^^  ^^^ 
1903  (1904  to  1906)-ia  v^^^^^  ''''^''  '^'  amendments  of 

average  amount  of  LorpZ      t.""^  '^''*'^^'  ^  ^^^^^^^-     The 
the  fiSt  PeHod^lS^d^™,^^^^^^^^^^^^  llZ  «/  -ts  <iuHng 

The  average  amount  of  indeLVtrrJd  has  nnf  v      T^  '^'  ^"''• 
from  these  averages  excenf  ih^i   ^f    i  ""^  ^^™^  ^^^  ^"ch 

considerably  smalS  becTusfr^^^         i  '  ^""^  '^^'^^^"^  ^^"^^  ^'  ^^s 
had  not  been  s^tied:  ^^  '^'"^  "^^^  ^"^^^  '^^^  ^^^1. 


1782 


REPORT   OF   THE   COMMISSIONER  OF  LABOR. 


PROPORTION  BETWEEN  PREMIUMS  AND  INDEMNITY  PAID  OUT  BY  THE  NATIONAL 

ACCIDENT  INSURANCE  INSTITUTION,  1884  TO  1906. 

[Source:  Atti  della  Cassa  Nazionale  d'Assicurazione     Bilancio  Consuntivo  del  1907.] 


Year. 


1884. 
1885. 
1886. 
1887. 
1888. 
1889. 
1890. 
1891. 
1892. 
1893. 
1894. 
1895. 
1896. 
1897. 
1898. 
1899. 
1900. 
1901. 
1902. 
1903. 
1904. 
1905. 
1906. 


1884  to  1898. 
1899  to  1903. 
1904  to  1906. 


Average 

number  of 

persons 

insured 

throughout 

the  year. 


67 

6,556 

24,440 

36,992 

58,023 

77,876 

94,507 

103,238 

109,253 

118, 133 

125, 119 

138,192 

146,696 

158,214 

160, 772 

178,439 

202,355 

245, 501 

340,256 

421,363 

370, 198 

373,570 

406,183 

1,358.078 
1.387.914 
1,149,951 


Amount    of   premi- 
ums received. 


Total. 


$25 

3,327 

17,824 

28,123 

44,881 

58,220 

75,286 

87,205 

88,069 

95,621 

100,244 

115,986 

128, 167 

144, 178 

148, 183 

265,569 

298,610 

384,011 

583,958 

822,341 

1,219,249 

1,121,709 

1,244,289 

1, 135, 339 
2,354,489 
3,585,247 


Average 

person 
insured. 


$0.37 

.51 

.73 

.76 

.77 

.75 

.80 

.84 

.81 

.81 

.80 

.84 

.87 

.91 

.92 

1.49 

1.48 

1.56 

1.72 

1.95 

3.29 

3.00 

3.06 

.84 
1.70 
3.12 


Amount  of  indem- 
nity paid. (o) 


Total. 


Average 

per 

person 

insured. 


$1,561 

38,560 

25,270 

37,194 

45,361 

64,040 

73,136 

71,719 

79,874 

88,749 

100, 623 

102,166 

134. 049 

128,521 

207,473 

271,881 

444,341 

656, 432 

901,116 

930, 4.J8 

824,5>(9 

991, 407 

990,823 
2,481,243 
2,746,434 


10.24 

1.58 

.68 

.64 

.58 

.68 

.71 

.66 

.68 

.71 

.73 

.70 

.85 

.80 

1.16 

1.34 

1.81 

1.93 

2. 14 

2.51 

2.21 

2.44 

.73 
1.79 
2.39 


eachylar"™^'^*^^'^^^^^^^^*''"^®  all  payments  made  up  to  Sept.  30,  1908,  for  accidents  occurring  in 

THE    COMPULSOBT    MUTUAL    ACCIDENT    INSURANCE    ASSOCIATION    FOB 

SICILIAN  SULPHUR  MINES. 

The  parliamentary  commission  whicli  studied  the  bill  of  1903  in- 
tended to  hmit  its  provisions  concerning  compulsory  employers'  mutual 
accident  insurance  associations  to  the  industry  of  sulphur  mining  in 
Sicily,  but  the  law  as  passed  did  not  contain  the  specification,  because 
of  the  argument  that  conditions  similar  to  those  in  that  industry 
might  develop  in  other  industries  also.  As  a  matter  of  fact  the  sul- 
phur mining  industry  of  Sicily  was  the  first  to  be  organized  under  the 
law  on  July  11,  1904. 

The  difficulties  arising  out  of  the  apphcation  of  the  law  of  1904  to' 
the  sulphur  mines  of  Sicily  were  claimed  to  be  inherent  in  the  pecuhar 
organization  of  that  industry.  Small  undertakings  predominate. 
Wlien  the  compulsory  association  was  formed  it  embraced  about  900 
employers  and  nearly  40,000  employees.  Subcontracting  is  very 
common.  Often  the  proprietor  divides  his  sulphur  beds  among 
many  contractors,  and  even  one  sulphur  mine  may  be  exploited  by 
several  contractors,  each  having  an  independent  shaft  of  entry.  In 
addition,  the  usual  method  of  payment  is  in  piece  wages.  These 
factors  made  the  differentiation  of  the  employer  and  employee  and  the 


CHAPTER  Vn.— workmen's   INSURANCE  IN   ITALY.  1783 

determination  of  the  earnings  and  other  details  of  the  application  of 
the  law  very  difficult.  The  operators  complained  of  tKxcessive 
charges  imposed  by  the  law.  The  national  insurance  insSL 
was  forced  to  put  these  mines  in  one  of  the  high  ^ent^^^^^^^ 

^tt:f  ^Thr^^^^^^^  ^^™^  ^'  premiums'for  uLZluT^ 
anions.  lUe  pnvate  insurance  companies  had  comnI«in»^  ^f  tu 
frequency  of  frauds  on  the  part  of  thelaU  empioye^inS  af te  ft" 
years  of  unsatisfactory  experience  left  the  entire  fidd  to  the  !f  ^ 
insurance  institution  which  by  its  constituSn  f  p^^ed  Sot 
refusing  any  risks.  Protracted  lawsuits  and  delays  in  the  patSenTS 
mdemnities  were  frequent  and  caused  hardsliio  to  h«  in;  ^  . 
men,  and  the  national  insurance  instituUon  in  whit  27^t  Tht 

SoTwH  "'"'"'*'  '"'^''''^  "  ^'^^^y  deficit  during  Lyel  1899  to 
1903   which  was  especially  large  in  the  Palermo  branch   due  to  !'- 

oc^al  IZafins^uf^^  circumstances  emphasized  the  neces  itv  o  a 
bettToltrilToSr  Icco'rrT*'''  ""T'  "^^'^  ^^'^  --kj 
feehng  of  econo'S 'and  ^ZsZlZT^^l^V'"'^''  ^^V^^ 
tary  association  futUe  ^  ^°P^  '*''"  *  ^<>l"a- 

commerce  and  of  art^  in^^    •  .       ■'      '*^^°*^  °*  ^'^^  <"^ambers  of 

July  11,  1904,  under  the  name  of  Ihp  S;I  I       nur^  ^"^"^  ^^^^^  ""^ 
for  Mutual  Insurance  IJITJ  ^  f'\^}''^^'^  Obhgatory  Association 

Aiding  in,..risi:!zi  ii^zt^'^zz  2  si^-r-' 

ch?mbt  TtL'?LlwrS'°?^^  ^^r^'  '-^  ^^  ^y  ^o^^ 

the  operation  of  th  LTas  a^t" to Irel'T^  modifications  in 
industry  and  to  thp  FmL       *PP"®d  *«  ^^^  Sicihan  sulphur-mining 

elation.^  These  modffiS'''  "^rj"''"'^  ''"*"**  ^-^^^-^e  Ass^ 
among  the  inS^emXyeSco^  Tc  "^*'""^  "^  ^^*"^"t-g 
meas         to  be  taken  to  /ollertlifn^r/fuTdr  ""'^  ''''  ^"  *^^ 

Ma;  T^2f::£tff:^  i:  ''-''r'-  *>*  ^«p-^-  - 

pointed  out    hat  the  method  Thw-k',"'*^"'^'^'  ^""^  ^'""'"«'-«« 


1 


1784 


REPORT   OF   THE   COMMISSIONER  OF  LABOR. 


vidual  employers  worked  injustice,  because  of  frequent  deceptions  in 
the  statements  of  some  of  the  employers.  A  comparison  of  the  data 
of  the  mining  office  of  the  district  of  Caltanisetta  with  the  data  of  the 
National  Accident  Insurance  Institution  showed  that  the  amount 
of  wages  certified  was  about  one-half  of  the  amount  actually  paid. 
The  ministry  therefore  accepted  the  suggestions  of  the  SiciHan  mining 
association,  indorsed  by  several  of  the  chambers  of  commerce  of 
Sicily,  that  the  assessments  be  made  not  according  to  the  wage 
expense,  but  according  to  the  quantity  of  sulphur  produced,  and  that 
they  be  collected  in  connection  with  the  railway  transportation  of  the 
product,  so  as  to  make  impossible  any  evasion  of  the  assessments. 

OPERATIONS  UNDER  THE  LAW  OF  JULY  14,  1907. 

The  conditions  of  the  application  of  the  compensation  legislation 
by  the  Employers'  Compulsory  Mutual  Accident  Insurance  Associa- 
tion were  considerably  modified  by  the  new  law  of  July  14,  1907, 
referring  especially  to  tliis  obligatory  association.  The  chief  object  of 
this  law  was  further  to  eliminate  the  opportunities  of  defrauding  the 
association.  The  special  law  of  July  11,1 904,  was  aimed  at  the  frauds 
in  connection  with  the  payment  of  contributions  by  the  members,  but 
It  left  untouched  the  opportunities  for  fraud  in  connection  with  the 
payment  of  compensation. 

The  minister  of  agriculture,  mdustry,  and  commerce  in  his  memorial 
accompanying  the  bill  introduced  mto  the  Chamber  of  Deputies  on 
June  9,  1907,  declared  that  the  law  of  July  1 1,  1904,  aggravated  frauds 
in  connection  with  the  statements  of  wages  and  earnings  upon  which 
the  computation  of  compensation  is  based,  because  it  took  away  the 
restraint  upon  exaggeration  which  existed  when  the  employers'  con- 
tributions were  proportionate  to  their  wage  expense.  It  was  pointed 
out  in  the  same  memorial  that  the  conditions  of  contracting  and  sub- 
contracting made  exaggerations  of  wages  especially  difficult  to  detect. 
The  general  standard  of  the  law  making  the  annual  earnings  ec^ual  to 
300  times  the  daily  wage  was  also  declared  to  be  excessive  for  the 
Sicilian  mining  industry,  since  the  actual  number  of  working  days 
varied  in  the  different  provinces  from  160  to  248.  The  frequent 
fraudulent  practices  led  to  excessive  litigation,  which  proved  an 
additional  expense  to  the  insurance  association. 

To  remedy  these  conditions  the  association  made  repeated  requests 
upon  the  Government  that  a  system  of  fixed  wage  schedules  for  cer- 
tain occupations  be  substituted  for  the  method  of  individual  compu- 
tation of  the  earnings,  and  the  law  of  July  14,  1907,  is  i)rimarily  an 
adaptation  of  this  suggestion.  Connected  with  this  are  measures  for 
better  organization  of  medical  help  and  for  a  system  of  medical 


CHAPTER  VII.— workmen's  INSURANCE   IN   ITALY.  1785 

inspection  Which  will  enable  the  mutual  insurance  association  better 
to  control  the  payment  of  compensation  («) 

The  law  was  to  go  into  effect  after  the  pubhcation  of  the  necessary 
regulations,  which  were  prepared  by  the  ministry,  were  approved'y 
msX  decree  of  June  14,  1908,  and  were  promulgated  oE  August  6^; 

It  will  be  unnecessary  to  give  a  complete  analysis  of  the  workings  of 
this  emp  oyers'  compulsory  mutual  insurance  association,  because  in 
Its  mam  features  it  must  follow  the  provisions  of  the  gene;al  accident 
insurance  law,  which  was  fully  analyzed  in  an  earlie^r  Ittn  The 
purpose  and^scope  of  this  institution  and  the  extent  of  the  industrial 
field  covered  by  it  are  sufficiently  well  indicated  in  its  titl  The 
provisions  concerning  persons  injured,  the  character  of  Mitv 
compensated,  and  the  benefit  payments  all  remain  uncLnger  o£ 
those  features  of  its  activity  will  be  presented  which  show  a  materS 
deviation  from  the  methods  required  by  the  general  law 

Medical  HELP.^The  association  is  required  by  the  law  of  1907  to 
orgamze  a  service  of  first  medical  and  pharmaceutical  aid  to  the 
injured  workers  in  regular  stations,  without  any  cosHo  the  slhur 
mine  owners.     In  addition  to  the  medical  helpf  the  physfcLn^^^^^^^ 
nected  with  these  medical  aid  stations  must  furnish  thT  ^.i 
and  final  medical  certificates  without  anTcostrh         ^'f^^^^ 

10  levy  an  additional  tonnaffp  tnx  imnn  iU^  o.  i  u         •      ,    ">'""ii«;u 
t^  tu  •  •  .    ^""unge  lax  upon  tne  sulphur  mined   su-onrAinr, 

to  the  provisions  of  the  law  of  July  11    1904   h„i  ^77'  *'*"'°™"'g 
centesimi  (9.7  cents)  per  ton        "  "'^  '  ^ '  ^  ^"4'  *>"*  n«t  to  exceed  50 

fraud/the  law  of  19ol  confe^^^^^^  ^"^^    P--We 

cases  of  medical  insnec^^n      , '^'*'*'°*'  P°^«'  «°  ^he  association  in 

the  associationtlXtd  ofleTarm^JisSela^tr^^d' 

tion'to  be  made  a  soon  LToSbe  Ld?  ^'^^'•.  ^ \'--%a- 
In  case  the  injured  Dersonp;f,,o?'/  ^^  appomts  the  expert, 
it  may  be  a^med  hv Th  '^      ^  "^u"*"'^**  *^^  "^^^'^^^  examination, 

that  Lisz:2Lt't:ioT''''^7'  r''''"  "^*^™«  p--- 

caused  by  it.  *^  *^^  *'="''*'^*  *^  evidently  have  been 

4t:T  it:'and  Si'tavl^r;?  by  the  association  which  has 

lost  because  of  the  examlnaZ       f  ^T'■'**  ""^P^^^^  ^"^  ^«g^« 
expenses,  if  any       ^''*°"''**'°°  ^^  reimbursement  of  his  travelbg 

"  BonetUno  del.-  Uffieio  del  Lav„,„.  Vol.  x,  Aug.  2.  190S.  pp.  ,n  to  m. 


1786 


EEPORT  OF  THE  COMMISSIONER   OF  LABOB. 


4 


Sources  of  Income.— The  expenses  of  the  obligatory  mutual  acci- 
dent insurance  association  of  the  operators  of  Sicilian  sulphur  mines 
IS  met  by  a  special  tax  of  1.50  lire  (29  cents)  per  ton  of  sulphur 
obtained  or  of  mineral  containing  more  than  65  per  cent  of  pure 
sulphur.  The  assessment  upon  mineral  containing  65  per  cent  and 
less  is  reduced  by  one-third. 

As  stated  in  the  report  of  the  minister  of  May  23,  1904,  this  rate  of 
assessments  was  computed  in  the  following  way :  («)  The  total  amount 
of  compensation  annually  paid  to  Sicilian  sulphur  miners  by  the 
National  Accident  Insurance  Institution  in  1901  and  1902,  when  it 
assumed  all  insurance  in  that  region,  was  about  513,000  lire  ($99,009). 
At  that  time  compensation  was  paid  according  to  the  law  of  1898.  It 
was  computed  that  on  an  average  the  cost  under  the  law  of  1904 
would  exceed  that  under  the  older  law  by  about  20  per  cent,  and  an 
additional  20  per  cent  was  allowed  for  the  expenses  of  administration 
and  the  formation  of  the  reserve,  which  brought  the  probable  cost 
up  to  almost  718,000  lire  ($138,574).  Since  the  average  annual  pro- 
duction of  sulphur  amounted  to  about  500,000  tons,  it  was  estimated 
that  the  tax  of  1.50  lire  (29  cents)  per  ton  would  produce  the  requisite 
revenue  with  a  necessary  margin  of  safety. 

In  case  the  tax  yields  more  revenue  than  is  needed,  and  the  general 
meeting  of  the  association  expresses  the  desire  to  have  the  tax 
reduced,  the  administrative  council  may  petition  the  ministry  to  that 
effect,  and  after  consultation  with  the  Council  of  State,  such  reduction 
may  be  ordered  by  the  Government,  but  it  may  require  a  guarantee  of 
the  solvency  of  the  institution. 

The  collection  of  the  contribution  wa.^  combined  with  the  trans- 
portation of  sulphur  and  sulphur  minerals,  because  this  was  consid- 
ered the  best  way  to  reach  all  the  sulphur  mined;  and  since  most  of 
the  sulphur  is  transported  by  rail,  the  railroad  station  nearest  to  the 
mines  was  considered  the  most  convenient  place  for  accounting  for 
the  tonnage  and  for  receiving  the  contribution.  The  raUroad  com- 
panies operating  in  Sicily  agreed  to  assume  the  duty  of  collectin<'  the 
contribution  in  connection  with  the  freight  charges.  The  coutribu- 
tion  may  be  paid  at  the  time  of  shipment  or  it.may  be  paid  at  the 
time  of  delivery  if  the  shipper  assigns  the  payment  to  the  consignee 
by  a  proper  indorsement  upon  the  bill  of  lading  and  the  railroad 
transfers  the  amounts  received  to  the  insurance  association.  The  fee 
charged  by  the  raUroad  for  making  collections  is  very  small,  it  being 
5  centesuni  (1  cent)  per  each  10  Hre  ($1.93),  with  a  minimum  charge 
of  10  centesinu  (2  cents).  ■ 

The  regulation  of  method  of  payment  of  contributions  for  the  sul- 
phur  transported  over  ordinary  roads  was  left  to  the  constitution  of 
the  association. 


«  Bollettino  di  Notizie  buI  Credito  e  sulla  Previdenza,  1904,  pp.  827  to  835. 


CHAPTEE  VII.— workmen's  INSURANCE  IN   ITALY.  1787 

The  same  rule  apphes  to  the  amount  and  method  of  payment  of 
contributions  to  cover  the  risk  of  work  which  is  tempora'iSTu^^^^^^^^^^ 

Determination  of  BENEFiTs.-The  general  method  of  determin 
mg  the  benefits  due  the  workmen  injured  in  the  Sicihan  sulphu   Ss" 
remains  the  same  as  provided  for  by  the  laws  of  1898  and  1Q0'[  ^^ 
fied  m  1904)  for  all  other  industrii.     The  diirSLT^^^^^^^^^^^ 

June74  to? eon'  ''''1^'  \^  ?'"^^^^^  -gulationstsu  d  o^ 
TrZ  II:-  V  1'  ^""^  ^^^  "^^^^^^  ^^  determination  of  the  wa^es 

upon  which  the  amount  of  compensation  depends  ^    ' 

-Ueterminationof  Wages— InstPflH  off  iL  ^^  *    r    x   i 

employees  hired  for  a  specified  annual  remuneratior  tW 
aken  in  ca.e  of  death  or  permanent  disaS^Tn  comD^L  J""  1 
temporary  disabiUty,  the  daily  wage  is  arrived  It  ^/*™P^'^**'°'^  ^^ 
annual  remuneration  by  365      Forlu  othpT       i      ^  ^'^"'^  ^^^ 

through  division  of  the  TZ'.-t  *^^  ""^^  '"""*  ^  "Stained 

work4  daysTthe  tarious  p^lZT'^  '^  ^'^^  ^^^'«««  --»>-  o^ 

paSir:^  ftrrof  r  f^^  -r.  ^-^  -^'^  -*  -'^  ^-  -- 

by  age  grouDs  2TiZ  t  t.  '"Ip*""""  '"^S  provinces  but  also 
fact  Lf Sr;nTil  2S'  T  ^^'^'''^'''^  complicated  by  the 

ferent  occupSalJotT  Surtl.r^-  '""^  *'"?^''  '"^^  *•>«  '^- 
groups,  as  foUows-  UnSer  2  Ji  '  "f,  ""'"^'^  ^'^  '^^ded  into  four 
under  60  year^  and  60  v.«  ^T'  ^  ^""^  "°^«'"  ^^  y^^^'  45  and 
divided  iXZ'e  age  grour'underTr  '''"  '^"'^"^  '»''--  -« 
25  and  un<ler  50  years  M«ndY,     .«^""^'  ^^  ^'^'^  """^^^  25  yeare, 

and  the  employed  oSuld.nT       '°  r""^'  ""^  '^^  y^*"^  *''''  <>-- 
P    yees  occupied  in  transporting  the  sulphur  are  arranged 


1788 


EEPOBT  OF   THE   COMMISSIONER  OF  LABOR. 


also  m  five  groups,  but  these  groups  slightly  differ  from  the  age 
grouping  of  the  common  laborers :  Under  20  years,  20  and  under  40 
years,  40  and  under  50  years,  50  and  under  60  years,  and  60  years 
and  over.  For  all  other  occupations  a  slightly  different  age  classifi- 
cation was  adopted:  Under  15  years,  15  and  under  21  years,  21  and 
under  30  years,  30  and  under  60  years,  and  60  years  and  over. 

For  all  age  groups  except  the  highest,  the  demand  of  the  law  ia 
compUed  with  in  obtaining  the  annual  earnings  by  multiplying  the 
daily  wage  by  the  average  number  of  working  days.  For  the  age 
group  of  60  years  and  over,  the  annual  earnings  are  obtauied  by 
subtracting  25  per  cent  from  the  product  of  the  multiplication  of  the 
daily  wage  by  the  average  number  of  working  days. 

Contract  workers  who,  though  working  themselves,  employ  other 
wage  workers  are  assumed  to  receive  the  wage  of  the  highest  wage 
group  to  which  any  one  of  their  employees  belongs. 

Five  years  after  going  into  effect  the  tables  must  be  revised,  and 
the  procedure  of  the  next  revision  is  prescribed  in  great  detail  in  the 
regulations  of  June  14,  1908.  Kevision  of  the  tables  may  be  ordered 
after  two  years,  if  a  demand  for  such  revision  is  made  either  by  the 
Sicilian  Mutual  Accident  Insurance  Association  or  by  100  workmen 
in  any  one  province,  and  if  the  demand  is  approved  by  the  head 
engineer,  the  district  mining  office  of  Caltanisetta  approves  it  after 
investigation.  The  assigning  of  the  employees  to  the  different  wage 
groups  mdicated  in  the  tables  must  proceed  m  comphance  with  the 
regulations.  At  the  time  of  employment,  the  employer  must  inform 
the  employee  to  which  group  of  average  wages  he  is  assigned.  This 
must  be  done  in  the  presence  of  witnesses  and  with  th(5  consent  of 
the  employee,  who  may  raise  objections  against  the  assignment,  and 
if  the  employer  does  not  agree  with  the  employee,  the  statements  of 
both  parties  must  be  recorded.  *  The  certificate  of  assignment  must 
be  made  m  writing  and  signed  by  both  parties,  and  it  must  contain 
the  objections  of  the  employee,  if  any.  Appeals  from  this  assign- 
ment  may  be  made  within  ten  days  to  the  mutual  insurance  asso- 
ciation, which  association  transfers  the  complamt  to  the  district 
mining  office  at  Caltanisetta  for  final  decision. 

The  same  procedure  must  take  place  in  case  of  change  of  the 
employee  from  one  occupation  to  another,  but  if  the  change  from  one 
wage  group  to  another  is  due  to  age  no  special  notice  need  be  given. 
The  operator  of  the  mine  or  his  agent,  upon  complaint  made  by  the 
employee  to  the  insurance  association  and  forwarded  to  the  district 
mmmg  office,  may  be  prosecuted  for  faUure  to  give  the  employee  the 
required  notice  of  assignment. 

If  an  accident  occurs  to  a  workman  before  his  assignment  to  a  wage 
group  has  been  made,  the  assignment  is  made  by  the  insurance 


CHAPTER  Vn.— workmen's  INSURANCE  IN   ITALY.  1789 

association,  and  disagreement  as  to  such  assignment  is  to  be  settled 
mtiie  same  way  as  aU  other  disagreements  as  to  indemnity  to  be  paid 
ci«S''  ^{^^^^^^^^^^^-de  must  be  given  to  the  insurance  asso: 
ciation  The  same  requirements  are  apphcable  to  contractors  and  to 
subcontractors  employing  helpers.  If  at  the  time  of  an  accident  the 
notice  to  the  association  is  overdue,  or  if  the  notice  furnished  omitted 
to  give  essential  information  in  relation  to  the  workmen^s  wages  or 
contamed  false  statements  relative  thereto,  the  association  may 
recover  the  amount  of  compensation  from  the  employer  If  the 
salary  stated  to  the  association  is  lower  than  that'^sta  ed  to  he 
employee,  only  the  difference  of  the  compensation  based  upon  the 
two  wage  figures  is  recoverable.  ^ 

sisrSrnf'^rrr^™''-^^^!  ""^'^^^^  ^^  *^^^  association  con- 
sist  mamly  of  the  tax  upon  sulphur  as  estabhshed  by  the  law  of 

July  11,  1904;  in  addition  to  this  there  are  the  initiatio"^  fees  of  the 
members,  amounting  to  4  per  cent  of  their  amiual  wage  expense 

7^1r7T:  '"  ^T^,^-^^^^  --k>  -enues  ffom  tEe  ^: 
vestment  of  the  reserve  funds,  and  miscellaneous  income  The 
normal  rate  of  taxes  is  established  by  the  law;  the  specidL^essmeit 
for  nonproductive  work  is  determined  at  0  5  per  Lt  of  tC^  ^ 
expense,  and  may  vary  in  accordance  with  the  TriatTons  of  t^^^^^^ 
nJ  fL  T^^  organization  of  the  association  three  funds  !^e 
provided  for:  An  operating  fund,  tlie  ordinary  reserve  or  T^LZl 
fund,  and  the  extraordinary  reserve  fund  Tl.^  «o^  guarantee 
fund  is  forced  fron.  the  initiUT:  a^S  pe^LTdZLrr^ 
the  other  income,  which  deduction  is  continued  untU  Uie  rSerrTk 

of  ad^?n   ;  T'T  T"^'  ^"""""^  «f  "'«  indenmities  andTp^se^ 
of  administration  for  the  preceding  five  years      Tl,;«  .!>c        P.*"^?^^ 

contribuW  l/,w  .    •"««  upon  lie  new  membeis  who  have  not 
"oeeariteTerlltS-riett^""  """  »°' 


1790 


REPORT   OF   THE   COMMISSIONER   OF   LABOR. 


In  case  of  the  dissolution  of  the  association,  the  constitution  pro- 
vides for  a  redistribution  of  the  accumidated  reserves  among  the 
members  proportionately  to  the  wages  paid  as  announced  to  the  asso- 
ciation during  the  whole  period  of  its  existence. 

The  operating  fund  is  kept  either  in  the  Postal  Savings  Bank  or 
in  any  other  savings  bank  or  in  the  Bank  of  Sicily,  and  is  subject  to 
the  order  of  tlie  president,  who  must  himseK,  or  through  tlie  vice- 
president  or  a  director,  indorse  all  payments.  The  temporary  benefit 
payments  to  the  injured  workmen  are  made  by  members  of  the 
association,  who  are  subsequently  reimbursed. 

Administration. — The  organization  and  mode  of  operation  of  the 
insurance  association  is  regulated  by  its  constitution.  {^)  Briefly, 
this  organization  is  as  follows:  The  association  is  governed  by  the 
general  assembly  of  members,  meeting  twice  a  year  regularly  and  in 
extraordinary  meeting  whenever  necessary,  and  its  officers,  as  fol- 
lows: An  administrative  council,  an  executive  office,  an  accident 
prevention  committee,  so  called,  auditors,  and  a  board  of  arbitration. 

The  membership  of  the  association  consists  of  the  mine  operators 
who  are  employers  of  labor.  Under  certain  regulations  the  owners 
of  mines  who  do  not  operate  their  mines  may  hold  memb(».rship  in  the 
association.  In  the  general  meetings  of  the  association  the  members 
have  a  voting  power  corresponding  to  the  number  of  employees,  1 
vote  up  to  25  employees,  1  additional  vote  for  each  additional  25 
employees,  but  not  over  100  votes  to  1  person,  though  the  number 
of  employees  is  computed  by  assuming  1  employee  for  every  500 
lire  ($96.50)  of  annual  wages  paid.  Members  may  be  represented  by 
proxies,  but  no  member  of  the  administrative  council  is  allowed  to 
act  as  the  agent  of  any  other  member  of  the  association. 

The  administrative  council  consists  of  ten  members,  elected  for 
two  years,  one-half  of  the  number  being  elected  annually.  The 
council  has  the  general  powers  given  to  a  board  of  directors,  subject 
to  the  control  of  the  general  assembly.  The  actual  executive  work 
is  done  by  the  director,  who  is  at  the  head  of  the  executive  office. 
He  is  elected  by  the  assembly  for  a  probationary  period  of  two  years, 
after  which  he  has  security  of  tenure  an«l  can  be  removed  for  cause 
only  by  a  general  meeting  at  which  are  registered  three-fourths  of 
all  voting  power.  He  supervises  all  the  work  except  that  referring 
to  prevention  of  accidents.  The  director  is  subject  to  tiie  adminis- 
trative council,  to  which  he  refers  each  case  of  rejected  appUcation 
for  compensation.     Litigation  must  be  sanctioned  by  the  council. 

The  accident  prevention  committee  consists  of  three  members 
elected  by  the  general  assembly.  The  function  of  this  committee  is 
to  inspect  the  mines  and  to  issue  specific  orders  and  general  rules  for 

a  Bollettino  di  Notizie  sul  Credito  e  suUa  Previdenza,  1904,  p.  1643. 


CHAPTP^  Vn.— WORKMEN 'S  INSURANCE  IN   ITALY.  1791 

the  purpose  of  promoting  the  safety  of  the  work.  These  orders  must 
be  approved  by  the  council,  and  may  be  appealed  from  to  the  district 
mining  office  For  the  purpose  of  inspection  the  committee  may 
impress  members  of  the  association  for  a  short  time,  and  must  pay 
them  the  cost  of  subsistence  and  traveling  expenses. 

The  three  auditors  perform  the  usual  functions  of  an  auditing 
committee,  and  a  board  of  five  arbiters  elected  annuaUy  by  the 
general  meeting  hears  all  controversies  between  the  association  and 
Its  members  referred  to  it  for  informal  consideration 

Under  penalty  of  a  fine  a  member  is  required  to  accept  any  office 
to  which  he  IS  elected,  unless  he  is  excused  for  cause  by  the  adminis- 
trative council,  and  for  his  services  is  entitled  to  traveling  expenses 
and  to  a  per  diem  allowance.  f^^^s 

Government  Control  of  Administration. -A  few  changes  were 
introduced  m  the  methods  of  administration  of  the  a^ociation  by  the 

Zrt     ^  •       t?  ^""'P''"  '^  strengthening  the  government  control 
over  its  affairs.     The  governor  is  authorized  to  appoint  a  government 
representative  on  the  administrative  council  of  the  association;  aTa 
special  provision  authorizes  the  ministry  to  transfer  the  entire  admin- 
istration mto  the  hands  of  a  government  commissioner,  if  the  council 
ceases  to  exercise  its  function  or  exercises  it  irregularly.     In  such 
cases  the  commissioner  remains  in  charge  until  the  general  assembly 
elects  a  new  council.     It  was  explained  that  some  such  provision  w^ 
needed  on  the  statute  books  to  insure  continuity  of  service  of  Z 
association  against  any  malice  on  the  part  of  the  board  of  directo^ 
i-  'TT'^^^''  ^^'  ""  '^'  P^^^^  «f  '^^  president  and  of  the 
assembly.     He  is  to  resign  as  soon  as  a  council  has  been  selected 
The  remuneration  of  the  commissioner  is  to  be  deternTed  by  the 
minister,  but  must  not  exceed  25  lire  ($4.83)  per  day  ^ 

tionT'T'^^^^'  ^"^'"  compulsory  mutual  insurance  associa- 
tion  has  been  m  operation  such  a  short  time  that  little  staTtical 
mformat,on  concerning  it  is  available;  but  in  the  following  WoZSl 

sation  paid  for  such  accidents  are  given  for  1899  to  1905,  inclusive 
1.  e.   a  continuous  period  of  seven  years  of  the  application  ^f  SieS 
dent  compensation  law,  for  from  January  i,  l899^o  Sber      1904 
Je  sulphur  mme  operators  were  insured  ahnost  altogether  wi^h  th^ 
Naional  Accident  Insurance  Institution.     Only  the  kst  lineTn  these 

Dectb^TTl' 19ol'  '7  '';  !f-"^^^'  P^™^'  ^^^^^-  1'   l^ol  "o 
dS  and  tl  '      r  ^"^  ^^''  <^ompulsory  mutual  insurance  asso- 

tbuous  «nH  '^'^,P^™^^^  «^.^^  comparisons.     The  tables  show  a  con- 

i^^of  th  A7  r'"'''  "^  '^  "^^^^^"'  '^'^  "^i<^^  ----  the  forma- 
s  owed  tlnT  ""^  ^".'"'^  association  did  not  stop,  although  it 
Slowed  down  the  pace.     The  rate  in  190^  was  126  per  thousand-  in 


1792 


BEPOBT  OF  THE   COMMISSIONER  OF   LABOR. 


1904  it  was  143.2  per  thousand  for  nine  months,  or  190.9  per  thousand 
per  annum;  and  in  1904-5  it  rose  to  254  per  thousand  for  fifteen 
months,  or  203.2  per  thousand  per  annum.  What  the  rate  is  under 
the  appHcation  of  the  new  law  of  July,  1907,  it  is  impossible  to  tell, 
since  no  data  are  available.  As  might  be  expected,  the  increase  is 
not  manifested  in  the  number  of  grave  accidents.  In  1900  the  rate 
per  thousand  of  accidents  resulting  in  death  or  j)ermanent  disability 
was  8.1,  in  1904  it  was  9.3,  and  in  1905  it  was  8.0,  while  the  rate 
of  cases  of  temporary  disability  increased  from  74.3  per  thousand  in 
1900  to  181.6  in  1904  and  to  195.2  in  1905.  It  is  also  shown  that  the 
total  amount  of  compensation  increased  materially,  though  to  a  less 
degree,  because  the  increase  of  the  accidents  was  mainly  in  the  tem- 
porary disability  group. 

NUMBER    OF    ACCIDENTS    IN    SICILIAN    SULPHUR    MINES    AND    RATE     PER    1,000 

EMPLOYEES,  1899  TO  1905. 

[Source:  Bollettino  di  Notizie  sul  Credito  e  sulla  Previdenza,  1908,  Vol.  XXVI.] 


Year. 


1899 
1900 
1901 
1902 
1903 
1904 
1905 


Em- 
ployees. 

Wages     1 
paid. 

38,208 
38,044 
38,901 
37,789 
37,341 
0  35,395 

$3,424,635 
3,488,810 
3,588,  US 
3,455, 5<)1 
3,495,840 

0  2,569,414 

Accidents. 


Resulting  in — 


Death 
or  per- 
manent 
disa- 
bility. 


152 
308 
255 
263 
307 
0  248 
C397 


Tem- 

I)orary 

disa- 

bUity. 


2,393 
2,825 
3,924 
4,875 
4,397 
0  4,820 
c9,056 


Total. 


2,545 
3,133 
4,179 
5,138 
4,704 
a5,068 
^y,453 


Accidents  per  1,000 
employees. 


Resulting  in— 


Death 
or  per- 
manent 
disa- 
bUity. 


4.0 
8.1 
6.5 
7.0 
8.2 
O7.0 
clO.O 


Tem- 
porary 

disa- 
bUity. 


62.6 

74.3 

100.9 

129.0 

117.8 

o  136. 2 

c  244.0 


Total. 


66.6 

82.4 

107.4 

136.0 

126.0 

0  143.J 

c  254.0 


o  Nine  months  of  the  operation  of  the  national  insurance  institution. 

b  Not  reported. 

c  Fifteen  months  of  the  operation  of  the  Sicilian  compulsory  mutual  insurance  association. 

TOTAL    AND    AVERAGE    COMPENSATION   PAID    FOR   ACCIDENTS  TO    WORKMEN   IN 

SICILIAN  SULPHUR  MINES. 

[Source:  Bolletthio  di  Notizie  sul  Credito  e  sulla  Previdenza,  1908,  Vol.  XXVI.J 


Year. 


1899 
1900 
1901 
1902 
1903 
1904 
1905 


Total  com- 
pensation 
paid 


156,520.90 

85,960.19 

108,283.45 

101,592.01 

128,272.15 

0  122,806.09 

6113.259. 76 


Average  compensation. 


Per  case  resulting  In- 


Death. 


$467.00 
508.00 
594.00 
575.00 
599.00 
a  527. 00 
t>  579. 00 


Permanent 
disability. 


$163. 75 
251.09 
190.28 
202. 45 
2t)l.  72 
«  348. 56 
t>  232. 57 


Temporary 
disability. 


$3.93 
3.43 
4.01 
3.96 
4.69 
0  4.95 
J>4.38 


Per  case, 
all  cases. 


$22.21 
27.44 
25.91 
19.77 
27.27 
0  24.23 
bl7.27 


a  Nine  months  of  the  operations  of  the  national  insurance  institution, 

b  Fifteen  months  of  the  operations  of  the  Sicilian  compulsory  mutu»il  insurance  association. 


CHAPTER  VII. workmen's  INSURANCE  IN   ITALY.  1793 

COMPULSORY  ASSOCIATION  FOR  INSURANCE  OF  SEAMEN. 

The  second  compulsory  mutual  insurance  association  was  ordered 
by  royal  decree  of  December  14,  1905,  approving  the  constitution  of 
this  association  after  the  preliminary  steps  required  by  the  law  of 
January  31,  1904,  and  the  regulations  of  March  13,  1904,  had  been 
taken.  The  decree  ordered  the  association  to  begin  operations  on 
August  1,  1906,  under  the  official  title  of  the  Obligatory  Southern 
Maritime  Association  for  Insurance  of  Seamen  against  Trade  Acci- 
dents (Sinddcato  OUigatorio  Marittimo  Meridionale  per  V  Assicurazione 
degli  Infortuni  sul  Lavoro  delta  Gente  di  Mare).  It  embraces  the  equip- 
pers  and  the  owners  of  ships  belonging  to  the  shipping  districts  of 
Naples,  Gaeta,  Castellammare  di  Stabia,  Pizzo,  Reggio  di  Calabria, 
Taranto,  and  Bari,  with  headquarters  at  Naples. 

In  all  its  essentials  the  constitution  of  tliis  association  follows  that 
of  the  sulphur  mine  association,  providing  the  same  internal  organiza- 
tion of  administration  and  of  the  finances,  except  that  in  levying  the 
contributions  upon  its  members  it  follows  the  general  law  of  1904, 
which  permits  the  general  meeting  to  establish  the  rate  annually. 

OTHER  ACCIDENT  INSURANCE  INSTITUTIONS. 

As  was  explained  at  some  length  in  the  general  discussion  of  the 
law  and  its  application,  in  addition  to  the  National  Accident  Insur- 
ance Institution  and  the  compulsory  mutual  associations,  accident 
insurance  may  be  provided  by  the  following  three  groups  of  institu- 
tions: (1)  Private  (commercial)  insurance  companies;  (2)  voluntary 
mutual  associations;  and  (3)  private  funds,  either  cooperative  or 
individual.  These  will  be  treated  very  briefly,  especially  in  view  of 
the  meager  data  available. 

PRIVATE  INSURANCE  COMPANIES. 

The  essential  difference  between  Italy  and  Germany  or  Austria  and 
some  other  European  countries  hes  in  the  permission  to  private 
insurance  companies  to  enter  the  field  of  accident  insurance.  While 
the  ParUament  did  not  see  its  way  to  exclude  them,  it  felt  the  neces- 
sity of  subjecting  their  activities  to  strict  supervision  and  control, 
so  as  to  protect  the  interests  of  the  insuring  employers  as  well  as 
those  of  the  insured  employees. 

Private  insurance  companies  desiring  to  write  accident  insurance 
under  this  law  must  obtain  authorization  from  the  ministry.  Writing 
accident  msurance  without  such  specific  authorization  is  punishable 
by  a  fine  up  to  1,000  Hre  ($193)  for  each  contract,  and  the  insured 
employer  has  the  right  of  action  for  any  damages  sustained. 

Such  authorization  must  be  asked  for  in  written  petition,  accom- 
panied by  the  hst  of  premium  rates  and  a  sample  poHcy.     Variations 


1794 


REPORT  OP   THE   COMMISSIONER  OF   LABOR. 


from  the  authorized  form  of  policy  are  not  permitted  and  are  punish- 
able by  a  fine  of  from  100  to  5,000  lire  ($19.30  to  $965)  and,  if  repeated, 
may  lead  to  cancellation  of  the  authorization.  Changes  in  prc^mium 
or  in  conditions  of  policy  require  special  permission  of  the  ministry. 
The  same  requirements  in  regard  to  monthly  reports  and  a  register  of 
insurance  apply  to  the  private  insurance  companies  as  to  the  national 
insurance  institution.  The  accident  msurance  business  must  be  kept 
entirely  separate  from  all  other  business  of  the  company. 

A  guarantee  fund  is  required  from  the  private  insurance  companies 
which  at  the  end  of  the  year  must  amount  to  two-thirds  of  the  pre- 
miums received  during  that  year,  with  a  minimum  of  200,000  lire 
($38,600).  When  the  guarantee  fund  falls  below  the  required  limit 
and  is  not  replenished  within  the  specified  time,  the  authorization  ia 
considered  canceled  and  the  employers  must,  witliin  fifteen  days, 
provide  for  insurance  in  some  other  way. 

The  great  importance  ascribed  to  the  guarantee  funds  is  shown  by 
the  numerous  regulations  concerning  them.  The  guarantee  funds 
must  be  deposited  with  the  Bank  of  Deposits  and  Loans  in  the  form 
of  state  or  guaranteed  securities,  according  to  the  market  value. 
The  valuation  must  be  reviewed  each  six  months,  and  in  case  of 
depreciation  of  the  securities  they  must  be  brought  up  to  the  required 
amount.  They  must  also  be  adjusted  every  six  months  to  the  changes 
in  the  volume  of  operation,  and  when  an  increase  of  the  fund  ia 
necessary  it  must  be  effected  within  fifteen  days  under  penalty  of  a 
fine  up  to  50 lire  ($9.65)  per  day  for  failure  to  comply  with  the  require- 
ment. In  case  of  reduction  of  the  number  of  persons  insured,  the 
administration  of  the  insurance  company  may  petition  the  ministry 
for  permission  to  refund  the  difference,  and  sucli  refunding  may  be 
accomphshed  by  the  bank  upon  order  of  the  minister.  In  case  of 
the  discontinuance  of  a  fund  or  association,  such  refunding  is  not 
made  unless  it  is  shown  that  all  obhgations  of  the  company  have 
been  met.  If  the  guarantee  fund  has  been  impaired  by  payment  of 
compensation,  it  must  be  replenished  within  one  month  under  penalty 
of  cancellation  of  the  authorization. 

The  administration  of  each  private  insurance  company  must  fur- 
nish to  the  ministry  monthly  reports  of  the  status  and  changes  of 
insurance.  The  annual  statements  of  accidents  and  compensation 
must  also  be  pubhshed,  and  for  this  purpose  a  register  of  all  accidents 
must  be  carried,  giving  information  of  estabUshments,  time  and  place 
of  accidents,  their  causes,  all  necessary  information  in  regard  to  the 
injured,  the  injury,  and  the  compensation. 

All  accident  insurance  companies  are  subject  to  regular  examina- 
tions by  the  Ministry  of  Agriculture,  Commerce,  and  Industry. 

Notwithstanding  the  rigorous  demands  of  the  laws  and  regula- 
tions concerning  reports  from  the  private  insurance  companies,  the 


^ 


CHAPTER  VII.— WORKMEN 'S  INSURANCE  IN  ITALY.  1795 

statistical  information  concerning  their  operation  is  very  scanty  and 
fragmentary.  The  organization  of  these  companies  has  been  already 
referred  to  m  the  chapter  devoted  to  the  general  application  of  Ihe 
law.  Unfortunately  neither  the  number  of  persons  insured  nor  the 
number  of  persons  compensated  is  available,  so  that  a  comparison 
must  be  made  upon  the  respective  amounts  of  premiums  received 
and  of  compensation  paid.  The  comparison  is  not  unfavorable 
smce  It  shows  an  increase  in  the  share  of  premiums  distributed  as 
compensation  from  73.8  per  cent  in  1902  to  87.1  per  cent  in  1906. 

AMOUNT  OF  PREMIUMS  RECEIVED  AND  OF  COMPENSATION  PAID  BY  PRIVATE  INSFR 
ANCE  ASSOCIATIONS  IN  ITALY,  BY  YEARS,  1901  TO  1906  ^" 

[Source:  BoUettino  di  Notizie  s.U  Credito  e  sulla  Previdenza.  August,  1906,  and  September,  1908.] 


Year. 


1901 
1902 
1903 
1904 
1905 
1906 


Premiums 
received. 


$567,825 

646,715 

601,527 

1,129,285 

1,431,049 

1,637,595 


Compensation  paid. 


Amount. 


Percent 
of  pre- 
miums. 


S460,414 

81.1 

477,120 

73.8 

459.044 

76.3 

810,553 

71.8 

1.146,369 

80.1 

1,426,456 

87.1 

employers'  voluntary  motual  associations. 

It  was  the  avowed  intention  of  the  law  to  stimulate  mutual  accident 
msurance  among  employers  by  the  formation  of  mutual  associations 
accordmg  to  the  German  type.  Such  mutual  associations  may  be 
organized  by  employers  who  together  employ  at  least  4,000  persons 
whether  m  the  same  line  or  in  different  lines  of  industry.  The  organi- 
zation of  each  association  requires  the  autliorization  of  the  Govern- 
ment, and  m  addition  there  are  stringent  regulations  concerning 
control,  accountancy,  and  guarantee  in  order  that  the  employees 
insured  in  these  mutual  associations  may  receive  protection  equal  to 
that  given  to  persons  insured  in  the  National  Accident  Insurance 
institution  or  m  private  insurance  companies. 

Employers'  mutual  associations  must  be  organized  in  writing,  the 
articles  of  mcorporation  to  contain  a  list  of  members  and  establish- 
ments included  in  the  association;  also  evidence  of  the  deposit  of  the 
required  guarantee  fund  and  of  the  approval  of  the  constitution  bv 
aU  the  employers  who  intend  to  join  the  association,  and,  finall^ 
evidence  of  payment  of  half  the  annual  insurance  premiums  which 
the  national  insurance  institution  would  require  for  insurance  of  aU 
the  estabhshments  in  the  association,  this  initial  payment  to  serve  as 
a  fund  to  begin  the  operations  of  the  association. 

The  constitution  of  the  association  must  contain  the  usual  regula- 
tions as  to  the  constituency,  the  meetings,  the  administration,  and 


i  I 


hill 


1'"^^ 


1796 


REPORT   OF   THE   COMMISSIONER   OF   LABOR. 


the  financial  operations,  such  as  the  methods  uf  distribution  of  the 
employers  among  the  risk  classes,  methods  of  settling  disputes  within 
the  association,  surveillance  over  the  establishments  belonging  to  the 
association,  conditions  of  liquidation  of  the  association,  amendments 
to  the  constitution,  etc. 

The  articles  of  incorporation  and  the  constitution  must  be  sent  to 
the  ministry  for  approval  or  amendment,  with  all  the  necessary  docu- 
ments, such  as  evidence  of  the  payment  of  the  required  guarantee 
fund,  a  statement  from  the  national  institution  as  to  the  amount  of 
insurance  premiums  which  the  association  employers  would  have  to 
pay,  and  a  list  of  members,  with  numbers  of  workmen  to  be  biaured. 
With  the  final  approval  of  the  constitution  by  the  ministry  the  asso- 
ciation is  legally  organized.  The  expenditiu-es  of  the  association  are 
covered  by  means  of  annual  assessments  upon  the  membership,  the 
amount  of  the  assessments  being  based  upon  the  expenditures  for 
the  preceding  year. 

All  these  mutual  associations  which  are  autliorized  to  act  aa  sub- 
stitutes for  regular  insurance  companies  must  guarantee  a  scale  of 
compensation  which  is  in  no  particular  inferior  to  that  estabhshed  by 
the  law,  and  to  assure  the  solvency  and  abihty  of  the  associations  to 
meet  the  obligations  assumed  they  are  required  to  place  guarantee 
funds  with  the  Bank  of  Deposits  and  Loans,  m  accordance  with  the 
regulations  of  the  minister. 

The  requirements  concerning  these  guarantee  fimds  contained  in 
the  law  and  the  regulations  are  very  strict,  sin(;e  they  are  the  only 
protection  of  the  injured  workman  or  his  family  against  a  dishonest 
or  mismanaged  employers'  mutual  insurance  association. 

For  the  employers'  mutual  accident  insurance  associations  the 
guarantee  fund  must  equal  10  lire  ($1.93)  per  insured  employee,  but 
not  over  250,000  lire  ($48,250).  In  addition,  a  further  guarantee  is 
given  by  the  provision  that  when  an  association  is  unable  to  meet  its 
obhgations  for  payment  of  compensation  the  habihty  reverts  to  the 
person  responsible  for  the  insiu-ance,  i.  e.,  the  employer. 

The  regulations  concerning  the  guarantee  funds  of  the  private 
insurance  companies  mentioned  above  also  ap])ly  to  the  guarantee 
funds  of  the  mutual  insurance  associations. 

The  formation  of  voluntary  mutual  employers'  associations  pro- 
ceeded but  slowly  after  the  enactment  of  the  first  law,  in  1898.  The 
first  one  to  organize  was  the  Sindacato  Subalpino,  in  Turin,  on  Novem- 
ber 30,  1898,  with  over  1,000  employers  and  some  40,000  employees  in 
various  branches  of  industry.  The  mining  employers'  mutual  asso- 
ciation in  Iglesias  was  authorized  on  March  31,  1899,  with  some  15 
employers  and  some  15,000  employees.  These  were  the  representa- 
tives of  two  different  types  of  mutual  insurance  associations,  the  one 


CHAPTER   VII.— workmen's   INSURANCE  IN   ITALY.  1797 

consistmg  Of  a  few  large  employers  in  one  definite  industry  and  the 
other  of  a  large  number  of  small  employers  in  many  differen7branches 
IVo  more  associations  were  formed  early  in  1900,  the  Syndicate 
League  m  Genoa  and  the  Association  for  Emp^ers  on  Publ^ 
Works  (Szndacatofra  Impresan  dVpere  PubUiche),  in  Florence  both 
consisting  of  several  hundred  employer,  and  from  five  to  T^hLand 

rfir  J-;!""  "■"•  -•'^  ">"  -»-"'>"  *-  *•  »=« 

..frr  l^^""  ^^^  formation  of  voluntary  mutual  associations  pro- 

tions    tit:  "f  ^  r"  ''^'^  ^^^"     ^'^'^'^  ^h^  compulsory  assod" 
tions,  three  voluntary  ones  were  formed  in  1904-for  employment 
m  naval  ports,  with  headquarters  in  Genoa,  April  5;    f7sI2Tn 
Genoa,  Apnl  15;  and  Sideros,  for  miscellaneous^du; tries    G^oa' 

the  Cisalpmo  m  Mdan  December  20;  and  for  miscellaneous  indus^ 
tnes  and  buildmg  trades,  Genoa,  December  21;  and  two  in  mel 

i'tne;'     '      ""'^^  ''  '"'  ^"^  ^  ^^^^^'  ^^^^^  ^-  miscelllneous 

mtZllf,?^^^^^  '^-^^nce^  since  from 

Se  thi  ..  .    f  ""T  ''  '^  '^'^'^  P^^^"^^  ^^^^^^^^^  150  per  cent. 

c^on  to  ZJ!  '^'"'^'^  P"'^^  "^^^^  ^^^  ^^'  ^^tual  asso- 

ciation  to  another,  in  view  of  the  differences  in  the  trade  risks  of 

mdustnes  covered,  the  relation  between  the  total  amolt  oTcor^- 

pensation  paid  and  the  premium  seems,  on  the  whole,  to  be  a  f  avorSe 

one,  mdicatmg  a  moderate  administrative  expense. 

0™ro.S  O.  --..KS^^VO.^^^^^^^^^^^^  ,.3UHANC.   .SSOCIATIOKS 

r8oun.e:BoUettlnodiNotiziesul  Credito  e  sulla  Previdenza,  August,  1906,  and  September,  1908.] 


Year. 


Number  of— 


Employ- 
ers. 


1901 
1902 
1903 
1904 
1905 
1906 


(«) 

(«) 

1,689 

2,523 

2,893 

3,255 


Employ- 
ees 
Insured. 


Amount  of— 


Wages 
Insured. 


(«) 

62, 793 

83,191 

109, 687 

152,587 


16,037,116 
6,861,861 
6,985,353 
11,273,337 
16,220,045 
21,278,521 


Pre- 
miums 
received. 


Comjpen- 
sation 
paid. 


Average  premium 
per- 


Average  indemnity 
per— 


«51,840 
61,928 
66,854 
283,657 
464,943 
627,292 


943,313 
44,552 
53,878 
187, 783 
332,365 
512, 539 


Insm^ 

em- 
ployee. 


(«) 

(*) 

11.06 
.3.41 
4,24 
4.11 


$1,000  of 

wages 
Insured. 


$8.59 
9.02 
9.57 
25.16 
28.66 
29.48 


$1,000  of  I  $1,000  of 

wages     premium 

Insured,  i  received. 


$7.17 
&49 
7.71 
ia66 
20.49 
24.06 


$836 
719 
806 
662 
715 
817 


o  Not  reported. 


PRIVATE    AND   COOPERATIVE   FUNDS. 

miflrS  ^'^'^^',^J^fJ?«^«f  ^^  individual  establishment  (cassa 
prtvata)  or  of  several  estabbshments  combined  {cussa  comorzude) 
represent  a  transition  from  the  principle  of  insurance  toSf  of 


1 1 


1798 


BEPOET  OF  THE   COMMISSIONER  OP  LABOR. 


compensation  by  the  incUvidual  employer,  although  a  private  fund 
which  IS  supported  by  a  combination  of  several  employers  closely  ap- 
proaches an  employers'  mutual  accident  insurance  association.  The 
permission  to  private  employers  to  substitute  a  fund  for  the  obhgation 
of  insurance  was  mainly  due  to  the  desire  to  preserve  such  funds 
where  they  abeady  existed  and  also  to  provide  for  comparatively 
large  employers,  who  could  ascertain  in  advance  with  considerable 
accuracy  the  probable  cost  of  accident  comi)en&ation.  As  in  the  case 
of  mutual  associations,  private  funds  require  authorization,  must  fur- 
nish guaranties,  and  are  subject  to  government  control. 

A  private  fund  may  be  oi^anized  either  by  an  individual  estabhsh- 
ment  or  by  several  estabUshments  in  the  same  industry  or  in  the  same 
locality.  The  authorization  of  the  ministry  is  necessary,  and  such 
authorization  is  granted  upon  petition,  which  must  give  all  necessary 
information  as  to  the  estabhshments,  together  with  a  statement  from 
the  national  insurance  institution  as  to  the  aimual  amount  of  insurance 
premiums  which  would  be  required  to  purchase  insurance  for  the  risk, 
and  evidence  of  having  comphed  with  the  requirements  as  to  the 
guaranty.  The  private  funds  are  governed  by  their  respective  con- 
stitutions, which  must  state  the  scale  of  compensations  paid.  This 
scale  must  not  be  lower  than  that  prescribed  by  the  law. 

When  the  private  fund  is  organized  by  se^  eral  establishments  joined 
for  that  purpose,  the  constitutions  must  state  the  perio«l  for  which 
such  union  is  affected,  methods  of  determinmg  the  coefficient  of  risk 
of  each  establishment  and  the  contribution  of  each  establishment, 
conditions  for  admission  of  other  establisliments,  provision  for  col- 
lective responsibihty,  methods  of  amending  the  constitution,  and 
Uquidatmg  the  fund  if  necessary.  The  ministry  may  mtroduce 
changes  in  the  constitution  of  such  funds  with  the  approval  of  the 
council  of  state  and  publish  them  as  royal  decrees. 

For  the  private  funds  the  guarantee  fund  must  not  be  less  than  five 
times  the  insurance  premiums  in  accordance  with  the  rates  of  the 
National  Accident  Insurance  Institution,  if  the  membershif)  does  not 
exceed  2,000,  and  three  times  the  insurance  premium  but  not  less  than 
40,000  lire  ($7,720)  for  the  largest  funds.  The  same  conditions  rela- 
tive to  the  management  of  the  guarantee  fund — concerning  dissolu- 
tion, reinsurance,  examination  of  accounts,  etc—which  have  been 
given  in  connection  with  the  mutual  associations,  also  ai)ply  to  the 
private  funds. 

Three  cooperative  funds  were  authorized  in  1899,  one  in  1901,  three 
m  1904,  two  in  1906,  and  one  in  1907;  one  of  these  suspended  opera- 
tions in  1905  and  one  in  1906.  At  the  end  of  1906  there  were  known 
to  exist  seven  such  cooperative  funds.  One  of  these  covered  nearly 
20,000  employees,  two  about  6,000  each,  one  over  2,000;  the  three 
remaining  protected  less  than  a  thousand  employees  each. 


] 


CHAPTER  VII.— WORKMEN 'S  INSURANCE   IN   ITALY.  1799 

OPERATIONS  OF  COOPERATIVE  INSURANCE  FUNDS  OF  ITALY.  1901  TO  1906. 
[Source:  BoUettino  di  Notizie  sul  Credito  e  sulla  Previden^a,  August,  1906.  and  September.  1908.]  - 


Year. 


Number  of— 


1901 

1902 

1903 

1904 

1905 

1906 


Employ- 
ers. 


(«) 

(«) 
509 
805 
994 

1,225 


Employ- 
ees 
Insured. 


Amoimt  of — 


(«) 

18,539 
24,734 
28,346 
35,662 


Wages 
Insured. 


$605,556 

583,329 

579, 216 

1,826,369 

2,319,157 

2,813,982 


Pre- 
miums 
received. 


''$6,071 
17,963 
7,813 
20,487 
23,233 
29,453 


Compen- 
sation 
paid. 


Average  premiiun 
per — 


Average  compen- 
sation per — 


$3,214 
3,919 
3.495 
5.304 
8.343 

14.992 


Insured 

em- 
ployee. 


$a42 
.83 
.82 
.83 


$1,000  of 

wages 

insured. 


$iao3 

3a  79 
13.49 
11.22 

iao2 

ia47 


$1,000  Of 

wages 
insured. 


*  Not  Including  1  association  not  reporting  premiums  received. 


$1,000  of 
premiiun 
received. 


$5.31 

^$52.  94 

6.72 

21.82 

6.03 

44.73 

2.90 

25.89 

3.60 

35.91 

5.33 

5a  90 

a  Not  reported. 


Eight  private  funds  for  individual  establishments  qualified  in  1899 
and  2  „.  1900.     In  1903,  1904,  and  1905,  11  nxore  lere  organic 

TuLV^""^'  '°  u'^'^'  ""**^''  manufacturing  establishment  Tn 
lunn,  had  a  membership  of  3,600  and  1  of  2,800.  Three  of  them  are 
organized  m  connection  with  establishments  employing  from  1,000  to 
2,000  persons,  and  9  m  connection  with  establishments  employing 
ewer  than  1,000  persons  each.  It  will  be  umiecessary  to  ^CZt 
the  detailed  figures  concerning  each  of  the  twenty  or  morf  private 
funds  existing  in  Italy  at  the  end  of  1906.  The  totll  data  hav'^Tea 
given  m  connection  with  the  general  discussion  of  the  results  of  the 
operation  of  the  accident  insurance  law. 

PBOPOSED  BEFOBKS. 

The  rapid  increase  in  the  number  of  accidents  and  in  the  num- 

cbc£  raTtht'L  •  "*?  T""*  T^^  '^'  ^^^^°"  ^  administrative 
nnfrff  .  ^  administration  of  the  law,  notwithstanding  the  vari- 
ous efforts  at  reform,  was  lax  and  open  to  criticism.  As  earlv  as 
903,  dumig  the  parliamentaiy  debates  preceding  the  adoption  of 
the  amendatory  act  of  June  29,  1903,  both  chambe,^  passed  resolu 
tions  requesting  the  Government  to  prepare  legislative'^pTposaTst; 
the  establishment  of  special  tribunals  for  the  adjudication  of  actions 
ammg  under  this  law  and  for  the  sunplification  of  the  judicial  ir^ 
cedure  in  such  actions.  («)  '  ""'"*'  P'*^ 

In  conformity  with  these  resolutions,  on  May  31,  1905  a  commis- 
sion was  appomtod  for  the  study  of  the  Question  TvTl!  commis- 
ftdmittpH  that  tu^  1      ^  ••        .  question,     ihe  commission 

admitted  that  the  regular  tnbunals-accustomed  to  consider  eases 
accordmg  to  the  well-established  principles  of  the  conZon  law 
were  not  well  adapted  to  sit  in  cases  arising  unde.  tris^ecial TcT 
which  was  based  upon  a  different  conception'of  the  relat  ons  betweli 

~              "'  '^°"""  «^^l^^^e  «ulla  Previdenza,  T^O^T^  ' 

07725°— VOL  2— 11 ^20 


mm^- 


1800 


REPORT  OF  THE  COMMISSIONER  OF  LABOR. 


however,  that  the  ordinary  courts  had  an  advantage  over  special 
tribunals  in  the  general  sense  of  legal  rights  and  the  de&iite  habits 
of  legal  reasoning,  due  to  experience  and  to  professional  training. 
The  commission  did  not  see  its  way  to  recommend  the  organization 
of  special  tribunals,  but  admitted  that  the  adjustment  of  claims 
should  not  be  left  entirely  to  the  individual  bargaining  of  both  par- 
ties, because  the  workmen  or  their  dependetit  relatives  do  not  have 
the  necessary  understanding  of  the  correct  value  of  their  claims.  It 
therefore  suggested  that  in  all  cases  the  local  administrative  officers 
(pretori)  act  as  intermediaries,  representing  the  State  and  adjusting 
the  claims  on  a  basis  equitable  to  both  parties;  that  all  decisions  of 
the  ''pretori"  up  to  1,500  lire  ($289.50)  be  iinal  and  without  appeal, 
and  in  such  cases  where  larger  sums  are  concerned  the  appeals  be 
considered  by  the  ordinary  courts  of  appeal;  that  by  appropriate 
administrative  decrees  attorneys  at  law  be  discouraged  from  inter- 
fering with  the  administration  of  the  law;  and  that  the  fees  of  attor- 
neys and  medical  and  other  experts  be  regulated  by  decree. 

This  plan,  expressed  in  a  draft  of  a  bill  published  toward  the  end 
of  1905,  came  up  for  discussion  in  the  Superior  Council  of  Labor.  In 
the  last  session  of  1905  the  council,  in  view  of  the  serious  abuses  of 
the  law  in  Rome,  instructed  the  Bureau  of  Labor  in  cooperation  with 
the  General  Office  of  Credit  and  Provident  Institutions  to  prepare  a 
careful  report  concerning  the  administration  of  the  law,  and  this 
report  came  up  for  discussion  in  the  first  session  of  the  council  for 
1907.  The  suggestion  of  the  commission  of  1905  to  delegate  the 
important  judicial  powers  to  the  ''pretori"  did  not  meet  with  the 
approval  of  the  council.  It  was  argued  that  these  administrative 
officers  had  neither  the  time  nor  the  necessary  medical  or  technical 
training  for  the  consideration  of  these  claims;  that  they  were  not 
free  from  local  influences,  and  were  likely  to  be  more  influenced  by 
the  employers  and  insurance  institutions  than  by  the  workmen.  As 
to  the  best  substitutes  for  such  administrative  intervention,  the  sug- 
gestions offered  embraced  special  courts,  an  autonomous  central 
insurance  office  in  Rome,  and  the  adaptation  of  special  simplified 
methods  of  procedure  in  the  ordinary  courts. 

A  careful  study  of  all  these  suggestions  and  of  the  legislation  and 
practice  of  other  European  countries  formed  the  basis  for  a  bill  for 
the  reform  of  administrative  procedure  in  connection  with  accident 
insurance,  which  was  introduced  on  March  13,  1908,  by  the  minis- 
ter of  agriculture,  industry,  and  commerce,  in  the  Chamber  of 
Deputies. 

The  legislative  proposal  introduced  by  the  ministry  is  divided  into 
two  distinct  parts.  The  first  deals  with  the  specific  problem  of  dis- 
putes arising  under  the  law  and  the  second  aims  at  a  general  reform 
of  administrative  procedure. 


CHAPTER  VTI.— workmen's  INSURANCE   IN   ITALY.  1801 

The  arguments  in  favor  of  special  tribunals  prevailed.     The  bill 

ZZT  ^rT"'^'"  "^  ^P^^^^^  P^^^-^1  -  d-tinct  commit 

sions  for  consideration  of  controversies  arising  under  this  law     A 

commission  IS  to  be  established  in  the  capital  of  each  Province  to 
have  jurisdiction  of  that  Province.  If  necessaiy,  separate  coi^ 
missions  may  be  established  by  royal  decree,  upon  recoLmendatTn 
of  the  mmister  of  agnculture,  in  separate  districts  (circondano)  with 
jurisdiction  over  that  district,  which  is  then  taken  out  of  theTui^X 
tion  of  the  proymcial  commission.  Thus  the  effort  is  to  provide  aU 
ndustnal  localities  with  commissions  conveniently  locat^  To  that 
there  may  be  no  hardship  to  the  poor  claimant  ' 

Each  commission  is  to  consist  of  three  members,  the  president  of 
the  local  tribunal,  the  provincial  physician,  and  the  local  chief  eni 
neer,  they  fumishmg  the  expert  knowledge  necessary  for  the  pix)per 
consideration  of  the  claims-law,  medicine,  and  entering    ^^ 

th  Jn  L^r        '/'^^''  '^''"  'P""^^^  '"^"^^^  i«  ^  be  much  simpler 
tnan  m  the  regular  courts.  ""pier 

Minors  over  18  years  may  appear  in  their  own  cases,  and  married 
women  do  not  require  the  authorization  of  the  husband.  AttorSS 
or  counsel  are  not  necessary.  Proceedings  must  be  oral,  as  a  rule 
Briefs  may  be  filed  only  by  permission  of  the  commission.  Witn^l 
^ay  be  examined  by  the  commission,  and  in  the  examinat'oH 
witnesses,  as  we  1  as  m  the  entire  procedure,  the  legal  rules  of  proct 
dure  are  not  obligatory.  s     i  uies  or  proce- 

Considerable  stress  is  laid  upon  the  technical  features  of  the  case 
the  examination  of  which  may  be  made  either  by  the  ent^e  conT^ 
sion  or  by  any  one  of  its  members  delegated  for  that  purpose  ™ 
commission  or  the  member  delegated  may  visit  the  plL  of  accident 
or  any  other  place  necessary  to  verify  the  statement  of  the  Sr^ 
employee  or  any  witness.  ^jurea 

Thus  the  commission  is  given  the  right  and  opportunity  to  inform 
itse  f  m  a  most  direct  manner  with  all  the  facts  in  the  Lefo 
addition,  It  IS  given  the  right  to  appoint  outside  medical  or  t^cLc^ 
experts  when  necessary,  these  experts  to  be  assisted  by  the  r^L 
tive  members  of  the  commission.  The  orders  of  the  cLmS^n 
have  the  force  of  judicial  orders.  It  may  order  provisionarp'^^s 
or  the  deposit  of  guarantee  funds.    Its  final  sentences  m\,Ttl2 

rit  olTirm:  '"""*'"^r'  ^*  ^'^^^  ^^^  •'^  -^^'i  *«  *""  -u^ 

or  cassation  in  Kome  on  a  wnt  of  error  only 

The  expenditures  of  the  commission  are  to  be  charged  to  a  special 
fund  of  the  Mimstry  of  Agriculture,  Industry,  and  CommerTe  to 
which  contributions  are  to  be  levied  upon  the  NatiSTccTdeit 
Insurance  Institution  and  other  insurance  institutions  Exem^ 
Uon  from  stamp  and  registry  duties  are  to  be  conferred  ^ponaU^S 
m  connection  with  the  proceedings  of  these  courts 


il 


?f 


1802 


REPORT  OF  THE  COMMISSIONER  OP  LABOR. 


The  last  twelve  articles  of  the  bill  (articles  22  to  33)  suggest  various 
reforms  in  the  administration  of  the  law,  which  are  almost  all  directed 
toward  increasing  the  control  over  the  claimants  and  thus  preventing 
the  abuse  of  the  law  through  fraud  and  malingering.  The  proposals 
are  important  as  indicating  the  practical  difficulties  which  necessarily 
must  arise  in  the  administration  of  an  accident  insurance  law  unless 
proper  methods  are  early  taken  for  their  prevention.  One  of  the 
most  troublesome  details  in  such  administration,  even  in  cases  of 
admitted  vahdity,  is  the  proper  method  of  determining  the  exact 
duration  of  disability,  to  exaggerate  which  there  is  a  frequent  tend- 
ency among  the  injured  employees. 

Furthermore,  aside  from  the  cases  of  malingering  and  of  deception 
as  to  the  length  of  disability,  the  possible  carelessness  in  taking 
measures  necessary  for  hastening  recovery  must  be  taken  into 
account,  such  carelessness  being  due  either  to  ignorance  or  to  the 
desire  to  prolong  the  duration  of  benefits. 

To  meet  these  difficulties,  the  bill  undertakes  to  grant  to  the  insur- 
ing institutions  the  right  to  exercise  medical  control  over  the  injured 
person,  such  control  to  consist  of  visits  of  a  physician  representing 
the  insurance  institution.  The  bill  further  provides  that  the  injured 
employee  shall  be  subject  to  the  visit  of  the  institution's  physician; 
shall  appear  in  proper  medical  institutions  incUcated  by  the  insurance 
institution  for  the  purpose  of  having  a  thorough  medical  examina- 
tion made  in  order  to  ascertain  the  results  of  the  injury,  or  submit 
to  such  treatment  which,  while  being  without  danger,  may,  in  the 
opinion  of  the  insurance  institution's  physician,  relieve  the  conse- 
quences of  the  accident.  If  the  employee  without  good  reason 
declines  to  accede  to  requests  for  any  of  the  three  enumerated 
measures,  his  compensation  may  be  partially  reduced  or  altogether 
discontinued. 

While  these  proposals  are  mainly  directed  at  the  ignorance  or 
carelessness  of  the  injured  employee,  other  measures  are  proposed* 
for  the  purpose  of  preventing  or  detecting  fraud  and  malingering. 
The  bill  intends  to  deprive  the  employee  of  his  right  to  compensation 
under  the  law  when  (1)  he  has  simulated  or  exaggerated  or  actually 
aggravated  the  consequences  of  the  accident,  (2)  when  he  has 
returned  to  work  while  continuing  to  receive  liis  daily  allowance,  or 
(3)  when  he  has  in  any  other  way  tried  to  deceive  the  employer  or  the 
insurance  institution. 

Finally,  the  third  important  object  aimed  at  by  the  new  bill  is  to 
discourage  unnecessary  Htigation.  The  commission  which  prepared 
the  bill  recognized  that  frequently  attorneys  are  responsible  for 
fraudulent  claims  or  unnecessary  lawsuits,  and  the  measures  for 
counteracting  these  evils  are  directed  partly  against  the  claimants 


CHAPTER  VII.— workmen's  INSURANCE  IN  ITALY.  1803 

tZ  h?^f  ^  ""^^^"^  ^^"  attorneys  or  any  other  intermediaries 
The  bill  mtends  to  prohibit  any  attorney  from  offering  S^seSs 
to  the  clamiant  m  such  cases.     Persons  who  offer  theif  o^  se"Ses 

Ld  fo^rfi'^^^  T""  ^'"^"^  ^^  ^"^^  intermediariesTre Tbe 
toed  for  the  first  offense  up  to  300  Hre  ($57.90)  and  for  a  second 

offense  up  to  2,000  Hre  ($386).  Officials  who, haW  receTved^fc^ 
of  accidents,  give  information  to  intermediari;s  so  af  to  eTaWe Them 
ifZ'  V"'""'?  '''  '"  ^'  similarly  punished.  M  cont^^^^^^ 
Sh  ^^^^^f^^.™^  ^  P-y^ent  of  services  rendered  incorectTon 

requiS  tfoa^^^^  "^T^  "^^^"^^"  ^^  ^^^^^  beneficiaries  may  be 
required  to  pay  m  case  of  unsuccessful  lawsuits.  ^ 

r^entative  for  the  e^plo^^l^  otTrXl^r  ^'^^  ^"^^  ''^ 

accordance  with  instr^STJv  n  in  90T  thT  ""  °r7-^"  ^ 
criticism  to  which  the  law  of  T904  1  £  u^Zand  ti^  ^'^ 
nence  gamed  through  its  administration,  uncovetd  manv  ZZ 
weak  pomts  requiring  corrections  «nH  ihJ  ""^Z^^^^  ""^ly  other 
suggested  were  the  folloX  TbeTtfr  tfi  T'  ""T'^  "Ganges 
to  include  all  injuries  c3'  dTmnl       **f  ""t'""  «^  »««<Ient,  so  as 

employment  onl^ ;  Te  rraL'o"f"^^3at^^^^^^^^ 
payment  of  no  compensation  during  the  first  XJ^^U  fA     u-^"" 
so  as  to  eliminate  the  growing  numLr  of  cW^fL  JJlltv  "^^ 
dents;  a  more  practicable  methnH  nf  ^^f       —  i or  very  petty  acci- 

apprentices;  th'e  better  reguTatn  of 't^^^^^^  "T  "'  ^'^^ 

sation  granted   which  i-,  tn  h^v    v  j  ^         revision  of  compen- 

the  moft  impoHat tr:  propSilTm^So  ^^^f  "  ^'''"''" 
to  the   IVTflfinTioi    A     -J     i.   _^  "1^"^^^  ^  ^^^  limitation  of  insurance 

iliri^gtTtht  "^^^^^^  ^'^^*'*""-'  *h-gh   withou" 

vate  accident  fnnlT^  insurance  associations  and  pri- 

I!!!_!!!^;^fg^_f:^g^^^^hemeasure  is  directed_against  the  writing 


1804 


BEPORT  OF  THE  COMMISSIONEB  OF  LABOR. 


i| 


1 


I  J 

ii 


of  accident  insurance  by  private  insurance  companies,  since  it  was 
shown  by  investigation  that  their  profits  are  large  and  constitute  a 
heavy  and  nonproductive  burden  upon  the  industry. 

PROPOSED  INSUBANCE  FOB  AGBICULTTTBAL  LABOBEBS. 

One  of  the  questions  raised  by  this  parHamentary  commission  in  its 
report  was  the  possibiUty  of  extending  the  provisions  of  the  accident 
insurance  law  to  the  agricultural  laborers,  who  are  much  more  nu- 
merous than  the  industrial  workers.  The  conmiLssion  expressed  its 
general  sympathy  with  the  proposal  but  dismissed  it  for  the  present 
time  because  of  practical  difficulties. 

Independently  of  these  general  governmental  efforts  at  reforming 
the  law,  the  question  of  accident  insurance  for  agricultural  laborers 
has  come  up  in  the  Italian  Parliament  and  the  movement  in  its  favor 
is  gradually  growing.  As  early  as  1902  the  question  was  seriously 
discussed  in  the  Chamber  of  Deputies.  On  January  31,  1907,  a  bill 
to  that  effect  was  introduced  in  the  Senate;  and  while  the  bill  did  not 
accomplish  very  much,  a  more  carefully  prepared  bill  with  an  exten- 
sive report  was  reintroduced  on  March  20,  1909.  C*) 

In  connection  with  the  first  bill  a  report  was  made  in  which  it  was 
argued  that  the  conditions  of  work  on  land  were  so  different  from  the 
conditions  in  the  factory  or  mine  that  a  separate  law  was  preferable  to 
an  amendment  to  the  old  law,  simply  extending  it  to  the  agricultural 
labor.  The  bill  of  1907  (*)  imposed  upon  the  owner  of  the  farm,  who 
managed  it  himself  or  through  a  hired  manager,  or  the  money  or  share 
tenant,  the  duty  to  insure  the  laborers  he  employed  against  industrial 
accidents.  The  insurance  obligation  included  also  the  state,  provin- 
cial, or  communal  government  bodies  owning  agricultural  land.  The 
insurance  was  to  be  effected  either  through  the  existing  insurance  insti- 
tutions or  through  special  voluntary  agricultural  employers'  associa- 
tions, which  might  be  made  compulsory  by  the  minister.  Workmen 
employed  in  tending  agricultural  macldnery  operated  by  mechanical 
power  remained  subject  to  the  old  law.  The  scale  of  compensations 
proposed  was  simple  and  rather  crude:  2,500  lire  ($482.50)  for  death 
or  total  permanent  disabiUty  and  full  wages  for  temporary  disabihty. 
The  bill  also  contained  a  long  fist  of  operations  or  occupations  which 
were  to  be  classified  as  agricultural,  and  this  included:  Plowing, 
sowing,  grass  mowing,  transporting  and  handUng  hay,  reaping  and 
harvesting,  tending  stock,  trimming  trees,  gathering,  transporting, 
and  pressing  grapes,  rearing  silkworms,  gathering  mulberry  leaves, 
fruit  gathering,  tree  planting,  cleaning  of  privies,  sewers,  irrigation 
ditches,  etc.,  butter  and  cheese  making,  and  repairing  of  farm  build- 
ings and  of  agricultural  machinery  and  implements. 

oBollettino  dell'  Ufficio  del  Lavoro,  Vol.  XI,  1909,  pp.  700-744. 
6Bollettino  dell'  Ufficio  del  Lavoro,  Vol.  VII,  1907,  p.  365. 


CHAPTER  VII.—WORKMEn's   INSUBANCE   IN   ITALY.  1805 

During  the  two  years  that  intervened  between  the  introduction  of 
the  first  and  second  bOl  the  question  was  extensively  discussTd  by 
many  agricultural  societies.  In  a  lengthy  report  accompanX  the 
later  bill  many  ca^es  were  cited  of  approval  of  the  mtent  of  th!  S 

details  of  the  bdl.     For  this  reason  these  detaUs  were  conLiderably 
modified  in  the  latter  biU,  which  presents  very  pecuHar  provisions   "^ 
The  bdl  IS  very  broad  in  its  intent.     It  aims  to  include  all  agricul- 
tural labor  hired  for  the  cultivation  of  the  soil,  or  any  suSry 
occupations   necessary  in  farming,  even  if  for  a  few  days  orTou" 
Those  branches  of  agricultural  labor  which  are  covered  by  the  ™i 
accident  insurance  law,  such  as  forestry  work,  tendmg  machinery  hT- 
drauhc  work  levelmg,  road  making,  etc.,  are  left  undisturbed  when 
ShVvTr  .      "  T  f-^r"^^^  ^  independent  occupations.     But 
farm  labor,  they  are  to  be  treated  as  such  ^ 

for^ar'r'Srtw'"^    '^  '^'  ^^"  ''  '^^'  ^'^^^  P^^«  '^^  responsibility 
for  carrying  the  msurance  upon  the  owner  of  the  land,  and  not  upon 

the  pei^on  operating  the  farm  or  estate.     But  while  the  civi?  respC 

Bibihty  IS  mtended  to  rest  entirely  upon  the  owner  of  the  land  tenant 

are  required  to  contribute  one-half  of  the  premium  if  they  rlt  mor^ 

han  4  hectares  (9.9  acres),  and  one-third  if  renting  from  1  to  4  WarS 

(2.5  to  9.9  acres).     Tenants  renting  less  than  1  hectare  (2  5  acr^  a^ 

not  expected  to  contribute  any  share  of  the  premiums.  ^ 

;^\    T^'''''^  ""^  insurance  obtain  even  for  smaU  holdings  culti 
yated  by  the  members  of  the  family,  whether  the  head  o   t"f f a^ 
^tenant  or  propnetor.     In  the  latter  case  the  head  of  the  f  amilyt 
held  responsible  for  the  insurance  obUgation  ^ 

2  S^oSTeTsS^^^^^^^  asinthefirstbiU;  it  requires 

1,000  lire  ($193)  If  smgle.  In  ca^e  of  total  permanent  disabihty  the 
compensation  is  2,500  hre  ($482.50),  whether  single  or  married  For 
temporary  disability  there  is  a  daily  allowance  o1  1  lirT  (^3  cent'? 
or  smgle  persons  and  1.50  lire  (29  cents)  for  married  persons  No 
account  IS  taken  of  differences  in  earning  capacity,  age^tc      WhUe 

thetw  ni  ?'  ^'  ^'''"'  ^™"^"^  disabihty  are'r'efeired To  m 
the  law,  no  scale  of  compensation  is  provided  for  those,  and  no  regu- 

IcddTnt?  %r  T"'"^  '^^  distribution  of  compensation  in  fa^l 
accidents.  Th  s  is  the  more  remarkable,  as  the  existing  Itahan  laws 
are  very  exphcit  concerning  these  problems 

The  modern  Itahan  tendencies  concerning  accident  insurance  are 
seen  m  the  provisions  of  the  biU,  granting  to  the  NationaHcddent 
Insurance  Institution  the  exclusive  right  to  insurance,  except  that 
mutual  associations  may  be  formed;  and  the  minister  ;f  agriculture 


1806 


EEPORT  OF   THE   COMMISSIONER  OF   LABOR. 


li 


is  given  the  right  to  organize  compulsory  mutual  associations  when- 
ever he  may  thmk  any  necessary. 

Perhaps  the  most  novel  features  of  the  bUl  proposed  is  the  method 
of  assessmg  the  cost  of  insurance.     It  is  base.l  not  on  the  number  of 
pereons  employed  or  the  wage  expenses,  but  on  the  acreage  of  the 
and.    A  considerable  advantage  of  simpUcity  may  be  claimed  for 
this  plan.     For  the  purposes  of  each  assessment  the  land  is  divided 
mto  six  classes:  (1)   Irrigated  land;    (2)   dry  land  used  for  grass 
hay  hemp    flax,  vegetables,  and  fruit;  (3)  land  cultivated  for  one- 
third,  and  left  for  grazing  for  two-thirds;  (4)  land  under  extensive 
cultivation  for  vegetables;    (5)  wood  lots;  and   (6)   alpine  pasture 
lands.     It  is  stiU  more  remarkable,  both  in  view  of  the  very  unsatis- 
factory conditions  of  ItaUan  accident  statistics  in  general,  and  sta- 
tistics of  accidents  m  agriculture  in  particular,  that  the  law  under- 
takes to  estabUsh  the  rate  of  accident  insurance  premiums  for  each 
grade  of  land— namely,  1.10  lire  per  hectare  (8.6  cents  per  acre)  for 
land  of  groups  1  and  4,  0.90  lira  per  hectare  (7  cents  per  acre)  for  land 
of  second  group,  0.70  Ura  (5  cents  per  acre)  for  the  third  group,  0.40  Ura 
(3  cents  per  acre)  for  the  wood  lots,  and  0.20  lira  (1.5  cents  per  acre) 
for  the  alpme  pasture  lands.     For  estates  extending  over  20  000 
hectares  (49,420  acres)  these  rates  are  reduced  by  one-third,  and  if 
extending  over  50,000  hectares  (123,550  acres),  by  one-half.     Pro- 
vision IS  made  m  the  bill  for  revision  of  these  rates  after  two  years  of 
experience. 

The  number  of  agricultural  laborers  in  Italy  is  so  much  larger  than 
that  of  mdustnal  employees  that  the  problem  is  one  of  very  great 
importance.  According  to  the  census  of  1901,  persons  employed  in 
agriculture  numbered  over  nine  and  a  half  miUions  as  against  less 
than  4,000,000  employed  in  industry. 

STATISTICS  OF  IHDTTSTBIAl  ACCIDENTS. 

The  prmcipal  statistics  of  industrial  accidents  were  given  in  discuss- 
ing the  general  application  of  the  law  (pages  1 736  to  1 744)  In  addi- 
tion to  the  grand  totals  of  the  number  of  accidents,  detaCed  accident 
statistics  contam  very  important  material  for  the  understanding  not 
only  of  the  problem  of  accident  insurance,  but  also  of  industrial  acci- 
dents in  general.  WhUe  Italian  accident  statistics  are  exceedingly 
fragmentary,  they  nevertheless  contain  much  that  is  valuable  and 
are  therefore  reproduced  here. 

Both  government  institutions  concerned  with  the  problem  of  work- 
men's msurance  have  at  different  times  taken  up  the  question  of 
mdustnal  accident  statistics,  namely,  tlie  Bureau  of  Credit  and  Sav- 
ings Institutions  (Divisione  Credito  e  Previderiza,  at  present  Divi- 
zwne  Gen^ale  del  Credito  e  deUa  Previdenza),  and  the  Bureau  of 
Labor  ( Vfficvo  del  Lavoro),  both  in  the  Ministrv  of  Agriculture  Indus- 


i 


CHAPTEB  VII.-W0BKMEN'8  INSURANCE  IN  ITALY  1807 

SpTe^srh^ii^tTontcir:^^^^^^^^ 

K4renrrse^-?SdTr^^^ 

in  th/analy^SfoUotr^LXn^^^^^^^^^  f^^' 

complete,  includW  57  617  nnf  nf  aT'^an  ^^^^^^^^  ^^  much  more 

by  in'dustries,  caul  rf:,;l:;SSSu  ''  ''Zm  ^'''r 
statistics  have  been  publish;d  by  this  bureT  Tl,  n  ,  ^  ^^"*^^°' 
of  Labor,  organizederriy  in  1904  beg^n  to  mXi/  /'''°  ^"'■"''" 
statistics  in  July  1904  and  altn^r.fif      !    ^^  ^     '"^P"'"*^  ""^  accident 

two  and  one-h Jf  ylat^^'u^'l^trr  I9T  T^^-^^ 
reports  covered  dpHoHq  nf  +i.^^l         L     ^*;^^™^^er,  i\)Ob.     Its  earlier 

year  1905  appealed"  the  sp^ST907T'd  ""  7^°'.*  '"'  '""^  -*- 
the  summerTf  1907  No  oth™«  .  '  **°f  ^"^  ^^^  ^^""^  1^06  in 
when  a  few  data  for  4" t^ tit:  7St.r'\rT.'''  ''''■ 
January,  1910,  the  data  for  Octotr  to  DlX'tsos  ''  TV" 
totals  for  the  six  months-July  to  December   Ss      Tf'  u'° 

unfortunately  these  reports  are  far  from  uniJorm'  S"*.^"™^^"* 
tion  was  begun  on  a  very  large  scale,  but  sl'te^tenl  J  he  :  [" 
sis  was  materially  reduced,  the  renort  fnr-  1 00^1,  ^  ^'^^^^' 

than  for  the  last  sk  month  of  loTa^d  the  d«^  HcT'^  "'"P^^' 
very  little  except  totals,  so  that  no  Very  ^nded  '''  '°°*""'°S 
except  for  the  last  six  months  of  190^  *°*'^'''  '^  P**^^''''« 

sioIXra^ltsSl^tdit^^^^^^^^^  r ^t '^-'  ^'^vi- 

tables  concerning  the  time'h've  bJ^SS  ''''i^T'  ""f-  "'''''' 
are  mainly  those  of  geographical  diS tfth  tie  oZTT' 
enumerated,  and  there  are  also  combinationn?  indus^rv  si  "^ 
age;  mdustry  and  cause;   and  cause,  sex,  and  1  "'        '  ""'* 

sex  S'^ndtTonfr  ZT^T  '"''  "^  ^ '"^^P*^-'  ^™-. 
and  the  reporter  ms  I  li^'tfdL"°-'T^  *""«'  «^  ««« 

graphical  diisions  Z^L^Tefoftir;'''  '''''''''''''''  '^  ^- 

iorVoi  SytSmS  r9S'^;9;5tor ^ ']  tr  ''j.'^'-^'^- 

1908.     Because  of  absence'ci  SaWe  UaS^^^^  *°  ^^^f  ^er, 

in  these  industries    it  Iq  im,,-.: "m     .  persons  employed 


1808 


REPORT  OF   THE   COMMISSIONER  OF  LABOR. 


5.7  per  cent  in  1905,  and  6  per  cent  in  1906.  The  metal-working  in- 
dustry (primarily  iron),  building  and  construction,  mining,  and 
textiles  claimed  the  vast  majority  of  the  industrial  accidents  in  1906, 
over  63  per  cent. 

NUMBER  OF  ACCIDENTS  IN  SPECIFIED  YEARS  BY  INDUSTRIES,  1902  TO  1908. 

[Source:  BoUettino  dl  Notlzle  sul  Credlto  e  suUa  Prevldenza,  August.  1906,  and  BoUettino  ,leU'  Uffiolo  del 

Lavoro,  March  and  June,  1905,  and  March  and  June.  1907.]  ^i"«ui  aei 


Industry. 


Agriculture  and  for- 
estry  

Mining 

Metallurgy 

Bricks,  pottery,  and 
glassware 

Metal  working 

Electric  industry 

Woodworking 

Chemicals,  etc 

Printing  and  paper. . 

Textiles 

Leather  and  other  ani- 
mal products 

Clothing 

Food  products 

Building  and  con- 
struction   

Loading  and  unload- 
ing, lifting,  carry- 
ing, etc 

Railroad  transporta- 
tion   

Transi)ortation  by 
water 

Allothffl' 

Total 


1902. 


July  to  December, 
1904. 


Male. 


460 
^10,947 

1,917 
13,331 
649 
1,327 
2,592 
1,371 
6,580 

728 

783 

2,759 

9,007 


(a) 

(o) 

(a) 
5,166 


57,617 


890 
/5,892 
\1,944 

1.387 
9,943 

546 
1,345 
2,257 

882 
2,516 

396 

521 

2,334 

7,550 


1,551 

3,423 

490 
1,101 


Fe- 
male. 


44,968 


67 
27 
36 

83 

274 

19 

25 

222 

169 

1,668 

43 

138 

83 

38 


1 

11 

6 
59 


Total. 


2,9(59 


957 
5.919 
1,980 

1,470 
10,217 
565 
1,370 
2,479 
1,051 
4,184 

439 

659 

2,417 

7,588 


1,552 

3,434 

496 
1,160 


1905. 


Male. 


Fe- 
male. 


47,937 


,945 

13,646 

6,157 

4,046 
29,731 
1,775 
3,131 
5,537 
2,071 
6,753 

1,199 
1,017 
5,528 

17,300 


4,356 

7,963 

1,229 
4.073 


117,457 


80 
46 
38 

195 

679 

18 

41 

411 

402 

4,224 

80 
359 
184 

82 


8 

38 

10 
291 


Total. 


7,086 


2.025 

13.692 

6,195 

4,241 
30,310 
1,793 
3,172 
6.948 
2,473 
10,977 

1.279 
1,376 
6,712 

17,382 


4,364 

8,001 

1,239 
4,364 


1906. 


Male. 


124.543 


2,328 
[•18,979 

5,635 
47.330 
(°) 
4,941 
9,410 
2,886 
8,806 

i,n6 

1,053 
7,907 

23,129 


3,874 

10,531 

3,635 
4,438 


Fe- 
male. 


156,598 


61 
97 

264 
618 

(«) 
159 
402 
530 
6,569 

182 
293 
589 

114 


33 
15 

1 

46 


Total. 


July 
to  De- 
cem- 
ber, 
1908. 


9,963 


2,379 
19,076 

6,899 

47,948 

{«) 

6,100 

9,812 

3,416 

16,375 

1,898 
1,346 
8,496 

23,243 


8,907 

10,546 

3,636 
4,484 


160,561 


1,120 
6,989 

5,673 
21,389 

(«) 
2,911 
4,911 
1,930 
7,662 

1,213 

826 

5,469 

14,184 


6,431 

8,369 

619 
793 

89,488 


a  Not  separately  reported. 

The  causes  of  accidents  for  1902,  July  to  December,  1904,  and  for 
1905,  are  shown  in  the  following  table.  As  the  data  were  taken  from 
two  distinct  sources,  with  somewhat  different  methods  of  classifying 
causes,  they  are  not  strictly  comparable  for  1 902  and  the  two  later 
periods. 

The  table  shows  that  more  than  half  of  ihe  industrial  accidents 
occurnng  m  1904  and  in  1905  were  caused  by  hmdshdes,  falling  bodies 
striking  against  objects,  and  faUs;  61.22  per  cent  of  the  total  number 
of  accidents  in  1905  being  attributed  to  these  causes. 


CHAPTER  Vn.-W0RKMEN'S  INSURANCE   IN   ITALY. 

CAUSES  OF  ACCIDENTS,  1902.  JULY  TO  DECEMBER,  1904,  AND  1905 
)Uettlno  dl  tJftti,in  „,i  f^^.. ..    _  .    ^yy^,  Ai\u  1905. 


1809 


[Source:  BoUettino  dl  Notkie  sul  Credlto  e  sulla  PmviHo«       a 

Lavoro.lJiSSi?  A^H'iZ^'^S^^^^^^  BoUettino  deU'  Ufficio  del 


Causes  of  accidents, 


Motors 

Power  transmi^ion  "apparatus' 
tostruments  and  tools. . 

Working  machinery       

Elevators,  hoists,  cranes',  etc  ' " 
Boilers  and  steam  fitting 
EjTOlosives... 
Inflammable  substances* " 
incandescent  metals 

^hSfS  ^^•.■*^"o'"-<«ive  ^doti^: 
landslides  and  feUingbodies 
btnkmg  against  fixe(f  or  movable  objects 
l^g^en  movements  of  the  body  .  .... 

Elwtric  condiictoreV. 
Railroad  accidents. 

Navigation 

AU  other. .  


Total. 


are 
such 


o  Not  separately  reported. 

ing  machinery  is  responsible  for  large  numWrT  <.7  ./hus  work- 
metal  working  and  textile  industrSaniudeTand  IntTt^  ''' 
mining  and  metal  working   falls  in  b„iIHi„!      a  ^  ^^'^  "^ 

mines,  etc.  buildmg  and  construction  and 


1810 


REPORT   OF   THE  COMMISSIONER   OF   LABOR. 

NUMBER  OF  ACCIDENTS  IN  1902,  JULY  TO  DECEM 
[Source:    BoUettino  di  Notitie  sul  Credit©  e  sulla  Previdenza,  August.  1906,  and 


Mar- 
ginal 
num- 
ber. 


1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 

14 

15 

16 

17 


18 
19 
20 
21 
22 
23 
24 
25 
26 
27 
28 
29 

30 
31 
32 
33 

34 


35 
36 
37 
38 
39 
40 
41 
42 
43 
44 
45 
46 

47 
48 
49 
50 

51 


Industry. 


Number  of  accidents  caused  by- 


Motors. 


1903. 

Mines  and  metallurgy 

Bricks,  pottery,  and  glassware 

Metal  working 

Chemicals,  etc 

Food  products .* 

Woodworking 

Textiles 

Leather  and  other  animal  products. 

Clothing 

Paper  and  printing 

Building  and  construction 

Cars,  venicles,  etc 

Transportation 

Electrical  industry 

Agricultural  labor , 

AU  other , 


Total. 


JULY  TO  DECEMBER,  1904. 


Mines  and  metallurgy 

Bricks,  pottery,  and  glassware 

Metal  working , 

Chemicals,  etc : . . . 

Food  products 

Woodworking 

Leather  and  other  animal  products. . 

Clothing 

Paper  and  printing 

Building  and  construction 

Loading  and  unloading,  hfting,  carry- 
ing, etc. 
Railroad  and  water  transportation... 

Electrical  industry 

Agriculture  and  forestry 

All  other 


Total. 


1905. 

Mines  and  metallurgy 

Bricks,  pottery,  and  glassware 

Metal  working 

Chemicals,  etc. 

Food  products 

Woodworking 

Textiles 

Leather  and  other  animal  products. . 

Clothing 

Paper  and  printing 

Building  and  construction 

Loading  and  unloading,  lifting,  carry- 
ing, etc. 
Railroad  and  water  transportation... 

Electrical  industry 

Agriculture  and  forestry 

Another 


Total. 


Power 
trans- 
mission 
appara- 
tus. 


8 
5 
41 
11 
41 
3 
22 


2 

7 
29 

2 

30 
14 
32 

1 


248 


16 
2 
58 
8 
21 
10 
19 


2 

9 

16 

2 

77 

13 

16 

4 


273 


29 

7 

135 

35 

52 

10 

83 

2 

11 

25 

29 

6 

51 

33 

7 

9 


524 


26 
22 

155 
23 

105 
33 

271 
15 
27 
46 
14 
13 
4 
7 

42 
3 


Work- 
ing ma- 
chin- 
ery. 


806 


29 
12 

135 
26 
64 
23 

171 

6 

19 

33 

13 


142 
100 
2,484 
171 
500 
547 
3,075 
121 
360 
498 

72 
211 

75 

70 
1'28 

57 


Eleva- 
tors, 
hoists, 
cranes, 
etc. 


216 

10 

178 

27 

34 

4 

31 

1 


Boilers 

and 
steam- 
fittings. 


23 


8,611 


14 
6 

40 
2 


593 


181 

81 

1,607 

166 

817 

318 

1,470 

64 

245 

800 

86 

17 

101 

53 
l(i5 


10 

167 

30 

44 

2 
13 

9 


776 


14 

22 

10 

1 

13 
2 
5 
4 
5 
2 
7 


Explo- 
sives. 


83 
2 
2 

13 


Com- 
busti- 
bles, 
corro- 
sives, 
gases, 
etc. 


117 


41 

2 

87 

11 

13 

4 

17 

2 


5,278 


36 
17 

200 
27 
99 
15 

242 
25 
36 
51 
22 
4 

18 
'9 

36 
9 


369 

189 

3,828 

321 

618 

545 

3,443 

160 

3<-.7 

613 

207 

36 

231 
138 
210 
366 


3 
32 
24 

24 
1 
6 
6 


273 


10 

2 

8 

10 

14 

"9 


62 


20 


183 


17 
4 
3 
1 


83 


846 


all,  642 


119 

5 

156 

22 

17 

4 

11 


2 
10 
39 
35 

36 
3 
5 
9 


35 
2 
2 

20 
3 
1 


12 


8 
2 
46 
10 
11 
4 
29 


473 


11 
2 
5 
3 


94 


6 
10 


50 
1 


140 


174 


477 

233 

1,717 

430 

227 

34 

245 

23 

43 

45 

165 

128 

70 

45 

16 

18 


3,916 


504 

110 

980 

317 

197 

30 

138 

18 

21 

40 

172 

10 

120 
25 
18 

47 


2,747 


1,433 

375 

2,959 

794 

362 

73 

294 

38 

48 

57 

438 

44 

276 
93 
41 

180 


7,505 


o  This  total  is  not  the  correct  sum  of  the  items;  the  figures  are  given  as  shown  in  the  original  rejwrt. 


CHAPTER  Vn.— workmen's  INSURANCE   IN   ITALY. 
BER,  1904,  AND  1905.  BY  INDUSTRY  AND  CAUSE. 
Bollettlno  deU'  Ufficio  del  Lavoro,  March  and  June.  1908,  and  March,  1907.1 


1811 


Number  of  accidents  caused  by— 


« 19. 887 

35 

04. 241 

36 

30,310 

37 

5.948 

38 

5.712 

39 

3.172 

40 

10,977 

41 

1,279 

42 

1.376 

43 

2,473 

44 

17.382 

45 

4,364 

46 

9,240 

47 

1.793 

48 

2.025 

49 

4.364 

50 

3,805  0124.543 


ij 


w  i 


1812 


REPORT   OF   THE   COMMISSIONER  OF  LABOR. 


Information  concerning  the  variations  in  the  number  of  accidents 
by  days  of  the  week  is  available  only  for  the  six  months,  July  to 
December,  1904.  The  actual  number  of  accidents  occurring  during 
each  day  of  the  week  is  shown  by  industrial  groups  in  th(i  following 
table. 

With  the  exception  of  the  small  number  of  accidents  occurring  on 
Sunday,  the  number  of  accidents  for  the  different  days  of  the  week 
appears  to  be  fairly  uniform,  but  shows  a  tendency  to  increase  toward 
the  end  of  the  week.  The  relations  vary  somewhat  from  industry  to 
industry,  probably  due  to  local  conditions  of  the  industry. 

NUMBER   OF  ACCIDENTS,   BY  DAY   OF   THE   WEEK   AND   BY  INDUSTRY,  JULY   TO 

DECEMBER,  1904. 

[Source:  Bollettino  dell'  Ufflcio  del  Lavoro,  March  and  June,  1905.    Data  obtainable  only  for  July  to 

December.] 


Industry. 


Aericultm-e  and  forestry 

MiQlng 

Metal&rgy 

Bricks,  pottery,  and  glassware , 

Metal  working , 

Woodworking , 

Chemicals,  etc , 

Paper  and  printing 

Textiles 

Food  products 

Bulldmg  and  construction 

Loading  and  unloading,  lifting,  carry- 
ing, etc 

Railroad  transportation 

All  other 

Total 


, 

■ 

!^umber  of  accidents  on— 

Sun- 

Mon- 

Tues- 

Wed- 

Thurs- 

Fri- 

Satur- 

day. 

day. 

day. 

nesday. 

day. 

day. 

day. 

68 

147 

135 

124 

145 

159 

179 

238 

872 

915 

1,054 

915 

989 

936 

101 

329 

278 

307 

302 

338 

325 

67 

255 

224 

238 

230 

225 

231 

350 

1,631 

1,613 

1,608 

1,618 

1,673 

1,724 

29 

225 

209 

209 

209 

237 

252 

192 

421 

379 

387 

360 

366 

374 

42 

192 

184 

158 

136 

164 

175 

81 

696 

679 

626 

646 

692 

764 

197 

411 

330 

339 

396 

373 

371 

266 

1,205 

1,248 

1.195 

1,117 

1,276 

1,281 

109 

224 

245 

241 

224 

248 

261 

326 

525 

512 

516 

509 

539 

507 

167 

540 

523 

613 

514 

519 

543 

2,233 

7,673 

7,474 

7,615 

7,321 

7,798 

7,923 

Total. 


957 
5,919 
1,980 
1,470 
10,217 
1,370 
2,479 
1,051 
4,184 
2,417 
7,588 

1,552 
3,434 
3,319 


47,937 


The  number  of  accidents  occurring  on  the  various  days  of  the  week 
are  shown  by  the  principal  causes  in  the  following  table.  The  increase 
of  the  frequency  toward  the  end  of  the  week  is  noticeable  in  nearly 
aU  groups. 

NUMBER  OF  ACCIDENTS,    BY  CAUSES   AND    BY   DAY    OF    THE    WEEK,  JULY   TO 

DECEMBER,  1904. 


[Source:  Bollettino  dell'  Ufficio  del  Lavoro,  March  and  June,  1905. 

December.) 


Data  obtainable  only  for  July  to 


Number  of  accidents  on— 

Causes  of  accidents. 

Sun- 
day. 

Mon- 
day. 

Tues- 
day. 

Wed- 
nesday. 

Thurs- 
day. 

Fri- 
day. 

Satur- 
day. 

Total. 

TnRtmmpnt.s!  and  t/v^In ,  . 

131 

179 

72 

398 

442 
241 
336 
434 

619 

887 

205 

1,461 

1,462 

859 

1,160 

1,030 

582 

809 

186 

1,542 

1,497 
773 

1,099 
986 

565 

833 

219 

1,524 

1,476 

755 

1.123 

1,020 

578 

787 

215 

1,511 

1,449 
720 

1,103 
958 

611 

871 

214 

1,677 

1,553 
803 

1,099 
970 

624 

912 

250 

1,562 

1,555 

803 

1,193 

1,024 

3,710 
6,278 
1,361 
9,665 

9,434 
4,954 
7,113 
6,422 

Working  machinery 

Incandescent  metals 

Landslides  and  falling  bodies 

Striking  against  fixed  or  movable 
objecte 

Sudden  movements  of  the  body 

Falls 

All  other 

Total 

2,233 

7,673 

7,474 

7,615 

7,321 

7,798 

7,923 

47,937 

' 


CHAPTEE  VII.— WORKMEN'S  INSURANCE  IN  ITALY  1813 

be  explained  by  several  oor.iderZioZ:^^Tl.:::;'Zj^ln 
accidents  occurring  during  the  night  hou,^    9  p     '    !«  fiT 
clearly  seen.     This  i<5  PvXi,,^^  u     *u  '       P'      '  *°  "  *•  ^■'  ^ 

night^work.     The  d  ff£cT  '  the  t""^"'*^  '^''^-^-<^y  of 

three  periods,  6  to  9^^  ^  "  ^ t  T^anl  t^^Ts^^  ^'^ 

greater  than  the  first  because  aU  work  doe,  wK  ^  T"^'' 

a.  rn    and  greater  than  the  thi?d  TcitThe  iririS^rf  "  ' 

s^^^e::  t^:t;^^t\e;etdtto^^^^^ 

e.f  ti^n^elL^noT^^^^^^^^ 

period  3  to  6  p.  m.  to  that  of  12  to  3  p  m.  °  St'Xf '''"'''  '"^  *^« 


Industry. 


Number  of  accidents  during— 


Hours  before  12  m. 


12  to  3, 


Agriculture  and  forestry. 


Metallurgy. ..'."." 

Bricks,  pottery,'  and  glas^Ware 

Metal  working 

Woodworking. 

Chemicals,  etc..." 

Paper  and  printinV 

TextUes.... ^ 

Food  products. 

Building  and  construction  " " ' 
L-oadmg  and  unloadmg.  hftl' 

ing,  carrying,  etc.... ^.' 
Kailroad  transportation 
AU  other 


Total. 


15 
78 
23 
22 
72 

3 
38 

7 
52 
35 
68 

14 
54 
33 


3  to  6. 


25 

202 

57 

37 

204 

15 

83 

26 

99 

91 

149 

29 
91 
54 


6  to  9. 


141 
981 
280 
265 

1,456 
207 
353 
117 
672 
350 

1,182 

230 
556 
462 


Hours  after  12  m. 


9  to  12. 


243 

1,857 
568 
445 

2,983 
423 
704 
322 

1,191 
655 

2,332 

494 
898 
962 


12  to  3. 


132 

1,150 

266 

164 

1,388 

209 

360 

174 

525 

347 

1,005 

218 
475 
439 


3  to  6. 


221 

1,115 
523 
380 

2,921 
369 
636 
302 

1,146 
589 

2,076 

406 

777 
877 


6  to  9. 


514  1,162  I  7,252  |l4,077  |  6,852  |li:iii'i:iS 


124 
275 
171 

95 
881 
113 
186 

79 
397 
209 
496 

98 
339 
223 


9  to  12, 


28 

165 

58 

44 

202 

13 

91 

21 

79 

93 

146 

18 

182 

55 


Time 
un- 
known 


TotaL 


28 
96 
34 
18 
110 
18 
28 

23 

48 
134 


957 
5,919 
1,980 
1,470 
10,217 
1,370 
2,479 
1,051 
4,184 
2,417 
7,588 


45       1,552 

62       3,434 

214       3,319 


1,195 


861  ;  47,937 


of  the  fluctuatiorarrL'^asTto^'it^  "'T**  ^*"^"-  ^^^ 
purely  accidental  in  view  of  t^J  explam  and  may  possibly  be 
which  the  table  is  ^ea^  '  comparatively  smaU  numbers  with 


1814 


REPORT  OF  THE  COMMISSIONER  OF  LABOR. 


NUMBER  OF  ACCIDENTS,  BY  CAUSES  AND  BY  HOUR  OF  OCCURRENCE,  JULY  TO 

DECEMBER,  1904. 

[Source:  Bollettino  dell'  Ufficio  del  Lavoro,  March  and  June,  1905.    Data  obtainable  only  for  July  to 

December.] 


Causes  of  accidents. 


Instruments  and  tools 

Working  machinery 

Incandescent  metals 

Landslides  and  falling  bodies. . 

Striking  against  fixed  or  mov- 
able objects 

Sudden  movements  of  the 
body 

Falls 

AU  other 

Total 


^iNfMiiM 


Number  of  accidents  during — 


Hours  before  12  m. 


12  to  3. 


19 

49 

23 

121 

84 

39 
83 
% 


514 


3  to  6. 


105 

52 

235 

239 

97 
197 
168 


1,162 


6  to  9. 


521 

741 

154 

1,475 

1,459 

810 

1,102 

990 


7,252 


9  to  12. 


1,212 

1,600 

302 

2,881 

2,736 

1,599 
2,011 
1,736 


Hours  after  12  m. 


14,077 


681 

1,020 

861 


6,862 


TotaL 


3,710 
5,278 
1,361 
9,665 

9,434 

4,954 
7,113 
6,422 


47,937 


While  both  sexes  show  an  increase  of  accident  frequency  toward 
the  end  of  the  week  and  also  toward  the  close  of  each  working 
period,  this  rise  of  frequency  is  slightly  more  pronounced  in  the  case 
of  the  female  employees  than  in  that  of  the  male  workers. 

NUMBER  OF  ACCIDENTS,  BY  SEJC,  BY  HOUR  OF  OCCURRENCE.  AND  BY  DAY  OF  THlfe 

WEEK,  JULY  TO  DECEMBER,  1904. 

[Source:  Bollettino  dell'  Ufficio  del  Lavoro,  March  and  June,  1905.    Data  obtainable  only  for  July  to 

December.] 

HOUR  OF  OCCURRENCE. 


Number  of  accidents  during — 

Sooc. 

Hours  before  12  m. 

Hours  after  12  m. 

Time 
un- 
known. 

Total. 

12  to  3. 

3  to  6. 

6  to  9. 

9  to  12. 

12  to  3. 

3  to  6. 

6  to  9. 

9  to  12. 

Male 

489 
25 

1,118 
44 

6,803 
449 

13,152 
925 

6,461 
391 

11,510 

828 

3,421 
265 

1,170 
25 

844 
17 

44,968 
2,969 

Female 

Total 

514 

1,162 

7,252 

14,077 

6,852 

12.338 

3,686 

1,195 

861 

47,937 

DAY  OF  THE  WEEK. 


Number  of  accidents  on— 

Sex. 

Sunday. 

Monday. 

Tuesday. 

Wednes- 
day. 

Thurs- 
day. 

Friday. 

Satur- 
day. 

Total. 

Male. .J 

2,187 
46 

7,208 
465 

7,014 
460 

7,036 
479 

6,851 
470 

7,297 
501 

7,375 
648 

44,968 

Female 

2,969 

Total 

2,233 

7,673 

7,474 

7,616 

7,321 

7,798 

7,923 

47,937 

CHAPTEB  VII.— WORKMEN 'S  INSUEANCE  IN  ITALY.  1815 

The  accidents  are  classified  by  the  nature  of  the  injury  for  each 
industrial  group  in  the  table  which  follows,  and  in  the  second  sec- 
tion of  the  same  table  are  shown  the  percentage  relations  which  have 
been  computed  for  each  industry,  on  a  somewhat  less  expanded 
classification  of  injuries.     The  data  are  avaUable  only  for  the  year 
1902.     Wounds,   contusions,  and   fractures   are   classified    together 
because  frequently  such  injuries  are  combined  in  one  casualty   and 
they  constitute  over  nine-tenths  of  all  injuries.     Nearly  44  per'  cent 
of  all  mjuries  affect  the  upper  extremities  and  almost  29  per  cent 
the  fingers  alone,  the  frequency  of  injuries  to  the  fingers  of  the  right 
and  the  left   hand  being  *hnost  equal.     Nearly  one-fourth  of  all 
mjunes  affect  the  lower  extremities,  so  that  the  wounds,  contusions 
and  fractures  of  the  extremities  claim  over  two-thirds  of  all  acci- 
dents.    Injuries  to  the  trunk  are  very  much  less  frequent,  and  are 
mostly  located  in  the  chest.     The  variations  in  the  nature  of  injuries 
ui  the  vanous  mdustries  are  considerable.     The  proportion  of  injuries 
affectmg  the  upper  extremities  rises  to  nearly  three-fourths  in  the 
clothmg  mdustry,  and  is  only  about  one-third  in  building  and  con- 
struction, chemical  industries,  and  the  mines  and  metallumcal  estab- 
lishments, where    accidents    to   lower  extremities   are   much  more 
frequent  than  in  the  clothing  industry.     The  variations  are  nlamly 
hi"du^r        '^'^^'^^'"'^  "^  *^«  "**"■■«  of  operations  necessary  in  each 

A  very  close  relationship  exists  between  the  cause  of  the  accident 
and  the  nature  of  the  injury.  The  accidents  resulting  from  the 
handhng  of  tools  must  necessarily  cause  injuries  very  much  different 
from  those  caused  by  explosives  or  landslides.  This  relationship  is 
shown  in  the  second  table  following  which  gives  the  figures  for  1902- 
basis^^"""     '^*'*'°''  "^  ^^  **"^  summarizes  the  data  on  a  percentage 

Working  machinery  must  frequently  injure  the  upper  extremity, 
and  particularly  the  fingers.  Nearly  two-thirds  of  all  accidenS 
due  to  this  cause  led  to  injuries  of  fingers,  no  very  great  difference 

L  tKr  m'  :'""T  *^  '''"^^''  "^  '°^""«^  ^  *!»«  riglit  hand  and 
to  the  left      Next  in  the  frequency  of  injuries  to  the  fingers  follow 

accidents  due  to  motors,  to  instruments  and  tools,  and  to  poweZ 

transmission  apparatus.     Elevators,  hoists,  cranes,  etc.,  affj^t  the 

throH  T*'"'  f '  *^^*^'  '''''''  -^"^  ^'"'^k  more  frequently  thl 
ti^^B  other  forms  of  machinery.  Boilers  and  combustLs  iLd  to 
bums  and  scalds    while  the  injuries  due  to  explosives  are  fairS 

e "  ?f  ^""^T'  ^"'^  '""^•'^  ""'^  '">l««^i'»g'  Wting.  carrying,  eto. 


-21 


1816 


M 


it 


BEPOBT  OF   THE   COMMISSIONER  OF  LABOR. 
NUMBER  AND  PER  CENT  OF  ACCIDENTS 


FOR  WHICH  BENEFITS  WERE  PAID  BY  THE 
mJMBEB.         f ««»«»••  Bollettino  dJ  Notizle  «ul  Credito 


Nature  of  injury. 


Mines 
and  met- 
allurgy. 


Accidents  in  each  specified  industry. 


Bricks, 
pottery, 
and 
glass- 
ware. 


BURNS,  SCALDS,  ETC. 

|to|e  parts  of  body,not  Includlngeyes 

Several  parts  of  body: 

Not  Including  eyes 

Includlngeyes....; 

The  entire  body  


Total. 


WOUNDS,  CONTUSIONS,  FK  ACTUBES,  ETC 

Right  arm: 

Not  Including  fingers.. 

Including  fingers..  

Fingers  alone..        


Total. 


Left  arm: 

Not  Including  fingers. 
Including  fingers... 
i>  Ingers  alone . . 


Total. 


Both  arms: 

Not  Including  fingers. 
Mudlng  fingers... 
'Ingers  alone.. 


Total. 


Right  or  left  leg: 

Not  Including  toes ,      „  ««, 

Including  toes |      2, 697 

480 


Toes  alone. 
Total. 


Both  legs: 

Not  Including  toes. 
Including  toes. 
Toes  alone.. 


Total. 


Head  and  neck: 

Not  including  eyes 
Includlngeyes. 
Eyes  alone... 


Total. 


Trunk: 

Chest 

Back......: 

Shoulders      

Ribs ...■.'.■.■"■■ 

Abdomen 

Inguinal  region 

Other  parts  of  trunk . 


Total 

Other   parts    and    several    narte 

enumerated  ^"^ 

The  whole  body .".'.'." .".'.".' 

'^tSfesTete.'!!'.!*:°*!^^°°«'  ^'^ 


i 


CHAPTER  VII.— workmen's  INSURANCE  IN  ITALY.  1817 

VARIOUS  INSURANCE  INSTITUTIONS,  BY  NATURE  OF  INJURY  AND  BY  INDUSTRY  1W2. 
e  sulla  Previdenza,  August,  1906.]  ' 

NUMBER. 


i 


i4 


1818 


BEPOET  OF  THE  COMMISSIONEE  OE  I.ABOH. 


NUMBEB-Concluded.  INDUSTRY, 


Both  arms: 

Fingers  alone.... 
All  other 


Tot^  upper  extremities: 
^  ingers  alone. 


Lower  extremities: 
Toes  alone 
AU  other 


Head  and  neck; 
Eyes  alone 
All  other 


Trunk: 
Ch&st 

Abdomen... 
Other  parts.. "J ■■ 

Total 
Otjier  parts  and  several  parts  enumer 


All  other 

Grand  total 


CHAPTER  VII.— workmen's  INSURANCE   IN   ITALY.  1819 

BY  THE   VARIOUS    INSURANCE    INSTITUTIONS     RV   VATtror.    ^ 

1902-Concluded.  omuiiUNS,    BY   NATURE    OF  INJURY  AND   BY 

NUMBER-Concluded. 


Accidents  in  each  specified  industry. 


Leather 
and  other 

animal 
products. 


Clothing. 


Paper 

and 

printing. 


728 


783 


Building 
and  con- 
struc- 
tion. 


Cars,  ve- 
hicles, 
etc. 


1,371 


Trans- 
portation. 


9»007  1,807 


Electrical 
industry. 


Agricul- 
tural 
labor. 


AU 
other. 


2,822 


649 


460 


537 


PER  CENT. 


TotaL 


i 

4 


57,617 


ff 


!  ! 


1820 


REtOKT  OP  THE  COMMISSIONER  OF  LABOB. 


OF  ACCI- 

NUMBER.  fSource:  BoUettino  cU  Notizie  sul  Credlto 


Nature  of  injury. 


BURNS,  SCAIDS,  ETC. 

|ingle  parts  of  body,  not  including  eyes.. 

Several  parts  of  "body: 

Not  including  eyes 

Including  eyes..       

The  entire  bddy     

Total 

WOUNDS,  CONTUSIONS,  FRACTURE 

Right  arm: 

Not  including  fingers 


S,   ETC 


Including  fingers. 
■Fingers  alone. 


Total. 


Left  arm: 

Not  including  fingers 
tocluding  fingers.. 
Fingers  alone... 


Total. 


Both  arms: 

Not  including  fingers. 
Including  fingers.... 
'Jngers  alone.. 


Total. 


Right  or  left  leg: 

Not  including  toes 
Including  toes 
Toes  alone.. 


Total. 


Both  legs: 

Not  including  toes. 
Including  toes... 
Toes  alone :;  ■ 


Total. 


Head  and  neck: 

Not  including  eyes 
Including  eyes.. 
Eyes  alone 


Total. 


Trunk: 

Chest 

Back....  

Shoulders ;:;; 

Ribs 

Abdomen 

Inguinal  region . 
Other  parts  of  trunk' 


Total. 


Accidents  caused  by- 


Motors. 


Power 
trans- 
mission 
appa- 
ratus. 


Working 

ma- 
chinOTy. 


Eleva- 
tors, 
hoists, 
cranes, 
etc. 


Boilers 

and 

steam 

fitting. 


Explo- 
sives. 


9 

29 

7 

45 

18 

38 

5 

17 

4 

16 

5 

38 

7 

17 

55      200 

23 
37 
11 
4 
3 
20 
11 


109 


7 
5 

i 

4' 


==iLl 


OHAPTEE  VII. workmen's  INSURANCE   IN   ITALY.  1821 

D^N^im''^  INSURANCE  INSTITUTIONS.  BY  NATURE  OF  INJURY  AND  BY  CAUSE 

6  sulla  Previdenza,  August,  190G.] 

NUMBER. 


Accidents  caused  by — 


Combus- 
tibles, 
corro- 
sives, 
gases, 

vapors, 
etc. 


Land- 
slides 
and 
falling 
bodies. 


FaUs. 


RaUroad 
acci- 
dents. 


Naviga- 
tion. 


Electric 
conduc- 
tors. 


Instru- 
ments 
and 
tools. 


Loading 

and  tm- 

loading, 

lifting, 

carrying, 

etc. 


Other 
causes. 


Total. 


t 

195 

321 

313 

481 

250 

258 

91 

158 

70 

181 

128 

161 

127 

184 

1,174 

1,744 

73 
111 
43 
15 
8 
54 
18 


322 


193 

1.847 

285 

36 
104 
529 

88 


3,082 


12 
21 
16 
11 
11 
21 
12 


104 


2,873 
926 
338 
396 
960 
470 


6,826 


IT 

!! 

'» 

i 


'ii|B:l 


li 


Nature  of  injury. 


BOUNDS,  CONTUSIONS,  FRACTUKES   ETC 

concluded.  '    '^•~ 


Accidents  caused  by- 


ThewKrC^f;-^'^' parte  enumerated. 
Tow  wounds,  conteion,,  f^etu.^', 


Suffooation. 
Drowning.. 
Poisoning. . . " " 
Other  lesions"" 


Left  upper  extremity; 
Fingers  alone... ^• 
All  other 


Both  arms: 

Fingers  alone 
All  other 


Total 


w  upper  extremity: 
Fngers  alone.... ^.. 
All  other 


Lower  extremities 
1  oes  alone 
All  other..  ■"■ 


Total 

Head  and  neck; 
Eyes  alone 
All  other     


other. . 
Total 


Trunk: 

Chest 

Abdomen 

Other  part^:::;;; 


Total 

Other  parts  and  several  par^'enumerate'd 

Totelwounds,contusions,fracture 

All  other.. 



Grand  total 
. .- 


CHAPTEB  VII.— WOKKMEN 'S  INSURANCE  IN  ITALY.  1823 

I^telir  ''''"''"''''"  INSTITtmONS,  BV  NXT.BK  Or  imuKV  AND  By  CAHSE 

NUMBEB— Concluded. 


Combus- 
tibles, 
corro- 
sives, 
gases, 

vapors, 
etc. 


Land- 
slides 
and 
falling 
bodies. 


12 


Accidents  caused  by — 


Falls. 


Railroad 
acci- 
dents. 


857 
8 


3,916 


18,329 


1,150 
9 


9,901 


Naviga- 
tion. 


Electric 
conduc- 
tors. 


Instru- 
ments 
and 
tods. 


40 


1  I 


18,344 


9,916 


40 


26 


Loading 
and  un- 
loading, 
lifting, 
carrying, 
etc. 


Other 
causes. 


44 


81 
1 


6,027 


262 
1 


Total. 


86 
3 


7,118 


2,681 
37 


6,028 


7,119 


1,454 

i 

2 


1,463 


53,484 

4 
f 

4 


57,617 


PER  CENT. 


1824 


REPORT  OF   THE   COMMISSIONER  OF   LABOR. 


i 


i; 


n 


The  results  of  injuries  are  classified  in  three  groups,  death    per- 
manent disability,   and  temporary  disability.     Combii'ied  data  for 
four  years,  1899  to  1902,  published  by  the  National  Accident  In- 
surance Institution,  have  been  used  because  they  afford  the  advan- 
tage of  larger  numbers,  from  which  the  conclusions  are  somewhat 
more   trustworthy  than   from   other   available  data.     These  data 
are    presented   in    connection   with    the    study  of    the   operationn 
of  the  national  institution.     A  little  more  than  1  per  cent  of  the 
accidents  prove  fatal,  a  little  over  4  per  cent  lead  to  permanent 
d^ability,  and  nearly   95   per  cent  to   temporary  disability  only 
The   variations   between    industrial    groups    are   important.     The 
highest  rate  of  fatal  accidents  is  found  in  agriculture,   1.69  per 
cent  of  all  accidents  resulting  in  death;  in  minmg  1.68  per  cent  of 
all  accidents  resulted  fataUy,  and  in  building  and  construction  1  44 
per  cent.     The  high  fatality  rate  of  agricultural  accidents  is  due 
mamly  to  the  fact  that  in  this  industry  only  persons  tending  machin- 
ery are  covered  by  the  compulsory  accident  insurance  law.     Besides 
the  reporting  of  minor  accidents  m  agriculture  is  probably  not  so 
efficient  as  in  other  industries.     The  lowest  fatality  rates  are  found 
m  clothmg,  paper  and  printing,  brick,  earthen  and  glass  ware,  machin- 
ery, metal  working,  and  textiles.     For  four  years  there  was  not  one 
fatal  accident  m  the  clothing  mdustry,  and  only  one  in  the  paper 
and  printing  industries  combined. 

A  more  careful  analysis  of  the  results  of  industrial  accidents  is 
possible  for  1902.  The  tables  which  follow  not  only  divide  the 
accidents  into  fatal  ones  and  those  leading  to  temporary  disability 
partial  permanent  disability,  and  total  j^ermanent  disability  but 
indicate  for  the  cases  of  temporary  disability  the  duration  of 'such 
disabihty,  and  for  cases  of  partial  permanent  disability,  the  degree  of 
disabihty  m  percentages.  Out  of  57,617  accidents,  54,439,  or  94  5 
per  cent,  resulted  in  temporary  disability  only,  and  2,716  or  4  7 
per  cent  in  permanent,  but  only  partial  disabihty,  leaving  only  0  8 
of  1  per  cent  for  the  fatal  cases  and  total  permanent  disabilitv  cases 
combined.  *^ 

Of  the  cases  of  temporary  disability,  the  vast  majority  lasted  a 
very  short  time  only.  Accidents  causing  disabihty  of  less  than  six 
days  are  not  considered.  Of  the  total  of  57,617  accidents  27  666 
or  48  per  cent,  caused  disability  for  only  six  to  fifteen  dkys  'and 
17,149,  or  29.8  per  cent,  disability  for  sixteen  to  thirty  days,  so  that 
m  77.8  per  cent  of  the  cases  considered  the  disability  did  not  last 
over  thirty  days,  and  in  7,356  cases,  or  12.8  per  cent,  from  thirty- 
one  to  sixty  days. 

Even  when  permanent  disabUity  results  from  the  a<;cidents,  the 
reduction  of  eammg  power  is  very  small  in  the  majority  of  cases. 


CHAPTER  VII.— workmen's  INSURANCE  IN  ITALY.  1825 

^U^\^'Ju^  ""^^."^  permanent  disability,  in  1,157,  or  over  two- 

f^^:  ctacTv'of'th'"*"^!^  ^'^^  '  *"' °  P-  -'^^  ^'^^^  ot^ 
eammg  capacity  of  the  mjured,  and  in  576,  or  a  little  more  than 

one-fifth,  from  11  to  20  per  cent  of  the  earning  capacity  Zth^tZ 
more  than  three-fifths  of  all  the  cases  of  permanent  Mty^uct 
disabibty  does  not  exceed  20  per  cent.  The  tables  show  t^e  result 
llu'"""  '"  ^^"'^  ^'"^'"^  ^-"P -d  -1-  for  each    auTS 


!  1 


1826 


REPORT  OF   THE   COMMISSIONER  OF  LABOR. 


RESULTS  OF  INJURIES,  BY 
(Source:  BoUettino  dl  Notizle  sul  Credlto 


CHAPTER  Vn.— workmen's  INSURANCE  IN   ITALY.  1827 


Cause  of  accident. 


Motors 

Power-transmission  apparatus. 

Working  machinery 

Elevators,  hoists,  cranes,  etc.  .*. 
Boilers  and  steamfitting...  . 
Explosives [[ 

Combustibles,  corrosives,  easeis. 
etc 

Landslides  and  feuing"  bodies". '..': 

Railroad  accidents * " 

Navigation .*.'."" 

Electric  conductors 

Instruments  and  tools 

Loading  and  unloading,  lifting," 

carrying,  etc „ . . 

Othercauses 


CAUSE  OF  ACCIDENT,  1902. 
e  sulla  Previdenza,  August,  1906.J 


Accidents  causing  temporary  disability  which  lasted- 


6to 

10 

days. 


11  to 
-  15 
days. 


Total. 


53 

155 

1,836 

151 

34 

11 

918 

4,889 

2,478 

9 

1 

8 

1,882 

1,714 
449 


14,588 


47 

179 

1,940 

159 

29 

22 

859 

4,201 

2,123 

9 


16  to 

20 
days. 


5 
1,583 

1,607 
315 


13,078 


28 
94 
1,192 
127 
15 
14 

637 

2,735 

1,454 

3 


21  to 

30 
days. 


4 
886 

1,063 
190 


47 

133 

1,345 

146 

18 


683 

2,756 

1,417 

6 

1 

4 

8U3 

1,118 
205 


31  to 

60 
days. 


61  to 

90 
d&ys. 


8,442       8,707 


37 

112 

1,183 

112 

11 

28 

580 

2,245 

1,359 

6 

4 

6 

527 

984 

162 


7,356 


8 

21 

168 

20 

2 

9 

74 

377 

335 

3 

..... 

83 

166 
27 


91  to 

181) 

days. 


Ovar 

180 

days. 


4 
23 
69 

6 


1,294 


6 

32 
235 

210 


1 
29 

119 

20 

757 


4 

24 
2 


Total. 


11 

73 
56 


35 
3 


217 


224 
721 
7,757 
724 
109 
120 

3,795 

17,510 

9,432 

35 

6 

29 

5,800 

6,806 
1,371 


54,439 


RESULTS  OF  INJURIES,  BY 
[Source:  BoUettino  di  N<itizie  sul  Credit© 


Industrial  group. 


Accidents  causing  temporary  disability  which  lasted— 


6to 

10 

days. 


Mines  and  metallurgy 

Brick,  pottery,  and  glassware.".' 

Metal  working 

Chemicals,  etc 

Food  products 

Woodworking 

Textiles !!!".!!!!!!!! 

Leather  and  other  animal  prod- 
ucts  

Clothing .".*.'.'!.".'!.".'.' 

Paper  and  printing 

Building  and  construction.'.'.*." 

Cars,  vehicles,  etc 

Transportation 

Electrical  industry 

Agricultural  labor 

Other  industries 


Total. 


2,013 
594 

4,211 
856 
670 
222 

1,455 

264 
228 
388 

1,668 
626 

1,015 

198 

50 

130 


11  to 

15 
days. 


14,588 


2,434 
455 

3,U63 
639 
597 
287 

1,545 

155 
212 
325 
1,971 
394 
625 
148 
90 
138 


16  to 

20 
days. 


13,078 


1,805 
284 

1,841 
343 
392 
206 
978 

81 

118 

173 

1,398 

219 

367 

79 

69 

89 


21  to 

30 
days. 


1,871 
247 

1,871 
31H 
44<l 
21(1 

1,080 

100 
92 

18() 
1,502 

198 

318 
81 
90 
77 


31  to 

60 
days. 


8,442  I    8,707 


1,648 
189 

1,445 
272 
362 
181 
875 

77 

92 

159 

1,331 

192 

303 

83 

87 

60 


61  to 

90 
days. 


7,356 


313 
38 

213 
42 
63 
35 

136 

9 
10 
27 
284 
28 
51 
9 
22 
14 


91  to 

180 
days. 


2tl 
19 
97 
26 
29 
14 
74 

8 
4 

17 

185 

19 

27 

6 
15 

6 


Over 

180 

days. 


Total. 


57 
9 

23 
9 

13 
5 

22 


2 
55 

8 
10 

1 

3 


1,294 


757 


217 


10,352 
1,835 

12,764 
2,505 
2,566 
1,186 
6,166 

694 

756 

1,277 

8,394 

1,684 

2,716 

605 

426 

514 


54,439 


Accidents  causing  partial  permanent  disability,  with  reduction  of 

earmng  power  of— 


Ito 
4  per 
cent. 


5  to 
10  per 
cent. 


11  to 

20  i)er 

cent. 


9 

21 

434 

23 

1 


14 

240 

88 

1 

"2" 

86 

194 
38 


21  to 

30  per 

cent. 


1,157 


5 
10 
195 
6 
2 
8 

28 

148 

68 


1 

49 

44 
12 


31  to 
40  per 
cent. 


576 


3 
13 
70 
3 
1 
8 

16 
98 
50 


37 

16 
6 


330 


3 
8 

41 
2 
1 

10 

14 

129 

43 


40 

15 
12 


41  to 

50  per 
cent. 


1 

6 

24 

4 


8 

3 
31 
38 


51  to 
60  per 
cent. 


61  to 
70  per 
cent. 


71  to 
80  per 
cent. 


5 

17 

3 


318 


2 
11 
19 

1 

"i 
2 


1 

28 


130 


1 

4 

2 
12 
21 


Total. 


Acddents 
causing — 


Total 
perma- 
nent 
dis- 
ability. 


1 

8 

23 

2 


63 


74 


3 

8 

10 


62 


22 
73 
833 
44 
6 
46 

82 

679 

347 

2 

'4' 

222 

283 
73 


Death. 


Total 
acci- 
dents. 


1 
4 

4 
5 
8 


2,716 


INDUSTRIAL  GROUPS,  1902. 
e  sulla  Prevldenza,  August,  1906.] 


4 
5 

32 


2 

11 

21 

8 

1 

13 

35 

150 

129 

3 

... 

6 

26 
14 


430 


248 

806 
8.611 
776 
117 
183 

3,916 

18,344 

9,916 

40 

6 

44 

6,028 

7,119 
1,463 


57,617 


Accident  causing  P-«^nn^ent  mgbmty.  with  «daoti„n  ., 


Accidents 
causing— 


Total 
acci- 
dents. 


10.947 
1.917 

13,331 
2,592 
2,759 
1.327 
6,580 


1828 


EEPORT  OF  THE  COMMISSIONER  OF  LABOR. 
SICKNESS  INSURANCE. 


In  the  field  of  sickness  insurance  much  less  has  been  accomplished 
than  in  the  fields  of  insurance  against  accidents  and  old  age  and 
invalidity;  and  this  is  especially  true,  when  the  efforts  of  the  Govern- 
ment are  considered.  There  is  no  obligatory  insurance  against 
sickness,  nor  has  the  State  adopted  any  active  measures  to  stimulate 
voluntary  insurance,  as  it  has  done  in  regard  to  accident  insurance 
and  old-age  and  invalidity  insurance. 

The  legislative  interference  with  the  private  efforts  toward  sickness 
insurance  are  as  yet  limited  to  the  regulative  law  of  April  15,  1886, 
which  aims  only  to  regulate  the  mutual  benefit  societies. 

Moreover,  it  is  not  quite  accurate  to  speak  of  these  mutual  benefit 
societies  as  a  system  of  insurance  of  workmen  against  sic^kness,  for 
they  are  not  limited  either  to  wage-workers  or  to  the  one  form  of 
insurance — that  against  sickness.  Howevt^r,  wage- workers  do  con- 
stitute a  great  majority  of  their  membership,  and  while  many  forms 
of  benefits  and  assistance  are  furnished  by  some  of  these  societies, 
sickness  insurance  or  at  least  benefits  in  cases  of  sickness,  as  a  matter 
of  fact,  do  represent  the  most  frequent  and  most  important  form  of 
insurance,  and  it  is  therefore  most  convenient  to  speak  of  the  opera- 
tions of  these  organizations  under  the  caption  of  ''sickness  insunmce." 

HISTORY. 

Some  mutual  benefit  societies  of  Italian  workmen  date  back  into 
the  eighteenth  century,  and  owe  their  origin  to  the  old  trade  guilds, 
but  only  during  the  last  40  years,  or  since  the  unification  of  Italy, 
has  any  general  movement  toward  the  establishment  of  mutual  bene- 
fit societies  manifested  itself.  The  statistical  account  of  these  societies 
given  elsewhere  shows  that  in  1862  only  443  of  these  societies  were 
enumerated;  in  1873,  1,447;  in  1878,  2,091,  and  by  1885  they  had 
increased  to  4,900.  In  the  beginning  these  societies  were  organized 
very  informally.  They  had  no  legal  standing  and  therefore  could 
not  own  any  property.  In  their  development  serious  difficulties  soon 
appeared,  as  was  the  experience  in  all  countries  where  mutual  benefit 
societies  were  developing.  Aside  from  occasional  fraud  and  abuses, 
most  such  societies  came  to  grief  because  of  the  entire  absence  of  an 
actuarial  basis  for  their  operation  and  lack  of  executive  ability  and 
famiharity  with  the  problem,  which  made  these  associations  offer 
much  greater  benefits  than  they  were  able  to  meet.  These  difficulties 
were  especially  great  for  the  associations  wliich  endeavored  to  grant 
old-age  and  invahdity  benefits.  Few  of  the  associations  kept  the 
accounts  of  different  forms  of  benefits  separated  and  because  of  faulty 
bookkeeping  they  were  not  aware  of  their  financial  difficulties. 

The  necessity  of  some  legal  regulation  of  these  societies  soon 
became  quite  evident,  both  to  the  Government  and  to  the  societies. 


CHAPTER  VII.-W0RKMEN'S  INSURANCE   IN   ITALY.  1829 

but   it  was  felt   that   a  collan^P  nf   i^  u  ^^  ^^^egate, 

have  a  very  detri^entaLSp^o^^hTs^^ii-tbranrir  ^""'' 
ative  spirit  of  the  Italian  workmen.  ^  ^"""P^'- 

On  the  other  hand   the  Iflrt  r^f  i.w,«i     *     j- 
drawback  and  impediment  to  tL  L^  °*^°^  P'''^^**  »  ««ri«"« 

were  anxious  trextt^d  thet  1        T  '"u"^'''"  «««ociations,  which 
of  their  proper  "y-holdwt^^^^  'T" !!  '*  f'^^^^  *»»«- 

associations  applied  tofhe  O^.     ^'"f  f"*'^'  therefore,  individual 

decree,  but  ^tl\::Zr''Z:ZVLZ7ril  '^  '''''' 
or  at  least  of  confidencp   f ha  rT  ^^^^^^Wy  a  mark  of  approval 

study  the  financtf  T2;*o    ^rrraioTber'  ''  ""^^"^^  '« 
requests.     The  results  were  Jm^ZTr      %a  f**"*™*^  '"^l* 

to  the  Senate  of  April  ^188^  ™*^!^^^"'»»W'  stated  in  his  report 

out  of  100  assoltZ  r;q2i^tcr  n"  ''''  '^"^  l''^  P^^^^^' 
only  20  were  granted^hirrejutf  ''»«°^*>'--t«>'»  by  royal  decree 

GoLnment  and   nViXHlt'"''  '  'Z^  '"^'^^  ''^  *^« 
on  .une  0,  ..,  by  the  ^^^^  T^^.:,  ^IZ^Z'::^ 

"Setrrsr  Td~^  -Sctiirn:^  -'  '-^ 

(incoiSoL'ruiie^s  Te  sol^rJj  *'^  'r«*^  '^^  "recognition" 
actuarial  science.  In  Sscusslf  tt  T?  ^'^  ''''  ^'^^''^^  "^ 
number  of  representatives  of  ^^  ^'^^''''Jf  t'°°  ^^^^^  by  a  certain 
lead  to  an  exLre  iSel'e  "^^^^^^^  ^°^'^*'^^  *^**  *^  -8^^* 
tions  of  such  voluntary  orgSzItLns  th«  ''°?'"'  "^'^  *^"  °P«^»- 
such  danger  was  purely Srin«!v'  '"'*^'  ^"^^  «»*  t^at 

to  be  an  entirely  volunlatv^tr^;  «»nce  incorporation  was  intended 
the  society  itself"^  and  no  orSni!!?  ^""*^^,  ""^y  "P^^^  application  of 
other  hand  the  ministeTdS  'h  7  ""^  ^"'"■^'^  "^  "PP'^"     On  the 

the  consultative  comm^^itTafthe?"^^''''""'  ^^^"^  '"'^''^^^'^  ^^ 
hm.ted  only  to  conditions  of  the  !  'T'^''^'^''  ^^^  recognition  be 
-— -— .!^!lll_^teformalw^ization  of  the  society 


1830 


REPORT  OF  THE  COMMISSIONER  OF  LABOR. 


!     i 


i» 


without  regard  to  the  actuarial  basis.  Such  conditions  would  not,  in 
his  opinion,  give  any  guarantee  of  security,  and  it  would  not  be 
proper  for  the  Government  to  grant  the  natural  support  of  its 
recognition  to  any  institution  whose  setmrity  was  not  guaranteed  in 

any  way. 

The  bill  of  1877  was  prepared  in  accordance  with  these  principles. 
It  proposed  the  organization  of  a  central  commission  of  mutual 
benefit  societies  to  which  any  such  society  might  apply  for  a  "recog- 
nition," presenting  complete  accounts  of  its  financial  standing.     In 
accordance  with  the  broad  conception  of  these  societies  as  insurance 
institutions,  not  only  sickness  insurance  but  also  old-age  pensions, 
widows  and  orphans'  pensions,  forms  of  insurance  which  evidently 
required  very  strict  adherence  to  actuarial  principles,  were  to  be 
permitted.     In  addition  the  societies   were  permitted   to  conduct 
educational  work  or  engage  in  cooperative  enterprises,  such  being 
the  custom  in  a  great  many  cases.     For  each  form  of  insurance  the 
society  was  required   to  keep  a  separate  account  and   to  demand 
separate  contributions.     A  minimum  number  of  insured  was  required, 
500  for  sickness  insurance  and  200  for  old-age  and  life  insurance. 
The  nature  of  the  constitution  of  the  society  and  the  method  of 
investment  were  also  regulated,  but  the  most  important  provision 
was  that  permitting  the  recognition  of  only  such  societies  as  fur- 
nished evidences  of  a  satisfactory  relation  between  the  obligations 
assumed  and  the  means  at  their  disposal.     It  was  explained  in  the 
memorial  that  in  order  to  obtain  this  satisfactory  actuarial  basis  the 
recognized  societies  would  have  to  avail  themselves  of  mortaUty  and 
sickness  tables  based  as  far  as  possible  upon  Itahan  data  and  also 
upon  foreign  statistics,  which  tables  might  be  prepared  by  the  com- 
mission which  was  to  include  legal,  mathematical,  and  insurance 
experts.     Recognized  societies  were  to  remain  under  the  supervision 
of  the  Ministry  of  Agriculture,  Industry,  and   Commerce  and   the 
commission.     The  ministry  could  accordingly  order  an  investigation 
at  any  time  and  cancel  its  recognition  if  the  accounts  proved  unsatis- 
factory.    In  recognition  of  compHance  with  these  stiingent  require- 
ments of  the  law  the  incorporated  societies  would  accjuire,  in  addi- 
tion to  the  rights  of  legal  persons,  also  other  privileges,  such  as  exemp- 
tion from  certain  taxes,  not  only  of  the  society  as  such,  but  also  of 
the  benefits  paid  to  its  members,  and  pubUcation  of  its  reports  in 
certain  official  journals  at  the  expense  of  the  ministry. 

This  legislative  project  was  prepared  by  the  consultative  commis- 
sion for  labor  and  savings  institutions  after  a  study  of  the  legislation 
of  France^  Belgium,  Great  Britain,  and  Germany. 

This  bill  did  not  meet  with  the  universal  approval  of  the  societies 
interested.     The  requirements  for  incorporation  were  considered  too 


CHAPTER  VII.— WORKMEN'S   INSURANCE   IN   ITALY  1831 

On  June  11,  1880,  the  new  minister  of  agriculture   inH.,=f 
commerce  introduced  a  new  bill  in  th«  Sp^^^!      u     •?**"^*'7,  and 
the  reauirement^.  nf  ih^    u  uii  Senate.    He  admitted  that 

hand  d1~Jthe  n£,%  ^k"  ^"'■^  *««  '''^^^^'  but  on  the  other 
foritasTnSX'exJ:^^^^^^^^^^^ 
considered  essential:  mThe^Ltd^fv'™^/"?"'^^^^^     ^«'« 

-iet,;  (3)  a  due  vZntx:::fz'^^^jL:^: ::r.is:. 

(3)  a  certam  minimum  number  of  members-  and  Z  T^  *^^^^^' 

of  the  earlier  hill  tL  \  •  "»<''"aed  aU  the  essential  features 
me  earner  bill.  The  most  unportant  diflferences  werA  th.t  fiT 
appbcation  was  to  be  mad*,  tr.  tL  i  i  •  ..  .  ^^^  ^^'^^  t^a*  the 
incoiporationwastobe^rSredbwhi^'  i!n  r"^  authorities  and 
of  the  society  was  to  be  iTvestwi  K    '  ""^"^^  t^e^ctuarial  standing 

from  local  P^ofesL^^'ormTaS^  ^^^at^^^^^^^^^ 
mission  for  the  rontrni  «f  tu^  v.„    cj.       •    .  *  central  com- 

lui  luo  control  ot  the  benefit  societies  was  nrpqAm^fl^   k..^   * 

composition  was  made  fully  reDre<!Pn««t,Vp     ♦T^^^      , '  **"* '*^ 
three  members  annointpH  K^  representative— that  is,  m  addition  to 

three  by  the  ChTmber  of  Z^J     ^T""'  '^'"^  ^^  '^^  ^^^^'  ^^^ 
selectedVthe  soltL  («^^^  *'"^  "^"-^  *«  »-  ^^  -«-bei. 

The  bill  was  somewhat  amended  in  ih^  q^     *         i     . 
discussion  was  passed  with  snStl^ZnTZZ\^'lL\  """"I 
presented  to  the  Chamber  of  Deputies  on  March  8  iS      Th„    '  *'!'* 
bill  was  referred  to  a  nflr]i«TYi^r.f  ^>Aaicu  o,  i«»i.     n^e  senate 

report  on  Decem^r  irSi*  nT  ?°°»^'<'''.  .^^ich  brought  in  its 

as  proposed  byti  comm£C     ^  ^^^^^  *'''^''  ""  '"^ 
text  of  the  senate  hill   ihl  •  VVhUe  adhermg  somewhat  to  the 

riaily  changrS tt" ir,1Z;;\1  the^l^rVh^-^^^  "^^-^ 

foreign  law;  wareSir:^  adaS  to'th  ^  '^'^'f  '''''  '^'"^^  ''  '^^ 
Italian  workmen  that  the  Z,f  f**,  ^  ^^'^^  requirements  of  the 
usefulif  left  todeVelon  *„f  n  .^T^*  ^""'^^'^  ^«"ld  be  more 
receive  the  benefils  of  bcolt^'r'  *t*  *'^^  ^'^""'**  "^  -«««d  to 
to  any  governmentafreSrrXr'^t  ""! .'"'^J'^*^  themselres 
project  of  the  parliamTntai^  1  *  -  ^"^  *^^  *'"'^"°  '^^-  The 
-77^7—- LJ!!^!^^  commission,  therefore,  excluded  aU 

niayo  1881.  "*'  """"t"*  e  commerc.o  (MiceU),  nella  tomato  deU'  8 

67725°-voi,  2-U— 22 


1832 


BEPORT   OF   THE   COMMISSIONER   OF  LABOR. 


I 


reference  to  the  organization  of  a  central  commission  of  mutual 
benefit  societies,  the  requirements  of  a  due  proportion  between 
dues  and  benefits,  the  separation  of  the  separate  forms  of  benefits 
and  their  accounts,  the  demand  for  a  minimum  number  of  members, 
and  the  method  of  investment  of  the  funds.  It  also  excluded  pen- 
sions for  widows  and  orphans  from  the  list  of  permissible  benefits, 
feeling  that  that  function  required  a  stricter  adherence  to  insurance 
principles  than  was  desirable  to  exact  from  the  mutual  benefit 
societies.  The  bill,  as  amended,  simply  contained  provisions  for 
incorporation  of  mutual  benefit  societies  by  local  judicial  authorities, 
with  very  few  provisions  for  control  of  such  societies.  This  proposal 
of  the  parliamentary  commission  never  came  up  for  discussion  in 

the  House. 

The  principles   enunciated   in   the  report  of   the  parUamentary 
commission  were,  however,  embodied  in  the  next  project  of  a  law 
concerning  mutual  benefit  societies,  introduced  in  the  Chamber  of 
Deputies  on  June  21,  1883.     The  bill  was  referred  to  a  new  com- 
mittee, which  brought  in  its  report  on  February  19,  1884,  introducing  a 
few  minor  changes.     The  consideration  of  the  bill  was  delayed  another 
two  years,  and  the  bill  was  finally  passed  in  the  Chamber  of  Deputies 
on  April  8,  1886,  introduced  in  the  Senate  on  the  next  day,  reported 
by  the  committee  on  April  10, 1886,  passed  and  became  a  law  on  April 
15,  1886.     This  rapid  enactment  of  the  law  after  a  discussion  of  ten 
years  seems  to  have  been  influenced  by  a  decided  change  in  pubUc 
opinion  and-in  its  opposition  to  some  regulation  of  the  operations  of 
the  mutual  benefit  societies,  while  on  the  other  hand  the  Government 
has  finally  adjusted  the  law  to  the  demands  of  the  opposition  and  has 
abandoned  the  effort  to  introduce  a  system  of  careful  (control  of  the 
financial  and  actuarial  status  of  the  recognized  societies. 

PROVISIONS  OF  THE  LAW  OF  APRIL  16,  1886. 

The  law  concerning  the  incorporation  of  mutual  benefit  societies, 
approved  on  April  15,  1886,  states  the  requirements  with  which  a 
mutual  benefit  society  must  comply  in  order  to  be  granted  such 
recognition  or  incorporation,  the  degree  of  control  exercised  subse- 
quently by  the  Government  over  such  recognized  societies,  and  the 
benefits  derived  by  such  societies  from  this  recognition. 

The  law  applies  to  all  mutual  benefit  societies  witliout  considera- 
tion of  the  occupation  or  economic  standing  of  its  mtjmbership,  pro- 
vided they  aim  at  one  or  more  of  the  following  objects:  To  assist  tlieir 
members  in  case  of  illness,  working  disabihty,  or  old  age,  or  to  come 
to  the  assistance  of  the  families  of  deceased  members.  The  law  care- 
fully avoids  the  word  ''pensions''  and  in  a  subsequent  circular  of 
July  2,  1886,  the  minister  of  agriculture,  industry,  and  commerce 


CHAPTER  VII.-WORKMEN'S  INSURANCE   IN   ITALY  1833 

The  requirements  for  incorporation  contfti-np<1  ;„  *k  i 
manly  constitutional.  The  c^nstitutiorof  thf so'et  ^  '"  T 
admission  must  define  the  foUowin.,  Thl  \  ^  ^  aPPlymg  for 
society;  its  objects  and  aims  c^ndS;  f  a  ^"*^1"»rters  of  the 
of  membei.;  Jheir  obliga^l^a^d  "Ttl  JheTeX  T^  ^ ^'^"^"^ 
tures  and  investment  of  the  properW  and  Ihl  /  "^  ^^P^'^'^'" 

conditions  of  a  quorum-  of  Sf  /  ^  guarantees  required; 
adopted;  the  requTremeni  of  IZ  ^  ^  •**^  '''''*'"'^^  ^^^  resolutions 
of  the  executiXZSe  J^d  oMhTTd^  *"  *''  '''''''''  '"^^^^S' 
mittee;  the  method  ^f  oJl^ation  of  th*?  "^  "  '""^'^o^'  «>°>- 
functions;  the  mode  of  reXTtZn  of  t  *'<?'°'"'"r  *"***  '^^ 
and  other  outside  partiet  ThT!.  T*^  ^^  ^"^*-^  ^^^'"''^  ^^^  «»"rt 
up  of  the  affait  of  tTet'i^ty  or To'r'^^""  i?'^  T'^""^  ''''  ^^^"^^ 
the  proper  consideration  of  fh^fi^  ^-^  ^^^  constitution,  mth 
unde'l.tLd  trtthe trst"  utln^!?  requirements  of  the  law.  It  is 
to  the  law.     The  IctuTl  con  .?.     7.T'  *'*"'**'''  '"'^^^S  contrary 

the  discretion  of  the  lciety?tsllf    h  Z^'  r'*'*"*'""^  ^^  *»»"«  1«^*  ^ 
ments  which  must  ^Z^   .h    '  *^^  '*^  "^""^"^  *  ^^^  require- 

societies.  ^^'™  **""  operations  of  the  mutual  benefit 

First,  in  addition  to  the  main  obiects   thn  f^^      t       .     . 
ance  enumerated  above  th^  r»!^  objects,  the  forms  of  mutual  assist- 

the  following  aclivitir'  CoJ^ZT"  I'^"'^''  '""^  "°*^^^*»'^«  ^^^J 
bers  and  thfir  fammeT  ^sZZTfl  *''"''\*'*>'^^1  -«rk  among  mem- 
trade,  and  other  functiorSitutionTfr  "'''"^''T^  *-^«  «^ 
provement.     No  exnendit,.™!  "^^*'*"*'<»>s /<>r  savmg  and  social  im- 

than  those  specmed'^above  Tr  tTIv    Tk*"'  ''''  ^'^^  "'''''^  P"P«^ 
Second,  if  a  society  recetv^,  it      •^^''  ^^^  '^'^  ""^  administration. 

permanent  object,lieTgaetf  rd"  'r*""^  '''  "  ^'^"^  ^^ 
rately  and  the  re;enue  derived  frl  "Jr  '°"'  ""f '  ^'  ^'P'  ««?*- 
with  the  wishes  of  thrdonor  ^''P^'''^*'^  '"^  accordance 

locaffvtrr^lrtSredto  r  -  T  ''-'  '^"^^  •'^  -^«  to  ^^^ 
constitution  certified  by  a^otartn  ^PPl*''**?'"'.  •«"«*  be  a  copy  of  the 

mg  the  rights  of  legal  pers^ns^  fh  .'^  ^^'^^  '^'^^^'^y  P°««e^- 
effect,  and  wishing  to  obtlTn  ^L  L  r?-  ""f  ''^'°  '^'  '*^  ""'^^  ^''to 
must  also  make  the  reauS  **'V**'ift">°al  privUeges  under  this  law, 
if  necessary.  ^""''^^  apphcation,  adjusting  their  constitution^ 


1834 


EEPOBT   OF   THE   COMMISSIONER   OF  LABOR. 


I     i 


Societies  in  existence  at  the  time  when  the  law  went  into  effect  and 
having  no  such  rights  may  be  granted  incorporation  on  application,  if 
their  constitutions  conform  to  the  demands  of  the  law.  Otherwise 
the  constitution  must  be  amended  at  a  general  meeting  specially 
called  for  that  purpose,  and  a  certified  copy  of  the  amended  constitu- 
tion with  a  certified  copy  of  the  minutes  of  this  special  meeting 
must  be  attached  to  the  application. 

Societies  organized  after  the  law  went  into  effect  must  furnish  a 
certified  copy  of  the  constitution  and  of  the  procedure  of  the  charter 
meeting  of  the  society. 

After  examining  these  documents  in  order  to  see  that  they  conform 
with  the  requirements  of  the  law,  the  court  orders  that  the  name  of 
the  society  be  entered  on  the  register  of  recognized  societies.  In  case 
of  desired  change  in  the  constitution  the  same  method  of  procedure 
as  in  original  incorporation  is  required. 

The  governmental  control  consists  mainly  in  exacting  reports  and 
holding  the  officers  of  the  society  responsible  for  observing  the 
requirements  of  the  law  and  the  provisions  of  the  constitution.  The 
officers  of  the  society  are  individually  and  jointly  responsible  for  the 
execution  of  their  respective  duties,  for  the  correctness  of  all  entries 
in  the  books  and  for  strict  comphance  with  all  provisions  of  the  con- 
stitution of  the  society. 

On  the  other  hand,  an  officer  who  formally  records  his  dissent  from 
a  resolution  in  the  minutes,  and  who  gives  immediate  notice  of  such 
an  illegal  resolution  to  the  supervising  committee,  thereby  is  relieved 
from  such  responsibility,  as  is  also  an  officer  who  was  absent  from  the 
meeting  of  the  executive  committee  when  the  decision  in  question  was 
taken. 

Furthermore,  an  officer  who  knowingly  makes  false  statements  con- 
cerning the  status  of  the  society,  or  suppresses  any  actual  facts  in  the 
accounts,  or  before  the  general  meeting,  or  in  court,  is  punishable  by 
a  fine  of  100  lire  ($19.30)  in  addition  to  the  usual  civil  responaibihty. 

If  suspicion  arises  concerning  the  existence  of  gross  irregularities  in 
the  work  of  the  officers  or  of  the  supervisory  committee,  this  may  be 
brought  to  the  attention  of  the  court,  provided  at  least  20  members 
so  decide,  and  if  the  court  should  find  these  suspicions  well  grounded 
it  may  take  the  necessary  legal  measures. 

If  a  mutual  benefit  society  has  failed  to  comply  witli  the  regula- 
tions limiting  the  legitimate  expenditures  to  certain  [purposes,  the 
court  must,  upon  application  either  of  a  member  or  of  the  public 
authorities,  make  the  demand  upon  the  society  to  comply  with  the 
law  within  fourteen  days,  and  upon  failure  to  do  so,  must  order  the 
name  of  the  society  stricken  from  the  register  of  incorj)orated 
societies. 


CHAPTEE  VII._W0EKMEN'S  mSURANCE  m  ITALY.  1836 

authorities,  4ir7lS  coS„H„   """"TT"'  ^^""^^  *^«  ^^'^ 

Tu  •       •  1      ^^"  ^^^®  expenditures  are  met  must  be  incUnut^A 

pei^ons,  and  for  this  reason  thi"  Wnit  on  '  Z  T  °'"  ?^  ^'^"' 
equivalent  to  "incorporation  '^  l3  bn  tJf,.  ^^'^'^'^^''^^  «« 
are  extended  to  the  Lognized  ^utfJt:^^^:^^'^^l?- 
from  stamp  taxes  rpo-i^frAr  +  o^«     4.1.    •  "^^^^  ot»cieues.  HiXemption 

tax,  and  frorcrS^anSe^S^^^^^^^  ^^P^'^ 

members  from  seizure  and  cesln  ^  ^^"'^'^  **»  *'^^ 

The  legal  status  of  the  mutual  benefit  societies  bfl«  n^t    i 

have  as  y^t%Vn\2lZZZt:!:lJZZ'^^^^^^^ 
sickness  than  those  contained  in  Saw  *^  ^"'^  "*  ""^^  "'^ 

JetirrthfeS-  :l:tT^t^J  trr'^-''  ^-^«* 

the  statistical  data  available  ^  *""*  ^^  ^^""^^^  ^'""^ 

STATISTICS  OF  XVTTIAL  BEHBUT  SOCIETIES. 

unStltSat'^SSw  hT"*"^'  '^'^^^*  ^--«-  -- 
1885,  1894,  and  iS*  ^*"  ''°*"'^'  ^  '^^^'  ^^^S,  1878, 

While  they  are  not  all  elaborated  exactlv  on  tl,^  o 
many  comparisons  are  possible,  and  Se  six  renon'  ?    "'•  l^'^' 
siderable  material  for  a  studv  of  thJj     .  ^"Ports  furnish  con- 
Z^"^ "  ^^"'^y  "^  *^^  development  of  these  institutions 

MutuoSocco,«>,  RomTmr'  '  *  ^'^^"^^°-  Sta&tica  delle  SocieUL  di 

(3)  Ministero  di  AffricolfnrQ     t..^     ^- 

far;  - «----  -^^:^'^^'^^z^t^-^^, 

Anne^  alle  Mede^izne,  anoTlsst     Rol  xm""  '  ''"'  ""''*"^°°«  ^P"*^- 
(5)  Muustero  di  Aericoltnr.     t  j     ™'  ^'"»- 

1904.    Studio  Stotistico.    Rol  T^  ^  ^"""^  ^  ^''^  »!  31  decembre, 


I 


Mi 


i 


y 

J    i, 


1836 


BEPOBT  OF  THE  COMMISSION EE  OF  LABOR. 


NUMBER   OF   SOCIETIES   AND   MEMBERS. 


The  number  of  societies  of  mutual  benefit,  their  membership,  and 
the  proportion  of  the  membership  to  the  population  is  shown  in  the 
following  table.  In  none  of  the  six  investigations  was  it  possible  to 
obtain  the  desired  information  from  all  societies,  but  it  is  believed  that 
the  number  reporting  is  sufficient  to  make  the  data  representative. 

The  number  of  societies  and  the  membership  increased  rapidly  up 
to  1894.  During  the  period  1894  to  1904  a  material  decrease  has 
taken  place,  and  it  seems  certain  that  tlie  growth  of  mutual  benefit 
societies  has  been  interrupted  and  the  efliciency  of  the  law  of  1886  as 
a  stimulus  has  greatly  declined.  In  1904  the  average  number  of 
members  per  1,000  of  population  was  only  27.82;  so  that,  even  if 
women  and  children  are  excluded,  only  a  small  percentage  of  ItaUan 
citizens  gainfully   employed   hold   membership   in   mutual   benefit 

societies. 

In  addition  to  the  societies  included  in  the  next  table  there  were 
four  societies  of  raih-oad  employees  in  1885  and  three  in  1894;  but  as 
data  for  these  could  not  be  obtained  for  other  years  they  have  not 
been  considered  in  this  table. 

NUMBER  AND  MEMBERSHIP  OF  MUTUAL  BENEFIT  SOCIETIES  FOR  VARIOUS  YEARS, 

1862  TO  1904. 

[Source :  Le  Societal  di  Mutuo  Soccorao,  1878  and  1904,  and  Annuario  Statistico,  19a5  to  1907.    Data  are 

exclusive  of  railroad  societies.) 


Year. 


1862(a). 
1873... 
1878. . . 
1885... 
1894. . . 
1904... 


Population. 


21,929,176 
27,132,848 
27,962,084 
29,300,268 
31,191,564 
33,282,850 


Total 

number  of 

societies. 


443 
1,447 
2,091 
4,896 
6,722 
6,535 


Number  of 

societies 

reporting 

memljer- 

ship. 


Number  of 
members. 


417 
1,146 
1,961 
4,768 
6,684 
6,347 


111,608 
218,822 
331,648 
730, 475 
936,686 
926,026 


Nimiber  of 

members 

per  1,000 

})opula- 

tion. 


5.09 
8.06 
11.86 
24.93 
30.03 
27.82 


Average 
number  of 

members 
per  society. 


252 
191 

ie7 

153 
142 
146 


a  Data  for  this  year  do  not  include  the  Province  of  Venetia  and  the  city  of  Rome, 

As  the  law  for  incorporation  of  mutual  benefit  societies  was  enacted 
after  the  investigation  of  1885  was  undertaken,  only  the  last  two 
investigations  contain  separate  data  for  incorporated  and  unincor- 
porated societies.  By  1894,  1,156,  or  17.2  per  cent,  of  the  societies 
had  obtained  incorporation  or  recognition  under  the  law;  and  by 
December  31,  1904,  the  number  had  increased  to  1,548,  or  23.7  per 
cent.  Thus  even  nearly  twenty  years  after  the  law  of  1886  went  into 
effect,  less  than  one-fourth  of  these  societies  availed  themselves  of 
the  advantages  offered  by  the  law.  The  effect  of  the  law  upon  the 
development  of  the  mutual  benefit  movement  must,  therefore,  be 
considered  very  limited.  For  6,347  out  of  the  6,535  societies  the 
membership  has  been  ascertained.     Of  these  societies  24  per  cent 


II 


CHAPXEE  VII.— WORKMEN'S  INStTRANCE  IN  ITALY.  1837 

lai^er  than  tha!  oT^eT^LtrlZT'tlf  r^'"^ .^^^ 
Incorporation  is  therefore  found  t'o  be  an  eS^of  le^T      '" 

t^**"^-'  Le  Society  dl  Mutuo  Soccorso,  1904.] 


Kind  of  society. 


1894.  (a) 


Incorporated... 
Unincorporated. 


Num- 
ber. 


Per 
cent. 


Mutual  benefit  societies  in— 


1904. 


Num- 
ber. 


Per 
cent. 


Reporting 
membership. 


Total. 


1,156 
5,566 


6,722 


17.2 
82.8 


100.0 


1,548 
4,987 


23.7 
76.3 


Num- 
ber. 


Membership. 


Per 
cent 


Number. 


Per 
cent. 


6,535 


100.0 


1,525 
4,822 


6,347 


24.0 
76.0 


Aver- 
age per 
society. 


288,598 
637,428 


100.0  I  926,026 


«  Exclusive  of  three  societies  of  railroad  employees. 


31.2 
68.8 


100.0 


189 
132 


146 


lowingstaC"n;;a  XS?dLTt"S^ 

females  constituted  even  onltenth  o^t h  A  .  .    "^  "J*^*'""^  ^*^« 

societies.     The  interests  f«tt1«i      k       ^**^  membership  of  the 

tion  of  ^^yiesi:^^jz'z-^jzi^z  tt:  'i^r'" 

KStro^rtei^;,  -  It ^ti  T?^-  -  - 

25.1  per  cent.  societies  and  of  the  female  members  only 

MEMBERSHIP  OF  MUTUAL  BENEFIT  SOCIETIES  FOR  VARIOtS  VPA.. 

BY  SEX.  VARIOtS  lEARS.  1862  TO  1904. 

Source:  Le  Society  di  Mutuo  So«orso,  1862, 1878, 1885,  and  1904.] 


Year. 


Males. 


1862 

1873 

1878 

1885(c) 


1904: 


Number. 


Incorporated  societies 
Unmcorporated  societiis^! 


101, 410 

197, 719 

«299,544 

531,047 


Per  cent. 


Females. 


Number. 


Per  cent. 


90.86 

90.36 

0  90.35 

93.68 


10,198 

21,103 

«»28,502 

35,853 


9.14 

9.64 

"8.62 

6.32 


Total  mem- 
bership 


111,608 
218,822 
» 331, 548 
566,900 


*ror  3.705^sirieuS  0%^""'  "^  ""'  "^^^*«^- 


926,026 


1838 


BEPORT  OF   THE   COMMISSIONEE  OF  LABOB. 


The  following  table  shows  that  in  1904  less  than  4  per  cent  of  the 
societies  reportiag  sex  of  members  were  organized  for  females  alone. 
The  number  of  organizations  admitting  only  males  has  increased  from 
a  little  over  seven- tenths  in  1873  to  eight- tenths  in  1904. 

NUMBER  OF  MUTUAL  BENEFIT  SOCIETIES  IN  VARIOUS  YEARS,  1873  TO  1904,  BY  SEX 

OF  MEMBERSHIP. 

[Source;  La  Societk  di  Mutuo  Soccorso,  1873, 1878, 1885,  and  1904.1 


Societies  admitting— 

Number  of  societiei — 

Year. 

Males  only. 

Females  only. 

Both  sexes. 

Report- 
ing sex. 

1,364 
2,091 
3,762 

l,fl25 
4,822 

Not  re- 
porting 
sex. 

Num- 
ber. 

Per 
cent. 

Num- 
ber. 

Per 
cent. 

Num- 
ber. 

Per 
cent. 

Total. 

1873.. 

1878..    

1885 

900 
1,537 
2,861 

1,178 
3,900 

71.20 
73.50 
76.05 

77.25 
80.88 

42 

70 

109 

38 

214 

3.32 
3.35 
2.90 

2.49 
4.44 

322 

484 
792 

309 
708 

25.48 
23.15 
21.05 

20.26 
14.68 

183 

"1,138' 

23 
165 

1,447 
2,091 
4,900 

1,548 
4,987 

1904: 

Incorporated  societies 

Unincorporated  societies. 

Total,  1904 

5,078 

80.01 

252 

3.97 

1,017 

16.02 

6,347 

188 

6,535 

In  addition  to  the  active  members  of  societies,  beloQging  for  the 
benefits  to  be  derived  from  such  membership,  large  numbers  of  honor- 
ary and  contributhig  members  assist  them  by  their  contributions 
or  influence,  thus  introducing  an  element  of  private  and  organized 
charity  into  the  activity  of  these  mutual  benefit  societies.  In  1873  (*) 
the  number  of  such  members  was  19,263,  or  about  9  per  cent  of 
the  active  membership,  and  in  1878,  32,177,  or  nearly  10  per  cent  of 
the  active  membership.  In  1885  the  total  honorary  membersltip 
amounted  to  52,763,  of  whom  only  31,690  were  contributing.  For 
later  years  information  is  not  available,  except  that  on  December 
31,  1903,  (^)  the  incorporated  societies  had  11,675  contributing 
honorary  members  as  against  a  total  of  259,914  active  members, 
or  only  4.5  per  cent.  The  influence  of  the  honorary  members  in  the 
development  of  the  mutual  benefit  societies  seems  to  be  decreasing. 

SIZE   OF   SOCIETIES. 

The  distribution  of  the  mutual  benefit  societies  by  the  number  of 
members  is  shown  in  the  following  table  for  the  last  tliree  censuses, 
1885,  1894,  and  1904: 


o  Society,  di  Mutuo  Soccorso,  1878. 
&  Society  di  Mutuo  Soccorso,  1904. 


4 


CHAPTER  VIT.— workmen's   INSURANCE   IN   ITALY.  1839 

NUMBER  AND  PER  CENT  OF  MUTUAL  BENEFIT  SOCIETTF^?  m  i^Anrr  >,x.„ 

GROUP  AT  THE  END  OF  EACH  ?EA|?'^^;^/rND^,"^.''^''^^^^°^^ 
"  [Source:  La  SocieU  di  Mutuo  Soccorso,  1885, 1894,  and  1904.] 


Membership 
group,  (o) 


Mutual  benefit  societies  in— 


1885. 


Less  than  50 

50  to  100 

101  to  200 

201  to  300 

301  to  400 " 

401  to  500 

501  to  600.... 

601  to  700 

701  to  800 - 

801  to  900 

901  to  1,000.. 
1,001  to  1,500... 
1,501  to  2,000.. 
2,001  to  3,000.... 
More  than  3,000. 
Unknown 


Num- 
ber. 


}  1,768 

1,194 

422 

153 

68 

36 

21 

16 

13 

8 

18 

7 

1 

3 

1,172 


Per 
cent. 


1894. 


1904. 


Incorporated. 


36.08 

24.37 

8.61 

3.12 

1.39 

.73 

.43 

.33 

.27 

.16 

.37 

.14 

.02 

.06 

23.92 


Num- 
ber. 


3,649 

1,779 

620 

249 

102 

54 

35 

26 

18 

11 

26 

5 

5 

8 

138 


Per 
cent. 


Total 4,900 


100.00 


6,725 


54.26 

26.46 

9.22 

3.70 

1.52 

.80 

.52 

.39 

.27 

.16 

.39 

.07 

.07 

.12 

2.05 


Num- 
ber. 


{ 


224 

380 

497 

199 

99 

51 

23 

14 

6 

6 

7 

11 

4 

4 

23 


Per 
cent. 


Unincorporated . 


14.47 

24.55 

32.11 

12.85 

6.39 

3.29 

1.49 

.90 

.39 

.39 

.45 

.71 

.26 

.26 

1.49 


Num- 
ber. 


Total. 


Num-  j     Per 
her.        cent. 


1,268 

1,543 

1,231 

367 

188 

98 

47 

26 

13 

13 

8 

18 

6 

6 

165 


25.23 
30.94 
24.68 


36 
3.77 
1.97 
.94 
.52 
.36 
.26 
.16 
.36 
.12 

.12 

3.31 


100.00       1,548  I  100.00 


1.482 

1,923 

1,728 

'566 

287 

149 

70 

40 

19 

19 

15 

29 

10 

10 

188 


22.68 

29.43 

26.44 

8.66 

4.39 

2.28 

1-07 

.61 

.29 

.29 

.23 

.45 

.15 

.15 

2.88 


4,987  i  100.00 


6,535       100.00 
« in  the  report  ,„r  1«M  the  groups  hegm  with  the  even  hundred, ..  foUows:  mZ~,^.  '^u.2^,  .^. 

The  majority  of  the  societies  are  found  to  be  very  smaU.     In  1894 
54.26  per  cent  had  not  over  100  membe,^.     In  1904  52  11  per  cent 

to  SsTd  18  irV^  *^ar  "T'"'^'  ''■''  P-  cent  fromToo 
hJTa^         t    P^'  "^""^  ^^  membeiB  or  over.     Only  49  societies 

cation  of  aTr?  "'  °"T     ''  ''  ^^^^  '^'^  »^«-  d"  any  appS 
cation  of  actuanal  prmciples  would  be  in  such  small  societies 

soctti^TmTsh  ""'^  *^  incoT>orated  and  unincoT,orated 
societies  in  1904  shows  a  very  mteresting  difference  in  distribution 
by  size  of  membership.  Societies  with  less  than  Ton  ™1  k. 
constituted  39.02  per  cent  of  the  incorporated  and  56  17  per  cenf  o" 
m  ~°r-*«d  -r*-^  those  ^th  a  membeiilp^:  Z  to 
199,  32  11  per  cent  and  24.68  per  cent;  those  with  200  to  999  26  1^ 

TLTr  '"'1  ''•'/  P^'  '^''''  ^""^  t'^"-  -itl^  I'OOO  members  and  over 
Sren  irof  tT  '*'^?'''  '''''■  '^^  ?"*  '"^^  comparison  someX; 
ver^^tl:  '*"'^*'^  "^^  *  membei^hip  of  Ls  than  100   17  7 

28  87er  IZ ■'^?r'"^l^'  *'^''"  V'""  *  membei^hip  of  100  to  99! 
cent;  of  those  wLr,^.K  \"'«-'--'^P  «*  200  to  499,  34.8  pe; 
of  those  with  iT,nn  ""T^'^'T  ^^  ^00  to  999,  34.4  per  cent;  ^d 
rated  TTetonCcvr'^  and  over,  38.8  per  cent  were  inc^rpo- 
stronger  tZS::^ZZ£  '^'''  '''  ^^  '''  evidently  mu'ch 


1840 


REPORT  OF  THE  COMMISSIONER  OF  LABOR. 
OCCUPATIONS   OF   MEMBERS. 


Satisfactory  data  are  unfortunately  lacking  concerning  the  occu- 
pations of  Italian  workmen  belonging  to  the  mutual  benefit 
societies.  In  the  following  table  is  shown  all  the  information  avail- 
able on  this  subject.  The  classification  here  is  that  of  the  societies 
rather  than  members,  and  the  large  majority  of  the  societies,  61.05 
per  cent  in  1894,  are  unclassified.  Besides,  no  similar  data  are 
available  for  the  last  census  year,  1904.  Some  temlency  toward 
differentiation  may  be  noticed  in  this  table.  In  1878  81.30  per  cent 
of  all  societies,  and  in  1894  only  61.05  per  cent  were  unclassified  as 
far  as  the  occupations  of  their  members  is  concerned.  In  1885  66.13 
per  cent  of  all  membership  of  mutual  benefit  societies  were  unclassi- 
fied as  to  occupation,  and  in  1894  58.50  ])er  cent. 

OCCUPATIONS  OF  MEMBERS  OF  MUTUAL  BENEFIT  SOCIETIES,  1878,  1885,  AND  1894. 
[Source:  La  Societk  dl  Mutuo  Soccorso,  1878, 1885,  and  1894.] 


Occupation  group. 


Unclassified  workmen 

Steam  railroad  employees 

Farmers  and  industrial  workers. 

Veterans,  retired  army  men,  etc. 

Farmers  and  laborers 

Public  and  private  employees. . . 

Merchants,  clerks,  travelingmen, 
etc 

Mechanics,  metal  casters,  black- 
smiths, etc 

Teachers 

Workmen  in  food  industry. ..... 

Shoemakers,  hatters,  tailors, 
saddlers,  etc 

Textile  operatives 

Boatmen ,  fishermen,  and  sailors . 

Printing  trades 

Masons,  marble  workers,  stone- 
cutters, etc 

Servants,  coachmen,  etc ] . 

Musicians  and  theater  employees 

Woodworkers 

Tobacco  workers [ 

Porters,  loaders  and  unloaders, 
etc ;. 

Tanners,  glove  makers,  etc . .' ." .' .' '. 

Barbers,  hairdressers,  etc 

Hackmen  and  street-raib-oad  em- 
ployees  

Physicians,  surgeons,  pharma- 
cists, veterinarians,  sanitary 
employees,  etc 

Vamishers,  painters,  plasterere, 
decorators, etc 

Coflee-house  keepers,  liquor  deal- 
ers,  bakers,  and  confectioners. . 

Clergymen 

Potters,  glass  workers,  etc. ...... 

Ushers ,  watchmen ,  and  servants. 

Goldsmiths, jewelers,  and  watch- 
makers   

Miners '.'.'.'.'.'.'.'. 

All  other  professions  and  trades . '. 


Mutual  benefit  societies  in- 


1878. 


Num- 
ber. 


1,700 


Per 
cent. 


81.30 


28 
13 

20 

13 
12 
40 

50 

22 

7 

22 

24 

34 
20 
18 


Total 2,091    100.00  4,817 


10 
16 


10 

8 


L34 
.62 

.96 

.62 

.58 

1.91 

2.39 

1.05 

.34 

1.05 

1.15 

1.62 

.96 

.86 


1888. 


Num- 
ber. 


8 


.48 
.77 

.19 


.48 
,38 


.19 
.24 


.38 

'14' 


2,940 

7 

564 

225 

142 

18 

66 

37 
21 

74 

129 
29 
39 
36 

63 
34 
17 
50 
4 

20 
25 
36 

15 


13 

30 

14 

4 

11 


Per 
cent. 


19 
"i35 


61.03 

.15 

n.71 

4.67 

2.95 

.37 

1.37 

.77 

.44 

L54 

2.68 
.60 
.81 
.75 

1.31 
.71 
.35 

1.04 
.08 

.41 
.52 
.75 

.31 

.27 

.62 

.29 

-.08 

.23 


Membership. 


Num- 
ber. 


.39 


489,556 

4,192 

60,026 

36,276 

20,309 

4,764 

10,137 

6,161 
8,373 
8,611 

9,449 
6,059 
5,463 
4,838 

7.624 
4,558 
2,240 
4,891 
2,164 

1,967 
3.310 

2,585 

2,721 


1,594 

2,415 

1,726 
1,603 
1,413 


Per 
cent. 


1894. 


Num 
ber. 


1,795 


2.80     15,460 


100.00 


740,280 


66.13 

.57 

9.32 

4.90 

2.74 

.64 

1.36 

.70 
L13 
1.16 

1.28 
.82 
.74 
.65 

1.03 
.62 
.30 
.66 
.29 

.27 
.45 
.35 

.37 


.22 

.33 

.23 
.22 
.19 


.24 


2.09 


100.00 


4,021 

29 

701 

410 

241 

56 

59 

75 
36 
92 

143 
33 
55 
50 

78 
37 
43 
64 
11 

39 
32 
43 

25 


30 

22 

18 

5 

12 

14 

16 

8 

89 


6,587 


Per 
cent. 


61.05 

.44 

10.64 

6.22 

3.66 

.85 

.90 

1.14 

.55 

1.40 

2.17 
.50 
.84 
.76 

1.18 
.56 
.65 
.97 
.17 

•  ow 
.49 
.65 

.38 


.46 

.33 

.27 
.08 
.18 
.21 

.24 

.12 

1.35 


Membership. 


100.00 


Num- 
ber. 


581,609 
87,087 
84,526 
54,292 
29,526 
14,300 

14,102 

11,350 
10,652 
10,346 

9,260 
8,177 
7,746 
7,384 

7,222 
5,118 
4,274 
4,184 
4.173 

4.018 
3,626 
3.678 

3,534 


3,213 

1,935 

1,852 
1,588 
1,628 
1,435 

1,155 

641 

10,862 


Per 
cent. 


58.50 
8.  76 
8.50 
5.46 
2  97 
1.44 

1.42 

1.14 
1.07 
1.04 

.93 
.82 

.78 
.74 

.73 
.52 
.43 
.42 
.42 

.40 
..'17 
.36 

.36 


.32 

.20 

.19 
.16 
.16 
.14 

.12 

.05 

1.09 


994,183 


100.00 


CHAPTEE  VII.-WOEKMEX  's  I^SUEANCE  m  ITALY.  1841 

™^«   O^  0««ANrZATION   AND   OF   INCORPORATION 

YEAR  OF  ORGANIZATION  OF  MUTUAL  BENEFIT  SOCIKTIES 

_J^^;^;;^^^^;esoc^  '  '^^■ 


Mutual  benefit  societies  in  existence  at  end  of  year. 


Year  of  organization. 


Prior  to  1850 
1850  to  1859 
1860  to  1869 
1870  to  1874 
1875  to  1879 
1880  to  1884 
1885  to  1889 
1890  to  1894 

1895  to  1899  

1900....         

1901 ;: 

1902 

1903 

1904 

Unknown. 


«  Organized  1850  to  I860. 
6  Orgamzed  1861  to  1870 


«  Organized  1871  to  1875. 
*  Organized  1876  to  1879. 


ThA  foKl^      1  ,,  ■  ''Organized  1876  to  1879: 

1904  are  particularly  SeriLTCr."^  '^'  ^^"'^  °*  ^894  and 

those  t^S  :heirr%To~:in  '''''  '''^''  ^^  ^^"^^^ 
organized  before  1895  But  fh«  n*  T  °°*  '•«P°rted,  had  been 
eties  (exclusive  of  thetl^reTrlirolTZf.  1894  showed  6,722  soci- 
-  25.3  per  cent,  of  the  societt  tve  bten'dV  1'  T^'"''^  ^'^««' 
in  lo94  and  2,917  in  7004     u      •        .       A»y4,  4,153  were  m  exisfpn^A 

29.8  per  cent,' werrdSvfd"""'  *'^'  '^""'"^  ^^^  *-  ye.rs7SZl 

4^  It  is  desired  to  show  here  tho  ^ffi  • 
registration  (incorporation)  of  the  h°fif  ''^  '^^  '*^  ^°'  ^'olunUry 
tab  esuppliessomeinformation  Jtn  J  "if  *  '°^'^*'^'  *^»«  foUowing 
of  this  right  of  incorporatTon  C  °  eTL  f  ^%'  '^''  '""''''^  '"^^^^  "«« 
IS  greater  among  tl.;  older  societies  «n<?"^^'''"''"^P*''-*t«dsocieties 
not  at  the  time  of  organizat^nSr?  incorporation  evidently  comes 
In  any  ca.e  incorporaS  proceed  «T  "*  "  'f ''^'"^"^  the  society, 
number  of  societies  ineorporlSn        *  very  slow  rate,  the  highest 

orporatmg  m  one  year  being  149  in  1891 


! 


•rj?' 


1842 


REPORT  OF  THE  COMMISSIONER  OF  LABOR. 


NUMBER   OF  MUTUAL  BENEFIT   SOCIETIES   ON    DECEMBER    31,    1904,    BY    YEAR   OF 

INCORPORATION. 

[Source:  Le  Society  dl  Mutuo  Soc^orso,  1904.J 


Year. 


188G.... 
1887.... 
1888..., 

l0O*7  .  .  •  . 

1890.... 
1891.... 
1892..., 


Number  of 
societies  in- 
corporated 


78 
107 
100 
99 
98 
149 
110 


Year. 


1893. 
1894. 
1895. 
189G. 
1897. 
1898. 
1899. 


Number  of 
socieliesin- 
cori>o  rated 


88 
72 
46 
58 
67 
53 
51 


Year. 


1900 

1901 

1902 

1904 

Total. 


Number  of 
societies  In- 
corporated. 


59 
67 
66 
74 
64 


al,fi06 


a  Not  including  42  societies  incorporated  by  royal  decree,  years  not  reported. 
CHANGES    IN    MEMBERSHIP. 

The  list  of  the  societies  is  not  very  stable  from  year  to  year,  many 
societies  dissolving  and  others  being  formed ;  there  is  also  a  considerable 
degree  of  change  in  the  membership  of  these  societies.  In  the  follow- 
ing statement  the  gain  and  loss  in  membership  is  shown  for  1885  and 
1903.  Unfortunately  the  data  for  1885  are  for  all  societies  and  for 
1903  only  for  incorporated  societies,  the  data  concerning  the  member- 
ship of  the  unincorporated  societies  in  1903  not  being  available.  For 
this  reason  no  satisfactory  comparison  of  the  data  for  the  two  years 
can  be  made.  The  incorporated  societies  are  usually  laiger,  stronger, 
and  probably  subject  to  fewer  changes  in  membership  than  those 
which  are  not  incorporated. 

The  changes  of  membership  in  1885  among  all  mutual  beneiit 
societies  were  as  follows: 

Number  of  societies  reporting 3^  705 

Effective  members  at  beginning  of  year 535,  l8x 

Members  admitted  during  year 88,  935 

Per  cent  of  members  at  beginning  of  year 16.  6 

Members  lost  during  year 57,  216 

Per  cent  of  members  at  beginning  of  year 10.  7 

Net  gain  during  year 31,  7 19 

Per  cent  of  members  at  beginning  of  year 5,  9 

Total  effective  members  at  close  of  year 566,  900 

In  1903  the  changes  of  membership  in  the  incorporated  societies 
were  as  follows: 

Number  of  societies  reporting i,  412 

Effective  members  at  beginning  of  year 258,  346 

Members  admitted  during  year 19, 842 

Per  cent  of  members  at  beginning  of  year 7.7 

Members  lost  during  year 18  274 

Per  cent  of  members  at  beginning  of  year '. 7. 1 

Net  gain  during  year 1, 568 

Per  cent  of  members  at  beginning  of  year .6 

Total  effective  members  at  close  of  year 259,  914 

As  is  shown  by  the  next  table,  the  loss  of  membership  is  mainly 
due  to  failure  in  payment  of  dues.  In  the  incorporated  societies 
out  of  a  total  loss  of  18,274  members  in  1903,  10,916,  or  nearly  60  per 
cent,  were  dropped  for  that  reason. 


CHAPTEB  VII.-W0KKMKK'S   XKSHIUKeE   IK   X.^..  1543 

LOSS  *F  EFFECTIVE   MEMBERSHIP    n,TR,„„   , 

(Source:  Le  Sodet4  dl  Mutao  Socco,«,  1904.] 


Cause  of  loss. 


Kt  I  t>  Loss  per  100 

Number  lost.    \^^  <*nt  of  j  membe 


Death... 

Withdrawal:: 

mfc"^''^  *"  payment  ofdues' 

Other  causes 

Total 


total  loss;  I  tepin^SI' 
of  year. 


3,981 

2,220 

10,916 

1,157 


21.8 

LS 

12.2 

.0 
4.2 

.5 

59L7 

as 

BENEFITS. 

relief.  In  1885,  99.4 pi^eni:^ ^^  T^'«  ^  granLg'Jck 
were  granting  such  relief.  Societies  orL«'  T^  "?  ^^°^'  ^^'^  P^""  <=ent 
mutual  relief  other  than  sick  bSt/iHtr'™'^  '**'  ''^^  <^ 
though  somewhat  more  common  now  tZ  tt  !  '^  ^^'^  exceptional, 
addition  to  sick  benefits  a  ve^We  „,iK  *^f  ^^.y^*^"^  ago.  But  ii^ 
otherf orms of  relief,  which  SoTin Z/n*"^  '°"''*'^^  ^"™^'  "^any 

^^''^"T  AT  END  OP  Ve!kS^^,'^S!"=^  ''-"''^°  EACH  lONI,  OF 
[Source:  Le  SocieU  dl  Mntao  Soceom,  1885  ,1      t  '  '^'  ^'^''^  '*«• 


Kind  Of  benefit. 


^^^''  31  jDecember  31, 
^^^         '        1894. 


necember  31, 1904. 


Incorporated 
societies. 


Num- 
ber 
of  so- 
cieties 


Unincor- 
porated 
societies. 


Total. 


Sickbenents.. 

Contmuo^  benefite  or  I,eIisVom:• 


3, 739     99. 4  I     (a) 

Chronic  diseases j  J.  545    41.  i   62, 256 

Invalidity  dueto-iidusWai-at^ilV'^^     47.9      (c) 


dents 

Rfn JJ1°  ^'<^ows  and  oroh^ 

oingle  pajTnents :        ^"**^ 

Old  age 

Chronic  diseases 

^d\^te(%^"^^'*°<i^trial-aoci. 

\r^4^°  .widows  and  orohans I  ,  ^^ 

Hatermty  benefits  and  fo?^,Vr;L;- " "  M'  ^^^ 
Funeral  benefits  nursmg. . 

Unemployment  tenefite" 

Loans  to  membe'rs" 

Cooperative  stores.". 

'"laS^^^-^'oVnienibe^ 


Societies  finding  kmk\:. 

unemnlova^  ™l^?Ployment  for 


(«) 

unemployed  mmb^re"^™^*  '°^  I    ^"^ 
Hm:;;;— I    («) 

»  Not  reported  IT    T"^  ' 

^IncludSd  in  oid-a^e  \^^?^  benefits 


-age  benefits 


'"o?  <Sa'"^&  SSf A"/&-  -"  orpt^. 


f 


1844 


REPORT  OF   THE  COMMISSIONER  OF  LABOR. 


CHAPTER  VII.— workmen's  INSURANCE 


1 


It 


ii 


i 


9 

Though  these  other  forms  of  relief  are  not  altogether  germane  to 
the  subject  of  sickness  insurance,  they  are  interesting,  nevertheless, 
as  characterizing  the  tendencies  of  voluntary  mutual  relief.  These 
other  forms  of  relief  or  other  functions  of  the  mutual  benefit  societies 

are  very  varied. 

In  addition  to  the  main  function  of  the  mutual  benefit  societies, 
that  of  furnishing  sick  benefits,  funeral  benefits  evidently  constituted 
the  most  frequent  feature,   as  nearly  one-half  of  all  enumerated 
societies  furnished  this  form  of  assistance.     Less  common  are  the 
various  forms  of  continuous  payments  in  case  of  old  age  and  iriva- 
Udity,  the  payments  which  approach  a  system  of  pensions  and  for 
wliich,  as  was  explained  above,  the  mutual  benefit  societies  are  seldom 
prepared   financially.     About   one-fourth    of    all   societies   in    1904 
granted  aid  in  form  of  continuous  payments  in  case  of  old  age,  and 
nearly  one-third  in  case  of  chronic  diseases,  which  may  be  taken  as 
an  equivalent  of  invalidity.     During  the  last  twenty  years,  the  pro- 
portion of  societies  granting  such  quasi  pensions  has  considerably 
decreased  (from  41.1  per  cent  to  24.8  per  cent  for  old  age,  and  from 
47.9  to  30.1  per  cent  for  invahdity).     Similarly,  the  granting  of  con- 
tinuous benefits  in  case  of  invalidity  due  to  industrial  accidents  is  a 
function  which  is  being  slowly  eliminated  (if  the  reports  of  1885  and 
1904  are  compared)  under  the  influence  of  the  law  of  1898.     In  many 
societies  single-payment  benefits  are  granted  in  case  of  old  age  or 
invalidity  instead  of  continuous  payments. 

The  same  change  from  pensions  or  pension-like  payments  to  lump- 
sum payments  is  found  in  relation  to  widows  and  orphans,  the  num- 
ber of  societies  promising  widows  pensions  having  decreased  from  520 
to  292,  while  the  number  of  those  giving  single-payment  benefits  has 
increased  from  1,176  to  1,897.  In  view  of  the  special  interest  dis- 
played in  Italy  in  the  problem  of  maternity  aid,  it  is  interesting  to 
observe  that  only  about  10  per  cent  of  the  societies  granted  such  aid 
in  1885,  and  that  by  1904  the  proportion  had  decreased  to  8.8  per 
cent.  On  the  other  hand  there  has  been  a  sHght  increase  in  the 
granting  of  unemployment  benefits.  Unfortunately  there  is  very 
little  information  to  be  obtained  as  to  the  amount  of  aid  granted  under 
these  many  forms.  Still  less  information  is  there  in  connection  with 
other  forms  of  activities  of  these  mutual  benefit  societies,  outside  of 
the  field  of  benefits  for  temporary  or  permanent  disabihty,  such  as 
the  cooperative  and  educational  efforts. 

The  statistics  of  1894,  quite  deficient  in  other  respects,  give  more 
information  about  these  secondary  activities  than  do  those  of  other 
years.  There  is,  therefore,  no  way  of  gauging  the  growth  of  coopera- 
tive stores,  schools,  or  employment  offices  supported  by  these  mutual 

benefit  societies. 

A  comparison  of  the  data  for  incorporated  and  unincorporated 
societies  for  1904  indicates  that  the  secondary  functions  are  more 


IN    ITALY. 


1845 


frequent  among  the  former,  stronger  societies    «nH   fhof  • 

represented.     This  is  especially  true,  as  appeare  from  the  table   fo^ 
old-age,  chromc-disease,  and  invalidity  benefits  ' 

of  wfilTaTbrfhU'Lt'itif  ?  *'^'  r*  ^^-'-  ^-- 

detailed  anaVsis/TL^^rttt  r^^^^^^^^^  -- 

rSource:  La  Society  di  Mutuo  Soccorso,  1904.  ' 


ConsUtutional  limit  as  to  time. 


Number 

of 
societies 
granting 
relief  un- 
der con- 
ditions 
specified 


Per 
cent 

of 
total. 


Data  are  for  1,377  socieUes.] 


Constitutional  limit  as  to  amount 
of  benefits. 


HME  RKQT7IEED  TO  ELAPSE  BEFORE 
TITLE  TO  SICK  BENEFITS  IS  ESTAB- 
LISHED. 


From  beginning  of  membership: 

1  to  12  "months! '. 

13  to  24  months  

Over  24  months 

Indefinite .* 

From  b^inning  of  illness: 

None 

1  to  3  days..!... 

4  to  10  days .'. 

Over  10  days       

Indefinite '.\ " 

Maximum  duration'of  benefits': 
60  days  and  under. 

From  61  to  120  days 

From  121  to  180  days 

Over  180  days  

Unlimited..      

Indefinite..       


45 

1,046 

146 

120 

20 

338 

831 

156 

12 

40 

309 
455 
245 

65 
207 

96 


3.3 

76.0 

10.6 

8.7 

1.4 

24.5 

60.4 

11.3 

4.9 

2.9 

22.4 
33.1 
17.8 

4.7 
15.0 

7.0 


AMOUNT  OF  DAILY  BENEFITS. 

Fixed: 

1  lira  (10.193)  and  under 

,.    .Over  1  lira  (10.193) " " 

vanable  maximums:              "  ' 
1  lira  ($0,193)  and  under 
Over  1  lira  ($0,193)...     "" 
Indefinite.  


^^^^^^  ^^  *^^S^  OF  INDUSTBIAL 
ACCIDENTS  RESULTING  IN— 

Temporary  disability: 

Stolss*^  ^^"^  '^^  °'^^^^ 
I^th^-those  forordiiir^- 

Permanftnt  disability: 

Determined  by  by-laws 
Death!*  determined  Uy  by-la;^.:; 

Determined  by  by-laws .... 
Not  determmed  by  by-laws. 


Number 

of 

societies 

Per 

granting 

cent 

relief  un- 

of 

der  con- 

totaL 

ditions 

specified. 

512 

37.2 

60 

5.0 

477 

34.6 

217 

15.8 

102 

7.4 

823 

50.8 

142 

10.3 

188 

13.7 

354 

25.7 

285 

20.7 

m 

13.0 

^^^^l  ^Jr'^^'^r^ZL'^'''''-  '^f'  -^^  --bership  before 
societies  this  limTtTs  from  1  ^.w  ''T'"'^-     ^"^  ^«  P«^  ^^^^  of  the 

minimum  meSe^Lp  Tui^ation  th^e  T*'"  '°  ^'^^'^'^  '^  »'- 
period  at  the  beginnin/of  UW°  f  .  u  f  ""  "''*"*  '^^^^^  *  ^^^tain 
this  is  not  very  W  fjl  ,  t %  /  ''^'!'^  ^^^^^^^  are  not  paid,  but 
eties,  and  in  about^'e^f^rtl  Th  u^^l  "  ^"^  ^^'  ^^'^t  «*  t^e  soci- 
of  illness.  O'^^fourth  the  benefits  are  paid  from  the  beginning 

beS.  'fn'mloZL^'^"  \*^'°"'^  ""^^^  ^''  P^y^'^i  of  the 
-ost  frequent  limirirerm  Tto  ro^^^^^T'  '^'^^  ^^*^-  ^he 
societies  paying  benefits  for  7l,;  V  /^''  *''**"*  one-third  of  the 

days  and  Sr.  Thf  lmou„t  TJ  'f**  '^  '"'  *^^^  "''^"'^  i«  ^ 
cent  of  these  societies  do^r„ri  /f^r^  *'"'^'^*  P"'!  »>y  71.8  per 
per  cent  of  them  pay  ot^  rt^olenSVe" Z^ "     "^  ^^^^^  ^^ 


1 


1846 


EEPORT  OF  THE  COMMISSIONER  OF  LABOR. 


In  case  of  industrial  accidents,  most  societies  grant  benefits  equal 
to  those  for  ordinary  sickness. 

The  number  of  members  of  mutual  benefit  societies  who  received 
sick  benefits  and  the  number  of  days  for  which  benefits  were  paid  are 
shown  in  the  following  table  for  the  years  1873,  1878,  1885,  and  1903. 
The  data  for  1903  are  for  the  incorporated  societies  only  and  include 
69,029  cases  of  illness,  an  average  of  29.1  cases  per  100  members. 
These  societies  paid  out  $265,295  as  sick  benefits  during  the  year  1903, 
an  average  of  $1.09  per  member,  $3.84  per  case  of  illness,  and  $4.32 
per  member  receiving  benefits. 

NUMBER  OF  PERSONS  RECEIVING  SICK  BENEFITS  AND  NUMBER   OF  DAYS  FOR 
WHICH  BENEFITS  WERE  PAID,  1873,  1878,  1885,  AND  1908. 

[Source:  Le  Society  di  Mutuo  Soccorao,  1878, 1885,  and  1904.] 


Year. 


1873 
1878 
1885 
1903 


Number  receiving  bene- 
fits during  year. 


Number  of  days  for  which  benefits  were  paid. 


Toted. 


45,786 

67,229 

104,386 

659,258 


PerlOO 
members. 


24.35 

23.26 

22.55 

625.00 


Total. 


984,539 

1,612,216 

2,102,881 

61,293,923 


Per 

member. 


5.24 

5.23 

4.54 

65.52 


Per  case 
of  lUness. 


ffi 


618.7 


Per  member 
receiving 
benefits. 


21.5 

22.5 

20.1 

622.0 


a  Not  reported. 


6*Data  are  for  incorporated  societies  only. 
FINANCIAL   STATISTICS. 


The  report  for  1895  does  not  contain  any  statement  concerning  the 
financial  status  of  the  mutual  benefit  societies,  and  for  1862  the  data 
are  quite  incomplete  and  therefore  of  little  value.  For  the  remaining 
years  for  which  reports  were  made  the  data  are  reprodu(;ed  in  the  few 
tables  which  follow.  Not  all  societies  furnished  financial  statements, 
but  the  number  of  societies  which  did  furnish  them  is  sufficiently 
large  to  make  the  data  representative,  if  not  accurate  as  to  totals. 

During  the  period  of  31  years  the  proportion  of  revenue  received 
from  each  source  has  not  changed  very  much,  though  the  total  income 
has  increased  from  $619,110  in  1873  to  $2,804,758  in  1904.  The  regu- 
lar contributions  of  the  active  members  still  represent  by  far  the 
most  important  source  of  revenue,  nearly  two- thirds  of  the  total. 
Voluntary  contributions  and  dues  of  honorary  members,  which  also 
partake  of  the  nature  of  a  voluntary  assistance,  increased  about  4  per 
cent  between  1885  and  1904.  The  remainder  of  the  revenue  is  derived 
from  investments  and  business  enterprises,  and  this  has  not  changed 
much,  amounting  to  about  30  per  cent  of  the  total.  In  1904  a  consid- 
erable difference  is  found  in  the  per  cent  of  revenue  from  each  source 
in  the  incorporated  and  unincorporated  societies.  The  income  from 
other  sources,  which  includes  income  from  investments,  constitutes 
37.8  per  cent  of  the  total  revenues  of  incorporated  societies,  while  in 
the  case  of  the  unincorporated  societies  this  income  amounts  to  23.4 
per  cent  of  the  total. 


H 


CHAPTEB  Vn.— WOBKMEn'S  INSUBANCE  IN   ITALY.  1847 

REVENUE  OF  THE  MUTUAL  BENEFIT  SOCIETIES,  1873,  1878,  1885,  AND  1904. 
[Som-ce:  Le  Society  dl  Mutuo  Soccorso.l88S  and  1904     Data  or«  r^r.  i  m,        •  *i     . 

and  3,566  in  IS^ffor  mifhe  n£Slfer"'noI  iporST''""  '  ''^  "^  ''"^ 


Year. 


Income  from — 


Investments. 


Contributions  of 
active  members. 


1873. 
1878. 
1885. 


Amount 


Per 
cent 

of 
total, 


1904: 


Incorporated  societies. 
Unincorporated  soci- 
eties  


Total,  1904. 


f 118, 142 
195,630 
278,040 


19.1 
19.6 
19.0 


Voluntary  con- 
tributions and 
dues  of  honor- 
ary meml)6rs. 


Amount. 


(«) 


$425,590 
644-308 
970,089 


633,491 
1,141,791 


Per 
cent 

of 
total. 


Amoimt 


Per 
cent 

of 
total 


Other  sources. 


1,775,282 


68.7 
64.5 
66.4 


53.7 
70.3 


6a3 


128,252 
36,500 
47,730 


99,984 
102,727 


202,711 


4.6 

a6 

3.3 


8.5 
6.3 


Per 

Amount    **^* 
of 

total. 


Total 
income. 


7.2 


S47,126  i  7.6 
123,171  !  12.3 
164,404     11.3 

*  446,065  '  37.8 
*380,700     23.4 


$619,110 

999,609 

1,460,263 

1,179,540 
1,625,218 


*826,765     29.5  i  2,804,758 


a  Included  in  income  from  other  sources.  6  including  Income  from  In v^^;;^;s^ 

For  the  year  1903  more  detailed  information  as  to  the  various 
socTeties     ""'"  "  '""'^''''^  '"'  ''  ^^'"^^^  ^^^  ^^^  incorporated 

namelf  S^^/oir^'"'"'''  amounting  to  $1,542,275,  over  one-third, 
namely  $531,045,  represents  gross  revenues  of  the  cooperative  stored 
and  other  enterprises.  It  is  impossible  from  the  data  avallaSe T 
determine  what  proportion  of  these  gross  revenues  represented  profit 

REVENUE   OF  INCORPORATED  MUTUAL  BENEFIT  SOCIETIES  IN  19(B. 
[Source:  Le  Society  dl  Mutuo  Soocorso,  1904.] 


Soimie  of  Income. 


Real  estate. 
Interest 


Amount. 


Total  capital  revenues. 


Ton JriK"J-°"^  ""^ ^*»^e  members 
Contributions  of  honorary  membere,"  etc." 


Total  contributions  of  members. 

Gross  revenues  from: 
Cooperative  stores 
Other  enterprises " . " " 

Tp^f    ^°.^.^  ^°^  revenues . . 
ij-xtraordmary  revenues  


$25,996 
264,292 


Grand  total. 


290,288 

595, 337 
15,231 


610,568 


Pw 

cent  of 
total. 


1.7 
17.1 

1&8 
LO 


425,385 
105,661 


39.6 


27.5 
6.9 


531.046 
110,372 


34  4 
7.2 


1,542,274  1       loao 


deUUfrilrf  1878  ldl8?5  *"^H  ''r'^  T^^^^^^^^^^^^^ 

for  1903.     For  1904  o„^^  thf/  T,    ^^"°  ''l  *''"  '«<=«T«'-''ted  societies 

cost  of  adnuistration  ^  the  total  expenditures  for  benefits  and  the 

677250  ™!r  V  ^^  ^^"  '"  "**'^^  expenditures,  are 


1848 


REPORT  OF   THE   COMMISSIONER  OF   LABOR. 


given.  Comparisons  for  the  later' year  are  therefore  somewhat 
unsatisfactory.  The  expenditures  for  the  years  1873,  1878,  1885,  and 
1904  were  as  follows: 

EXPENDITURES   OF   MUTUAL   BENEFIT   SOCIETIES,  1873,  1878,  1885,  AND   1904. 

ISource:  Le  Soeletii  dl  Mutuo  Soccorso,  1885  and  1904.    Data  are  for  1,103  societi«s  in  1873,  1,901  in  1878, 

and  3,602  in  1885;  for  1904  the  numt)er  is  not  reported.] 


Expenditures  for— 

Year. 

Benefits. 

Administration. 

All  other  purposes. 

Total. 

/ 

Amount. 

Per 

cent  of 

totAl. 

Amount. 

Per 

cent  of 

total. 

Amount. 

Per 

cent  of 

total. 

1873 

$260,463 
492,356 
688,551 

643 
71.5 
6&0 

$67,338 
122.210 
268,763 

16.6 
17.8 
25.8 

$77,294 
73,574 
85,697 

19.1 

10.7 

8.2 

$404,995 

688,140 

1,043,011 

1878 

1885 

1904: 

Incorporated  societies 

Unincorporated  societies.. 

566,127 
876,017 

60.2 
65.6 

o 373, 769 
a  459, 573 

0  39.8 
034.4 

939,886 
1,335,590 

Total,  1904 

1, 442, 144 

63.4 

o  833, 332 

0  36.6 

W 

W 

2,276,476 

a  Including  expenditures  for  all  other  purposes.        b  Included  in  expenditures  for  administration. 

The  comparative  importance  of  the  various  forms  of  mutual  benefit 
is  shown  in  the  following  table,  but  unfortunately  the  data  for  1903 
do  not  include  any  but  the  incorporated  societies.  It  is  therefore 
somewhat  difficult  to  tell  what  the  tendency  was  <luring  the  last 
twenty  years.  Up  to  1885  the  payment  of  sick  benefits  was  by  far  the 
most  important  function  of  these  societies.  In  1903  the  incoipo- 
rated  societies  spent  for  sick  benefits,  inclusive  of  medical  and  pharma- 
ceutical help,  a  little  more  than  one-half  of  their  total  expenditure  for 
relief. 

EXPENDITURES  OF  THE  MUTUAL  BENEFIT  SOCIETIES  FOR  BENEFITS,  BY  KIND  OF 

BENEFITS,  1873, 1878, 1885,  AND  1903. 

[Source:  Le  Societk  di  Mutuo  Soccorso,  1873, 1878, 1885,  and  1904.] 


Kind  of  benefits. 


Sick  benefits 

Physicians  and  medicine 

Funeral  expenses 

To  families  of  defunct  meml>as. 

Permanent  disability 

Superannuation 

Unemployment 

other 


Total. 


1873. 


Amount. 


$191,301 

25,564 

5,346 

9,499 

620,404 

(«) 
8,349 


260,463 


Per 

cent 

of 

total. 


73.4 
9.8 
2.1 
3.7 

6  7.8 

(^) 
3.2 


100.0 


1878. 


Amount. 


$304,753 

37,154 

8,782 

21,140 

6 114, 130 

(^) 
6,397 


492,366 


Per 

cent 

of 

total. 


61.9 

7.5 

1.8 

4.3 

6  23.2 

(0 
1.3 


100.0 


1885. 


Amount. 


a$427.450 
59,493 
24,513 
12,102 

6135,027 

6,328 
23,638 


688,551 


Per 

c«nt 

of 

total. 


62.1 

8.6 

3.6 

1.8 

6  19.6 

(«) 
.9 
3.4 


100.0 


1903  (incorpo- 
rated societies 
only). 


Amount. 


$266, 656 
41,306 
10,287 
35,933 
60,309 
149,011 

18,349 


^81,851 


Per 

cent 

of 

total. 


45.8 

7.1 

1.8 

6.2 

10.4 

25.6 


3.1 


100.0 


a  Including  $6,743  for  temporary  disability  and  $2,737  for  maternity  benefits  and  nursing. 

6  Including  superannuation  benefits. 

c  Included  in  permanent  disability  benefits. 

d  Not  reported. 


CHAPTEE  VII.— workmen's  INSUEANCE  IN   ITALY.  1849 

The  total  assets  of  the  societies,  and  also  the  average  assets  „er 
society  and  per  member,  are  shown  in  the  foUowing  table  for  the  vlri- 
ous  years  reported.  There  is  seen  to  have  been  an  almost  constant 
growth  not  only  m  the  total  assets,  but  in  the  average  assets  per  S 
ety  and  per  member.  The  average  assets  of  the  incorporated  ESs 
are  more  than  three  times  that  of  the  unincoT,orated  sTcietie^     Thtb 

Zll  f /I"'"'^  ^^  *^"  *"'^"''  "'^'^be.^hip  in  the  incorporated  socll 
Ues,  but  the  average  assets  per  member  are  also  considerably  lai^er^ 
more  than  twice  as  much.  ^  larger 

ASSETS  OF  THE  MUTITAL  BENEFIT  SOCIETIES.  1873,  ,878. 1885,  and  190.. 
[Source:  Le  Society  di  Mutuo  Soccorso  iSRiianH  lorv*      t^  * 

.a  188=,  and  l.STS^^'^iMTnS^^^^^di^t'^^l^^i^'f^  >- 1^.  3,=» 


Year. 


1873 

1878.....       

1886 :;;;;::; 

1904:  

Incorporated  societies . 
Unincorporated  societies 

Total,  130-1 


Total 
assets. 


Average 

per 
society. 


Average 

per 
member. 


$1,806,013 
4,080.341 
6,214,762 

7,114,285 
6,858,055 


13,972,340 


$1,648 
2,093 
1,766 

4,684 
1,522 


$8.56 
12.45 
11.72 

24.77 
11.61 


2,319 


15.92 


The  next  table  shows  for  1904  the  distribution  of  both  incorporated 
and  unincoiporated  societies  by  the  amount  of  assets  Sr  oS 
half  of  the  societies  (54.08  per  cent)  ar«  found  to  own  less  thin  $96^ 
about  one-third  of  the  societie-s  dd  no  ^^^        *^  i.  *^°^' 

and  under  S9,650,  and  0^3  63  pe"  cen    T^n  ^^ITZ'^  ''  *''' 
data  being  available  for  th!reZi^^T2Zo^t     T^f^-r"'  "" 

....„  „  „.  .„„„  .„„„  ,^^^  ^^  __^_^_^_^  __  ^^  ^^  ^_^__^^ 

[Source:  Le  Society  di  Mutuo  Soccorso,  1904.] 


Amount  of  assets 


All  societies. 


Under$193(l,0001ire) 
$19J  and  under  $965.. 
»y<)6and  mider$l  93o 

1?^^^°^^"°^®'' $19,300. 
J!^',??^J°d  under  $48,250 

$9fi,500  to  $193,000 

Over  $193,000....::: 

Not  reported..  

Total 


1850 


EEPOBT  OF  THE  COMMISSIONER  OF  LABOR. 
PEOPOSED  BEFOM   OF  ITOTTJAL  BENEFIT    SOCIETIBS. 


Onlv  a  very  smaU  proportion  of  the  workmen  of  Italy  were  able 
to^ot  tie  eiting  voluntary  societies  in  which  the  ent^e  bu^Jn  o 
the  cost  of  insurance  falls  upon  their  own  resources.     I"  J^'^Jhe 
Counca  of  Providence  and  Social  Insurance  appomted  a  special  corn- 
Son  for  the  study  of  necessary  reforms  in  the  status  of  the  mutua 
benefit  societies.     After  over  a  year  of  work  the  commission  reported 
a  bill  for  estabhshing  a  system  of  government  subsidies  to  sickness 
Lurance  societies.     The  fact  that  the  proposal  of  this  special  com- 
Son  received  the  approval  of  the  whole  councd  makes  this  plan  a 

matter  of  considerable  importance.  ',  •  ,    •    .    „„,„^  ,«  « 

The  main  provisions  of  the  proposed  plan,  which  is  to  serve  as  a 
substLte  for  the  old  act  of  1886,  are  a^  follows:  In  addition  to  the 
nonre^tered  societies  and  those  registered  under  the  new  aw,  there 
fs  to  be  created  a  third  group  of  so-called  authorized  so^eties^    The 
requirements  for  registration  are  practically  left  unchanged.     But  for 
Shorization   the   requirements    are   considerably   -<>-   «t-g-J^ 
The  societies  must  be  of  a  certain  size,  namely,  not  i<^th^^  200 
active  members  (the  statistics  quoted  on  page  1839  -towed  that  l^s 
than  on^fif  th  of  the  societies  had  the  necessary  membei-slup) .     Thoy 
must  grant  a  certain  minimum  of  benefits,  namely,  (1    aJl  necessary 
med  cS  and  surgical  aid  from  the  very  first  fay  of  sickn-s^d  a 
least  for  six  months;  (2)  a  sick  benefit  of  at  least  1  lura  (19.3  cent.) 
ne7day  for  adults,  and  of  one-half  lira  (9.7  cents)  for  children  16 
yeai^  and  under,  frU  the  fourth  day  of  sickness  till  the  end  of   hree 
moTths   and  at  least  Qne-half  that  amount  for  the  succeeding  three 
months      Special  provision  is  made  for  maternity  benefits,  which  m 
^ew  of  the  recent  act  establishing  compulsory  matermty  msurance  for 
working  women,  is  now  of  minor  importance.     This  matermty  beneBt 

must  cList  of 'a  daily  benefit  of  rK"?J\';Vtud  The  dues  o' 
Havs  Dart  of  which  may  precede  the  birth  of  the  child.  The  dues  ol 
?h2  authorized  societfes'must  be  computed  with  conside'a.^n  for 
the  special  needs,  but  must  not  be  less  than  one  hra  (19.3  cents)  ,>er 
month  In  add  tion  to  individual  mutual  benefit  societies,  federa. 
Sons  of  such  societies  are  permitted,  both  in  the  registered  group 
a^d  in  the  authorized  group.  The  recognition  as  well  ^  authoriza. 
Si"  left  to  the  minister  of  agriculture,  industry  and  commerce, 
and  the  authorized  societies  are  to  be  subjected  to  stncter  supervision 

of  the  Government.  ^  n         •  n^ 

The  object  of  this  authorization  is  to  provide  a  group  of  ^^^7 
sound  and  carefully  supervised  mutual  benefit  societies,  to -hich  su^ 
stantial  subsidy  is  to  be  granted  by  the  f  t^^'^'^l, ^^^^^^^  J^'J^ 
purpose  a  special  amiual  appropriation  of  two  miUion  hre  (»386,000) 
walpropos^d.  This  fund  is  to  be  divided  among  aU  the  authorized 
benefit  societies  in  proportion  to  their  membership.     The  system  pro- 


i 


CHAPTEB  VII.— workmen's  INSURANCE   IN   ITALY.  1851 

posed  is  to  include  additional  subsidies  for  invalidity  insurance  in  the 
foUowing  way:  Each  member  of  the  authorized  mutuaZnrt  so^iet^ 
who  IS  insured  in  the  National  Old-Age  and  Invalidity  wlnceTrLtf 
tution  IS  to  count  as  two  in  this  distribution,  and  oL  one  share  ? to 
go  to  his  society,  and  the  other  to  his  private  account  i^  the  ofd  agl 
msurance  fund.  Mor^ver,  another  substantial  benefit  ku>T> 
extended  to  these  authorized  mutual  benefit  societies.    TheLtional 

a  cei^aVi  rf  *^  '^""''''^  ''"*^*"*'«''  ^  pennittJto t^t 
a  central  institute  for  sickness  insurance,  and  to  enter  into  aereement. 

with  authorized  benefit  funds,  or  federations  of  such  blefiSrto 

msure  their  members  a  continuation  of  the  sick  benefit  o    oThaW 

dtaSonTSk^rr '''  '^°™^'  '^*  «^  ^^  -^  ^-  ^^^'^ 

KATBBNITY  mSTTBAKCE. 

While  the  general  condition  of  sickness  insurance  in  Italy  is  stiU 
very  unsatisfactory,  since  only  a  smaU  proportion  of  the  w^rS 
population  enjoys  the  benefits  of  such  insurance  and  the  Stlte^ 
done  very  httle  except  provide  conditions  of  incorporation  a  ver^ 
strong  and  very  mteresting  movement  toward  compu^ry  in^™  In 
at  least  one  branch  of  sickness  insuraiice,  was  sta^rted  Z  uZZtiZ 
the  last  decade-that  of  maternity  insurance,  which  very  reSnS 
was  successful  in  accomplishing  this  result.  ^  recently 

By  "matermty  insurance"  is  meant  insurance  of  medical  or  finan 
c'SidSr^^  *°  *''  ""*'"  '"'  '  *^^^  P^-'l  befort^Jd^fte; 

The  theoretical  question  may  be  raised  whether  such  a  form  of 
msurance  may  properly  be  considered  a  branch  of  sickn^s  LurTnc/ 

2.  ,hkM  .^'  "^  ^r*'  ""^^^^  ^''d  fi^*°"'^I  assistance  in  c^e  of 
childbirth  IS  often  rendered,  usuaUy  in  comiection  with  generaTsXi 
insurance  mstitutions.  This  is  the  case  not  only  in  L  compu W 
system  of  sickness  msurance  in  Gennany,  but  also  L  the  volSyS- 
ness  insurance  mstitutions  of  Italy.  But  it  is  the  insufficiency  of  the 
voluntary  system  of  sickness  insurance,  its  failure  to  includeTll  thote 
who  are  m  need  of  it,  and  the  evidence  of  the  special  urgency  of  t  eh 
msurance  for  a  working  woman  during  childbLh,  thaf  cr/ati  tS 
movement  for  maternity  insurance  in Xly.     It  is  Wry  LteJLtiL  to 

«r^si  on"  *'L"''°^''  ^'  *'^  P^''^^  °^  *»^«  internal  r?o^ 
gresses  on  workmen's  insurance  aU  the  reports  and  discussions  on 
matermty  insurance  were  furnished  by  iLian  delegates~the 
Itahan  legislative  work  in  comiection  with  that  problem  be^rsteonJ 
evidence  of  the  influence  of  these  reports  ^ 

The  information  obtainable  from  the  sLx  censuses  of  Italian  mutual 
benefit  societies  concerning  their  activity  in  maternity  iZr^nclk 
somewhat  meager.  Wliile  it  shows  a  rather  rapid  growtH  never^ 
theless  demonstrates  the  very  limited  extent  of  such  relief      E 


1852  CHAPTEB  VII.— WOEKMBN's  INSURANCE  IN   ITAI.Y. 

censuses  of  1862,  1873,  and  1878,  unfortunately,  do  not  show  thk 
;~  at  all,  c;mbining  it  probably  with  ot^ Jor^-f  s.k  b^^^^^^^ 
fitc.      The  census  of  1894  contains  no  financial  data.     Thus  only  a  com 
farisolbetween  1885  and  1904  is  possible;  and  -n  f^/h-  ^^ 
matemitv  benefits  are  combined  with  all  other  benefits  for  nursmg. 
ri8?5  384  "cieties  out  of  3,762,  or  10.2  per  cent,  were  gmng  such 
benefits    in  1894,  451  out  of  6,725,  or  only  6.7  per  cent;  and  m  1904, 
S  out'  o?  6  535    or  8.8  per  cent.     The  total  expenditure  for  this 
pSpt:;  in  S'as  far  as'obtained  by  that  investigation,  was  only 
14,182  Ure  ($2,737.13),  and  later  data  are  not  available. 

SPECIAL   PRIVATE   MATERNITY   INSURANCE   INSTITUTIONS. 

The  organization  of  a  private  maternity  insurance  "«*ftutio"  was 
first  nroposed  before  the  workmen's  insurance  congress  m  Milan  m 
^4  3tre  plan  proposed  was  made  the  object  of  a  vigorous  agita- 
tion bv  many  organizations  of  Italian  women.  A  thorough  study  of 
theauestion  was  undertaken  by  the  Italian  Hygienic  Society,  and  m 
1898  it  prepS  the  constitution  of  a  maternity  insurance  institu- 
tion and  hougt  the  institution  has  never  been  realized  the  plan  of 
ir  proposed  organization  is  nevertheless  of  some  luterest  The 
IbirtoMl  e  projected  institution  was  to  grant  financui   assistance 

?^T  '  i4jlh^^^¥&tS  'Zr^'i:^^  ?r  ctSu^s 
rrSvtt^St,  a"c^:rdi:^o:  schedule  which  was  to  take^e 

at  La^t  300  days  of  previous  membership.  A  reserve  fund  was  to  be 
at  lea^t  •^""  «i«J^  °^  li  ^  „f  ^^e  annual  surplus  was  payable, 

Se  7'5'p  ct  of  twfsuX  was  to  be  redistributed  among  the 
Ictte  member  The  administration  was  left  to  the  general  meeting 
of  all  iTiTers  and  officers  were  to  be  elected  by  this  meeting. 

iZrprn,  which  also  failed,  was  proposed  by  the  Sayings  Bank 
of^olSna  It  was  a  scheme  of  individual  saving  rather  than  insur- 
ance It  was  contemplated  to  issue  special  '' maternity  saving 
books  "only  to  girls  under  16  years  of  age  who  are  employed  in 
manual  labor  or  whose  parents  are  so  employed,  to  be  subject  to  the 
Genera  rules 'folavings  accounts,  except  that  the  savings  so  made 
general  ruies  loi  ^      ^  childbirth;  and  as  an  encourage- 

Z:ilt:^^^Z^^^^^  of  200,000  lire  (S38,600)  was  to  be 
"ea  ed  the  interes't  of  which  was  to  bo  distributed  -noug  the  owne^ 
of  thei  special  maternity  accounts.  Only  in  cases  of  childbirth  m 
marriageTr^thin  thefirst  300  daysof  widowhood,  were  these  savmgs 

'"The'fct^'plan  which  materialized  was  conceived  in  Turin.     A 
lealte  Fof  the  defense  of  the  interest,  of  women  was  organized  m 


CHAPTER  VII.— WORKMEN 'S  msiTBAxr^^ 

^  S  INSURANCE  IN  ITALY.  1853 

iiinn  early  m  iSQ'^i    an^  « 

in  Turin  ea'rly  in'SC^LlIT  v"  t^ -'T  "'  ^'^'''^^''  ^^'^ 
maternity  insurance  fund.  S^ZJZTJVT  ''  ^''^'^^^^  - 
organization  committee  and  in  the  hT  *^«  j^ague  appointed  an 

established.     According t„,f  !•  ''^?"^'i''»g  of  1898  this  fund  was 

enable  its  active  m^^t^^^^^^^^^^^^  «  «- aim  of  this  fund  is  S 

and  after  childbirth.     The  totalTerioT 7"-^  ^°''  '°'°«  *^«  before 

normaUy  given  is  30  days,  wuLtcrefn"""^  ''^^^^  ^""'^^'^  are 
birth,  special  provisio^  V™;^ /^^"^---ompanying chUd- 
The  normal  period  is  divided  So  ;«?*  °»aximum  of  45  days, 

days  after  chUdbirth.     In  case  of  m  "'  '^  ^^^^  ^^^^''^  ""d  15 

only  the  second  term  is  paid  for         °^^*™*g«  '>'•  Premature  labor, 

The  daily  benefit  for  the  period  i«  i  sn  r       . 
given  only  upon  proof  of  actCh^    f    ^^  ^^^  ''^''^^'  and  it  is 
djtions  exacted   Tre  that  E  Iman  t""   """  ^''''-     ^^^^'^  •^- 
of  admission  to  memberahin  7hT  .'"**  P^-^gnant  at  the  time 

place  until  nine  moS^te^a tlTont'  ''''Tl'  """'^  -*  ^ 
membei-s'  dues  be  regularly  paT  °»«nibe,^hip,  and  that  the 

Membei.  are  divided  inrtlTee  clai's"  a^ ""^''^""^  '«— 
honorary;  but  from  a  financial  nnin/T^^^*'''^'  contributing,  and 
are  hnportant.  ContTbTti^' '^^  ^^IT  "'^ '^^  ^*  *^« ''*-- 
association  from  humanitarian  7ZiHt  ^^""T  ^^»  J^^^  *!»« 
into  three  groups-founders   X  '^f  IT''  *^^^  "^  '^^'^^'^ 

(»193)  as  a  lump  sum;  l£  memberwW  .""k  ''"  ''"'''  ''">''  ^^- 
lire  ($9.65)  at  once,  either  in  Zn^'o^i^cZT^.'"  ""*  '^  '^^'^  '^ 
ing  members,  who  agree  to  contribute  2  .^^0"'.'  """^  ^'"^tribut- 

at  least  5  year«.     Active  member  pat  .0        r"''^  ^"^  "'^""'^  '«'• 
month.  f^moers  pay  50  centesimi  (10  cents)  per 

An  interesting  subsidiary  function  nf  *i 
awarding  of  premiums  to  mXS  who  tak'^r'^K""  ^  '^'  ^"^"al 
Cu'r:n^"'r  ""'  P^'^-'--ndtdy  vlit^^^^  '"*  "'^^  ^'  *'^- 
^o1:!^^'^^']!^^^i^-^^^  be  expected 
expected,  but  by  experiente  ifia^  rXf,  r.T'  ""  *^-^-« 
this  rate  m  view,  the  financial  s^h,  *  .?  *''  ^°  P*""  *^«nt.  With 
the  following  computatlT:  "  ^^  *^"  association  is  seen  from 

With  a  daily  benefit  of  I  50  lirp  r^o         .  x    . 
normal  amount  of  benefits  per  eaSi  Jl,  T^^  "'"'^^  '«  ''^y^'  ^he 
or  1,800  fire  ($347.40)  for  each  1^0  IT         ""T  '°  ^^  ^^^  («8-69), 
^^!!^!^f!^!!^^i!^ost:T^^^^^^  without  takini 

^"i^^^^r^^^^^riT^-—----- !!!2^i_The  amiual  member- 


"  Henri  Sc^d^kl^^TTTT- — ^ii«annual  member- 
International  dtl'ecUnrdTTV^?^^^^^^^^^ 
tenue  .  Busaeldorf  du  fT^^i^^^  J-  A.n^ee«  Scial^^M^ti^^,^ 


1854 


BEPOBT  OF   THE  COMMISSIONER  OF   LABOR. 


ship  dues  of  these  100  members  amount  to  600  lire  ($115.80),  or 
only  one-third  of  the  necessary  cost,  leaving  1,200  Ike  ($231.60),  or 
two-thirds,  to  be  obtained  from  contributing  members  or  from  other 
charitable  sources.  Yet  6  lire  ($1.16)  per  annum  is  considered  quite 
high  for  dues,  considering  the  wages  for  labor  in  Italy,  the  old-age 
insurance  institutions  not  daring  to  demand  more  than  that.  Thus 
a  voluntary  system  of  maternity  insurance  in  Italy  seems  to  meet 
the  unsurmountable  difficulty  of  excessive  cost. 

The  provisions  of  this  societv  were  somewhat  modified  («)  m  1904, 
when  the  society  was  recognized  under  tlie  law  of  1886^  An  effort 
was  made  to  adjust  the  membership  dues  to  the  risk  of  maternity, 
though  in  a  rather  crude  way.  The  dues  are  35  centesimi  (7  cents) 
per  month  for  women  under  21  years  of  age,  55  centesuni  (11  cents) 
per  month  for  women  21  to  30  years  old,  and  45  centesimi  (9  cents) 
per  month  for  women  over  30  years  of  age.  The  number  of  members 
in  1907  was  494,  and  the  number  of  cases  assisted  only  121,  or  less 
than  25  per  cent.  Nevertheless,  the  membership  dues  were  not 
sufficient  to  support  the  society. 

Five  more  maternity  benefit  societies  are  known  to  have  beea 
organized— one  in  each  of  the  cities  of  Milan,  Rome,  Florence,  and 
Brescia  in  1905,  and  one  in  Bergamo  m  1906. 

In  the  MUan  societv  the  membership  dues  vary  from  1.20  lire 
(23  cents)  to  9  lire  ($1.74)  per  annum  for  members  under  20  years 
of  age,  and  for  all  over  20  years  of  age  they  are  9.60  lire  ($1.85)  per 
annum,  while  the  total  maternity  benefit  must  not  exceed  30  hre 
($5  79)'  The  society  in  Rome,  while  offering  a  benefit  equal  to  that 
of  the  society  at  Turin,  exacts  as  dues  only  25  centesimi  (5  cents) 
per  month.  The  society  of  Florence  gives  a  daily  benefit  of  1.50  hre 
(29  cents)  for  twenty  days  before  accouchment  and  for  an  equal 
period  after  accouchment,  making  a  total  benefit  of  60  lire  ($11.58), 
and  also  exacts  higher  dues— 45  centesimi  (9  cents)  i)er  month  for 
members  under  21  years  of  age,  65  centesimi  (13  cents)  for  members 
from  21  to  30  years,  and  55  centesimi  (11  cents)  for  those  over  30 

years  of  age.  ,  .  ,  ^  ,.r.  i.  •  • 
The  society  at  Bergamo  charges  membership  dues  of  40  centesimi 
(8  cents),  60  centesimi  (12  cents),  and  50  centesimi  (10  cents)  per 
month,  respectively,  for  the  same  three  age  groups  as  shown  for  the 
Florence  society,  in  addition  to  an  initiation  fee  of  1  lira  (19  cents), 
and  grants  a  benefit  of  40  lire  ($7.72).  ^ 
The  society  at  Brescia  charges  40  centesimi  (8  cents),  55  centesimi 
(11  cents),  and  45  centesimi  (9  cents),  respectively,  for  the  same 
three  age  groups,  and  grants  a  daily  benefit  of  1.50  lire  (29  cents) 
for  thirty  days,  or  a  total  of  45  lire  ($8.69). 

a  Henri  Scodnik,  L'Aesurance  Maternelle  et  lee  Caisses  pour  la  Matemit6  (Congr^s 
International  des  Assurances  Sociales,  8«  session,  Rome,  octobre,  1908). 


The  variations  show  thpt  ih^^    • 

th^e  societies,  which  are  part  Lh  3"^/-  "''"^"^^  ''^^  ^^  -^ 
A  great  stimulus  to  .,/"'^"^.^«f -supporting. 

temity  insurance"  ve/bvth  "^'r*  ^  *^«  ?-"«-  of  nv- 
^l-regulatinginlSeXwm^Sr^  ^'^  ■'"°!  '''  ^««^^  of 
Article  6  of  this  law  specificajfyToSbitl  ZT?  '°''  ''^'^«°-  <") 
withm  one  month  after  chUdbirth  S  .!.  ^^P^oyment  of  women 
may  be  reduced  to  three  weeks  providedT^"°°*'  "^'^  '^  Period 
tificate  signed  by  the  bureau  of  Ene  of  .^''T*'':  ^^^^^<^  cer- 
r^ides,  certifying  that  the  state  ofhT,  ,^-  '""*"*^  ^  ^l^<=t  she 
without  any  harm  to  herself!  perfomTh;^  *^**  '^^  ""^y, 

to  be  employed.     Thus  the  law  iitLT     '°'"  •^^''^  ^«  '^^^^ 
abihty,   accompanied  by  an  If^  ^  .  ^  P*"«^  ^t  legal  dis- 

natural  that  in'  both  clSu^TtLZr'  '"^f '  ^^ ''  ^^ 
thjs  law  wa^  accompanied  by  r^olutL^^^Ttf  *^^  ^'^''P^^^  of 
called  upon  to  prepare  a  plal  ^T£  ,  t\^^^  Govermnent  be 
maternity  insurance  instifuSn  in  Jw ^''^^T"'  «*  ''  •»»««'^al 
obligatory  for  all  those  fema  e  ;orke^  ?J  membei^hip  should  be 
-mely,  employees  of  mines,  f^J^^lT^tZo^  '"^  "''''-' 
^  xxv.sxxo.xxox  or  xhk  .r^^,  «,  ^^^ 

estaffi^s^:^roSX°trr^^^  for  a  bill  to 

agriculture,  industry,  ^nd  coZnltZZ^TT'^'  *^"  "^^^^^  of 
Labor  to  undertake  an  investSr  'i^  *^^  ^*"^'''»  bureau  of 
who  axe  covered  by  the  h^SZlS^^^^.  *"  '^^'^^  ^o"- 
undertaken  m  1903,  and  the  report  nubli!?!;.  .  ^be  mvestigation  waa 
statistical  mvestigation  of  that  bureau  Tt  ""  T'  ^'^  *he  fix^t 
ber  1,  1902,  to  November  30  1903  «„?  ^7'."^  *^^  ^^^^  I>«'em- 
employees  in  2,654  estabUshm;nts     '  "'"'"'*"**  ^^2,365  female 

According  to  the  Italian  census  of  JQn,    *», 
Ployees  and  then-  proportion  to  tb«w',''^ ''""''^'- °' '«°»ale  em- 
shown  in  the  follo4g^aS  *°*'^  '''''^^'  "^  ^"'Ployees  I 

NUMBER  AND  PER  CENT  OF  TEMALE  E 


Industry  group. 


-AJl  Other." 


|Totalnum-| 
ber  of  em- 
ployees. 


1,002,728 
162.883 
458,302 
971, 781 


2,595,694 


Female  employees. 
Number. 


20,219 

19,353 

366,571 

324,673 


730,816 


'Belgium,  offi^d;;^:^;;^— —- ^ : — \__^^^^^>8h 


28 


14 ,_. 


1856  EEPOET  OF  THE  C0MMISSI01.ER  OF  lABOE. 

The  total  number  Of  females  emplo^di.^^^^^^^^^^ 
to  the  census  of  1901,  was  730,816.     On  the  ot^  -       ^^^^^^ 

tical  office  of  the  Ministry  of  Agncultu'^e    nW    ^^..^..li^hments 

subject  to  the  law  of  June  19   19  .  ^^^^^^^ 

.^Ti^  T>ww  n?NT  OF  FEMALE  EMPLOYERS  IIN  r-^v. 
NUMBER  AND  PER  CENT  OF                                       nfflcio  del  Lavoro.    Basi  TecnichediunaCassa 
^source:  Ministerodi  Agricoltura,Industria^eC^ommer^^^  


Female  employews. 


Industry  group. 


Nuin))er   Total  num-   Under  15  years    O^^r  15  years 
ofestab-p   ^jgr  of     I  of  age.        1         oiage. 

lish-       employees, 
ments.  1  >  •  >  Per 


Number.  ^^^J.  Number.  ^^^^ 


Per 
cent  of 
„  .  ,     1  total 
Total.        em- 
ployee*. 


374,711 

249, 464 
421,643 
228,888 


3,407 

1,700 

54,039 

23,202 


12.0 

7.2 

17.3 

26.8 


24,931 

21,799 

257,921 

63,469 


88.0 
92.8 
82.7 
73.2 


28,338 

23,499 

311.960 

86,671 


7.6 

9.4 

74.0 

37.9 


Mines,  metallurgy .  mechan^  , 
ical,  and  chemical  industries      j^  ^^ 

Food  products g*  323 

Textiles 12, 670 

All  other 

m  4.  1  143,993 

Total 1 

'  ^    ^f  1  974  706  employees,  450,468,  or  35.3 

Thus  out  of  an  aggregate  of  ^^J^f^^^'^lJ^o,  or  81.7  per  cent, 

per  cent,  were  fe^d^;  but  oj  the^e^^ony  ^^  ,  ^^  ^  ^^^  ^^^^  ^^  ^,^ 

■were  over  15  years  oi  age, 

aggregate.  "Rnrpau  of  Labor  embraced  only  2,654 

The  investigation  of  the  Bure^"  J  ^       ,  ^eat,  but  these 

estabhshments,  <^^\^l'f^,\S  iZ^^es  between  .the  ages  of  15 
estabUshments  ^^^P^^^f  ,'S'female"«iployees  over  15  yeas  of  age, 
and  54,  or  46.8  per  cent  "^-^^^^^P  J^  sufficiently  accurate, 
which  makes  the  results  of  th«  ™'J^  statistical  results  of  this 
In  the  follo.ving  table  -^^^bv  ' he^^^^^^^^^       of   actuarial 
investigation,  somewhat  ^imphj^d   by  ^  ,1,,  ^irth 

details.  The  table  shows,  by  the  four  indust  g  P  ^^^^  ^^^^^^^ 
rate  per  1,000  fuU-year  e^l^^J J^ «  ^^J^d  the  average  wage 

employees  between  6  ^^^^^^^^-^  ^•''"^""^*  '"^'"''  '"^ 
of  women  giving  ^^^^^  *"  "^^J^  between  the  dues  necessary 
finally  a  computation  of  the  r^atio  ^^^^  ^^  ^^^^ 

to  cover  the  cost  of  matermty  insurance  ^^^  ^^^^^ 

employees.  T^«/-f£ilytt,Tr  fhlturths  th'e  daily  wage, 
equal  to  one-half  the  ^J^yj^. '-  ^  thousand  fuU-year  workers. 
The  birth  rate  was  found  to  be  only  45  per^tno  .^  ^^ 

wlule  it  is  120  per  thousand  J'>^ ^^^^^J  "J'^^^^^poftion  of  umnarried 


CHAPTER  VII.— WORKMEN *S  INSURANCE   IN   ITALY.  1857 

half  the  wages  for  30  days,  and  0.45  of  one  per  cent  of  the  wages  for 
maternity .  benefits  amounting  to  three-fourths  of  the  wages  for 
30  days.  ^ 

BIRTH   RATE     AVERAGE    WAGES,   AND   PROPORTION   OF   WAGES   NECESSARY  Trt 
INSURE   MATERNITY  BENEFIT,  BY  INDUSTRY  GROUPS    im 

[Source:  Ministero  di  Agricoltura,  Industria^e  Co^-^o.  Ufflcio  del  Lavoro.    Basi  Jecniche  di  una  Cassa 


Industry  group. 


Num- 
ber 
of 
estab- 
lish- 
ments. 


Mines,  metallurgy,  me- 
chanical, and  chemical 
industries 

Food  products.. 

Textiles 

AU  other '.'.'.'.'.'.'.. 

Total 


244 

90 

1,643 

677 


Num- 
ber of 
female 

em- 
ployees 
Nov.  30, 
1902. 


7,029 

1,595 

134,770 

28,971 


2,654 


Com- 
puted 
number 
of  full- 
year 
em- 
ployees. 


Num- 
ber of 
full- 
year 
work- 
ing 
women 
per 
1,000 
em- 
ploy- 
ees. 


5,834 

1,085 

120,778 

25,998 


172,365 


153,695 


830 
680 
896 
897 


Num- 
ber of 
cases 

of 
child- 
birth 
among 
the 
wage- 
work- 
ers. 


Num- 
ber of 
cases 

of 
child- 
birth 

per 
1,000 
full- 
year 
work- 
ers. 


271 

42 

4,683 

1,897 


892 


6,893 


46 
39 
39 
73 


Aver- 
age 
daily 
wage 

fe- 
male 
em- 
ploy- 
ees. 


SO.  23 
.25 
.22 
.30 


Aver- 
age 
daily 
wage 
of 
those 
who 
be- 
came 
moth- 
ers. 


Premiums 
necessary  to 
insure  a  "niu- 
ternity  bent- 
fit  for  30  da\-3 
(expressed  in 
10,000  parts 
of  the  wages.) 


When  I  When 
benefit  benefit 


is  J  of 
wages. 


45 


.23 


SO.  26 
.26 
.23 
.32 


36 
34 
25 
46 


is}  of 
wages. 


55 
51 
38 


,26 


30 


45 


BILL   OF    1905. 

The  results  of  this  investigation  and  the  discussion  of  the  problem 
Of  maternity  insurance  both  by  the  council  of  provident  institutions  («) 
and  by  the  superior  council  of  labor  C)  resulted  in  a  bill  which  was 
mtroduced  m  the  Chamber  of  Deputies  on  May  27,  1905  (0  by  the 
mimster  of  agriculture,  industry  and  commerce.  The  bill  aimed  to 
estabhsh  a  system  of  obligatory  maternity  insurance,  limited  to 
women  between  the  ages  of  15  and  50,  employed  in  mines,  factories 
and  workshops.  '      '^^"iic5>, 

For  this  purpose  a  national  institution  or  fund  was  proposed  ..ath 
headquar  ers  m  Rome,  to  be  administered  by  the  National  Old-Age 
the  sam?     ^      Insurance  Institution,  as  an  autonomous  section  of 

In  this  institution  the  insurance  was  to  be  compulsory  for  all 
women  of  the  class  and  age  designated.  The  benefit  necessarA^  was 
placed  approximately  at  three-fourths  of  the  daily  wage  for  3o\lavs 
rather  than  a  flat  per  diem  rate,  which  would  have  no  rein'"; 
the  local  variations  m  the  cost  of  living,  as  th^^vagesdoto  a  great 
«  Atti  del  Consiglio  de   Previdenza  (Ministero  di  Agricoltura    Indii«fria  a  C^^ 

^  Atti  del  Consiglio  Superiore  del  Lavoro.  Ill  Sessione,  1904 
c  Bollettmo  dell'  Ufficio  del  Lavoro,  Vol.  Ill,  1905. 


1858 


REPORT   OF   THE   COMMISSIONER  OF  LABOR. 


extent.     It  was  also  thought  proper  that  the  employer  share  with 
the  employee  the  cost  of  this  form  of  insurance. 

The  bill  proposed  to  group  the  wages,  contributions,  and  benefits 
into  seven  classes  rather  than  to  leave  the  determination  of  either 
to  special  computation  in  each  case.  This  slight  deviation  from 
abstract  justice  was  justified  by  consideration  of  administrative 
simplicity.  Accordingly  the  following  wage  groups  with  the  corre- 
sponding contributions  and  benefits  were  prepared: 

CONTRIBUTIONS  AND  BENEFITS,  BY  WAGE  GROUPS. 
[Source:  BoUettino  dell'  Ufficio  del  Lavoro,  1905,  Vol.  III.l 


Group. 

DaUy 

wages. 

Annual 
contributions. 

Daily  benefits. 

1 

Lire. 

Under  0.60 

0.61  to  1.20 

1.21  to  1.80 

1.81  to  2.40 

2.41  to  3.00 

3.01  to  3.60 

3.61  and  over 

Under   $0.116.... 

$0,118  to $0.232.... 

.234  to     .347.... 

.349  to     .463 

.465  to     .579 

.581  to     .695 

.697  and  over 

Lire. 
1.20 
2.40 
3.60 
4.80 
6.00 
7.20 
8.40 

$0,232 

.463 

.695 

.926 

1.158 

1.390 

1.621 

Lire. 
1.00 
1.00 
1.35 
1.80 
2.25 
2.70 
3.15 

$0,193 

2 

.193 

3 

.261 

4 

.347 

5 

.434 

6 

.521 

7 

.608 

The  annual  contributions  represented  two  days'  wages,  or  about  two- 
thirds  of  1  per  cent  of  the  annual  earnings,  based  on  the  maximum 
wage  of  each  group,  except  in  group  7,  in  which  the  contribution  is 
limited  to  8.4  lire  ($1 .62).  The  daily  benefits  represented  three-fourths 
of  the  maximum  daily  wage  of  the  group,  except  that  in  the  first  two 
groups  a  flat  rate  of  1  lira  (19  cents)  per  day  was  established,  being 
for  some  employees  even  higher  than  the  daily  wage,  and  in  group  7 
the  daily  benefit  was  limited  to  3.15  lire  (61  cents). 

Other  proposed  sources  of  income  for  this  institution  were  fines  and 
penalties  collected  for  noncompliance  with  the  demands  of  the  law, 
and  private  contributions  and  donations.  But  the  membership  dues 
have  been  adjusted  to  cover  the  cost  of  insurance.  They  were  to  be 
paid  by  the  employer,  who  was  to  be  permitted  to  deduct  one-half  of 
it  from  the  wages  of  the  insured.  Every  three  years,  or  oftener,  if 
found  necessary,  a  technical  revision  was  contemplat(^d  and  the 
amount  of  contribution  could  then  be  changed  if  necessary. 

The  rates  suggested  in  the  bill  of  1905,  amounting  approximately 
to  two  days'  wages,  or  about  0.67  of  1  per  cent  of  the  annual  wages, 
are  somewhat  higher  than  the  rate  obtained  by  the  investigation  of 
1903  (0.45  of  1  per  cent).  The  report  justifies  this  increase  first,  be- 
cause in  the  statistical  investigation  miscarriages  were  not  taken  into 
consideration,  and  because  due  weight  was  not  given  to  women  em- 
ployed only  a  part  of  the  time.  The  expenses  of  administration  must 
also  be  taken  into  consideration,  even  though  they  would  not  be  very 
great  if  this  form  of  insurance  is  managed  largely  by  the  old-age  and 
invalidity  insurance  institution.     The  elimination  of  the  female  em- 


OHAPTEE  VII.-WOBKMBN'S  INSURANCE  IN  ITALY.  1859 

PJTon,'  ^°  n"  ^^  ^'^'■'  °'^'  ""^^^  ^«r«  i°«l"ded  in  the  investigation 
of  903,  will  naturally  not  decrease  the  number  of  birthT^e^y^^lr 
rially  and  therefore  will  increase  the  birth  rate. 

BILL  OP  1907. 
Notwithstanding  the  active  support  given  the  bill  of  1905  by  manv 
cib  Tn  *'T'  ''  r^'^  ""''  ^"'"'"^"d  active  attentfon^iT  the 

v<>flr<5  lator     TK-,  \i    ■  i        ,  .     .  report  until  more  than  two 

years  later.    The  Ministry  of  Agriculture,  Industry  and  Commerce 

bpnf /'a^     TK^«^       •    •        ,    .    ^^  ^"  ^'^^  i^^^s  Of  the  new  mcum- 
nnrf  iA,,        commission  admitted  all  the  contentions  brought  in  su^ 
por   of  the  preceding  bills.     It  stated  that  in  the  opinion  of  the  ma 

o^t  ofl  s  iZ "'•'"  '*  "^  also  desirable  that  the  State  shLltTh" 
cost  of  this  insurance  equally  with  the  employer  and  employee  but,  it 

ttdZlT     r  '"TT  ^  Government  ove,  to  thi^pSof  v^ew 

coi;rte7=rd^^^  i  zi^xcer -r.  w^^^ 

w^ile  the  amount  of  ^^^^7^1  ::tZ--':}'^t^ 
(«5.79).     In  making  this  change,  the  commission  areued  thtt  tU 

gested  imposed  a  burden  of  only^i^cInTeSi  (^T'^f  ^"'^  ^"^- 
upon  the  women  insured,  and  iZZTZ  ^ItlZ^lZT 
poorest  employees,  while  the  benefit  of  30  ]Z  7*^70?  ^! 

for  thirty  days,  or  the  fuU  wages  for  about  twenty-two  days 

BILL  OP  1909. 
The  report  of  the  parUamentary  commission  of  December  20  1907 

. ."  ^ollettino  deU'  Ufficio  del  Lavoro,  1908  Vol   IX   t>   ^7q     ^ 

bill  in  Zacher'sArbeiterversicherung  im  Au^la^de  H^ft  V.  r    ««™^  ^xt  of  the 
w  Henri  Scodnik'8  L'Assurance  Mate™^l W  7    A  '  *''  P'  *^-    ^^""^  »«»* 

International  des  A^uxancrs^^^C-l^^n^^^^^^^ 


1860 


BEPOBT  OF  THE   COM  MISSION  EB  OF   LABOB. 


:i 


session,  and  a  new  bill  was  introduced  on  March  29,  1909.  This  new 
bill  was  practically  identical  with  that  reported  by  the  commission  on 
December  20,  1907. 

The  one  important  change  concerned  the  rate  of  membership  dues. 
Instead  of  a  flat  rate  of  1.50  lire  (29  cents)  per  annum  for  each  em- 
ployee from  15  to  50  years  of  age,  the  rate  proposed  in  this  bill  was 
1  lira  (19  cents)  for  those  from  15  to  20  years  old  and  2  lire  (39  centn) 
for  those  over  20  and  under  50  years  of  age.  This  change  was  based 
mainly  upon  the  great  difference  in  the  maternity  rates  for  women  of 
these  two  different  age  groups.  (")  It  has  been  computed  that  this  an- 
nual rate  for  women  15  to  20  years  of  age  is  0.3  of  1  per  cent,  while  for 
women  20  to  31  years  of  age  it  is  8.4  per  cent.  The  statistics  of 
women  at  work  in  Italy (^)  shows  that  women  from  15  to  20  years  old 
constitute  38.5  per  cent  of  all  female  employees  over  15  years  of  age 
and  women  from  20  to  55  years  of  age  58.7  per  cent.  A  rate  of  1  lira 
(19  cents)  per  annum  for  the  former,  and  2  lire  (39  cents)  per  annum 
for  the  women  from  20  to  50  years  of  age  will  evidently  average  only 
a  little  more  than  1.50  lire  (29  cents)  per  employee,  and  yet  be  more 
equitable,  in  view  of  the  different  maternity  risk,  than  the  flat  per 
capita  rate. 

Another  change  of  some  importance  was  that  of  denying  the  right  of 
benefit  in  the  case  of  intentional  abortion,  while  the  cfises  of  normal 
abortion  or  miscarriage  were  treated  as  ordinary  cases  of  labor. 

In  none  of  the  bills  proposed  and  here  discussed  has  any  effort 
been  made  to  furnish   different   rates  for  married   and  unmarried 

employees. 

The  parliamentary  commission  brought  in  a  very  favorable  report 
upon  this  bill  in  June,  1910(0-  The  commission  again  put  forward 
the  principle  of  state  subsidy  and  found  greater  encouragement 
in  the  new  cabinet,  which  followed  the  ministerial  crisis  of  Decem- 
ber, 1909.  Instead  of  the  earlier  demand  for  equal  contributions 
from  all  the  three  parties  concerned,  a  compromise  was  reached 
in  the  proposal  that  to  each  maternity  benefit  of  30  lire  ($5.79) 
the  State  contribute  a  subsidy  of  10  lire  ($1.93).  This  represents 
the  only  important  amendment  proposed  by  the  parliamentary 
commission. 

A  month  later  the  entire  text  of  the  bill  as  presented  by  the  com- 
mission was  adopted  by  the  Parhament  without  any  changes,  and  on 
July  17, 1910,  the  act  became  a  law,  thus  establishing  the  first  national 
institution  for  maternity  insurance  in  the  world. 


a  BoUettino  dell'  Ufficio  del  Lavoro,  Vol.  XI,  aprile,  1909. 

b  La  Donna  neir  Industria  Italiana  (Pubblicazione  dell'  Ufficio  del  Lavoro,  SerieB, 

No.  5,  Ann.  1905). 
c  BoUettino  dell'  Ufficio  del  Lavoro,  Vol.  XIII,  June,  1910. 


CHAPTER  VII.-W0BKMEN'S  msURANCE  IN   ITALY.  1861 

PROVISIONS   OF  THE    LAW   OF  JULY   17,  1910  - 

and  children.     Onl,  sThtoil'  r^^pr^Sd  ^^^  "'  r""^" 

are  covered  by  the  new  maternifv  ft.nW  ^  ."f ''^^  ^y  *^'«  ^a^'er  act 
female  employees  of  the  SftT^f^  r^'  **"  *  ^"*^*'  exception  of 
equally  fa/oraWe  elts       '**'  '"  "^-"^  '^'''''  P-^^'-  »*  least 

J^J^  =Sntrtrrltu?th^an?r-sl  ''''V'' 

mother  shall  discontLue  toi  t  '7,  f  ""  '"^  °^  '^'^^^^  '^^ 
also  be  remembered  that  1  hran5  ^  ^7'"  "'.^^^'  ^**  '*  ^^'^ 
minimum  for  sick  benefit  luJlll^^i'^Z^t'lLi^  "^"*' 

Tfter  parturitL      Authorirvt         "t '^  ^"^  ^"^^  *^«  «-'  -eek 

to  reire  thatThe  t:S:^^Z!:ilv^;z:iZ^Tsr 

is  ^ven  to  b^e^aS  frSgTheten^r^^^'^  ^  ^•'-"-- 

A  "^'^s/yV^^'^^^s^ro'.  trtitrdr  "*«.  ^v^  ^-^• 

employees  to  which  the  act  aSies  namelv  I'^'^Z"^  ^^«'°  «" 
between  the  ages  of  15  and  50.  £  'womTn  [s  to  T  ""  T.''"' 
contribution  is  one  lira  flQ  1  P»„fc^  ^^  ^'®*'^  '^^'^  the 

50  years  old,  two  1  re  (38  6  een  s)  o7tZ"'"l  'k'  '°''  ""'"^'^  ''  *« 
are  to  be  paid  by  the  LpCL  f.^^^^e ''''''''  ^^"^  ^^"- 

onIt,ronf  rm%t*?a:ero?  th^  '""^  7^'°^^^'  ^'^  ^^^  '^^'l-t 
the  share  of  the  el  0'!^^^       I  f  "^P  oyee.     Any  effort  to  raise 

In  case  of  falire^o?^  e°  1T  ^f '^"«''°-  ^^  punishable  by  a  fine, 
contributions,  r:Z^:::t^^l^Zr.^  ^l-equired 
benefits  must  be  naid  to  tharr.    o„^  ^u  -^ .  """^^  ®™P^<>J  ^^s.      flie  usual 


1862 


REPOET  OF  THE   COMMISSIONEB  OF  LABOR. 


Other  revenues  of  the  fund,  foreseen  in  the  law,  are  fines  collected 
from  employers  for  noncompliance  with  the  requirements  of  the  law, 
and  gifts  or  legacies  or  other  miscellaneous  contributions  to  the  fund. 

An  indirect  contribution  from  the  State  is  represented  by  the 
assumption  of  the  cost  of  administration  and  the  granting  of  other 
privileges,  such  as  freedom  from  taxes  and  registry  fees  for  all  docu- 
ments in  connection  with  its  administration. 

The  maternity  fund  is  intrusted  for  administrative  purposes  to  the 
National  Old-Age  and  Invalidity  Insurance  Institution,  though  tJie 
finances  of  the  two  institutions  must  be  kept  entirely  sei)arate.  The 
seat  of  the  new  institution  is  therefore  in  Rome.  The  maternity 
fund  is  to  be  administered  directly  by  a  special  committee,  appointed 
by  the  administrative  council  of  the  old-age  insurance  institution. 
Provision  is  made  for  representation  of  both  employers  and  employees 
on  that  committee;  one-third  of  the  committee  to  consist  of  the 
former  and  one-third  of  the  latter.  These  representatives  of  both 
the  employers  and  employees  are  to  be  nominated,  however,  by  the 
minister  of  agriculture,  industry,  and  commerce  from  the  colleges 
of  prud'hommes  (coUegi  di  prohirviri)  of  the  industries  in  which 
women  are  employed. 

The  financial  organization  is  also  intrusted  to  the  National  Old-Age 
and  InvaUdity  Insurance  Institution,  though  the  accounts  must  be 
kept  separately.  During  the  first  year  of  the  appHcation  of  the  law 
this  institution  is  to  advance  the  necessary  amounts  to  the  maternity 
fund,  to  be  repaid  in  five  annual  installments  with  a  4  per  cent 
rate  of  interest. 

Annual  reports  to  the  Parliament  concerning  the  activity  of  the 
fund  are  requu-ed  of  the  minister  of  agriculture,  industry,  and  com- 
merce, these  reports  to  contain  all  necessary  suggestions  concerning 
the  revision  of  the  actuarial  basis  of  the  fund. 

All  the  details  of  the  appUcation  of  the  law  are  left  to  the  regular 
tions,  which  by  the  act  were  required  to  receive  formal  approval  by 
royal  decree  within  six  months  of  the  approval  of  the  original  act. 
The  act  is  to  go  into  effect  three  months  after  the  publication  of  the 
regulations. 

OLD-AGE  AND  INVALIDITY  INSURANCE. 
NATIONAL  OLD-AGE  AND  INVALIDITY  INSUBANCE  INSTITUTION. 

In  its  system  of  compulsory  insurance  against  industrial  accidents 
Italy  followed  to  a  great  extent  the  example  of  Germany,  but  it  looked 
to  France  and  Belgium  for  models  of  a  system  of  old-age  insurancti, 
and  the  National  Institution  for  Insurance  of  Workmen  against 
InvaUdity  and  Old  Age  (Cassa  Nazionale  di  Previdenza  per  la  Inva- 
lidita  e  per  la  Vecchiaia  degli  Operai),  established  by  the  law  of  July  1 7, 
1898,  is  an  institution  for  voluntary  but  subsidized  insurance,  and 


CHAPTEE  TII.-WOBKMEN's  IKStTEAKCE  IN  ITALT  1863 

?Sn'inSrnr  ^^'^^'^^^  ^  '""^  corresponding  F.nch  and 

r^^^z  t:z/z  v-.tr  r '--.  --™^ — 

insurance  has  also  a  history  !f  ^^It'.  ^^'**'°  "^  voluntary 

efforts.  "^^  "^  "^^'■'y  *^e°ty  years  of  persistent 

HISTORY. 

A  biU  providing  forTucMn™  u  ^  '^^^^  ^^"^  «^  ^*'  ««  1859. 
This  law  did  not  Lpose  Tyfinl  T'^k',-'  ^^"  ""  '^""^  ''■  1859. 
treasury  and  therefore  offeS  no  ad^H^r  "^ 'f^^''''^^  "P<"^  the  stat« 
provision  except  that  pSTnld  bv  ^"  ?  ''"'°' ^''•"  ^'^"'^^ 
institution  (C'aiarfirll^!wir-^  *^  existence  of  an  insurance 
went  into  eLltt7^oitT^"!^7""^  «»wcaiai«).(a)    The  lawnever 

A  proposition  tolvTrtj^^rd    f       '"*' °f*^^ '"'"''^'^Sd^-d- 
Deputies  on  February?  1877  K  ,   '^.r*'  "*^«  '"  tJi^  Chamber  of 

Agitation  for  thTifab  SLt^TtlTitr -^'l 
age  pensions,  organized  bv  Uhn.  'n^t'tution  to  provide  old- 

the  appointment'  on"J,;^b  f  n  Tfr^'T:!"  ^^'*'^"*'  ''"  ^ 
mmister  of  interior  and  the  minislr  nf      ^ ''°™miss,onO  by  the 

commerce  for  the  study  of  tL  pSm  andTh  *"''  ''"^'''''^'  ''"^ 
and  regulations  for  an  old-Se  anH  n  t^i  Preparation  of  a  bill 
The  commission  brought  in  Trenn/w^*^  P"°''^'^  institution.(«) 
was  proposed  the  estflw^of  1^0,]^'  ^^'^  ''  ^  ''"'  '"  ^^^^ 
for  the  exclusive  insurance  of  ll        ^'^'^gc  «i«"rance  institution 

600  lire  (,115.80)  to  Lsural  S^  "'he  ''  "'^P""''  ^  "'"'^  ^' 
tution  were  to  consist  mainlv  o7?l!»  revenues  of  the  insti- 

ondly,  of  voluntary  contrfiion  or  T"""'^  "^  '^'  ''"'^'^  re- 
state subsidies.  «°°t"^"twn  or  legacies,  and  finally  of  certain 

NaTlTnaTBllXraLtdtt^^r  Tk*^  "^  ^^^^^^^  *<>  «>« 
to  act  as  agencies.     TlecosJ  otoZ'  '?-^  '^'  '"^'^^  POsWflices  were 

to  be  advaLd  by  thrStat  llral:  .'rrelldl"'"^^*^^^  -- 

^=zi  tstituirri  S^^-^^^^ 

^;  Att.  Parta^entari,  LegisUtu.  XIII.   Se^ione  Isr6-77,  Camera  dei  Dep.tati 
^  Zacher,  VI.  189Q    n   9q      a  *..•  t>    ,  ' 

1882-83,  earner;  dei  i>!,2ti,  "^^t' rs?'"""^"'^'  ^^"'^  ^V,  Pri^  Se«ione. 
67726°— VOL  2—11 2i 


1864 


BEPOET  OF   THE  COMMISSIONER  OF  LABOB. 


I 


by  federations  of  such  mutual  benefit  societies  by  offering  them  free 
of  any  expense  the  cooperation  of  the  local  post-office  for  the  receipt 
of  contributions  and  payment  of  pensions. 

Based  upon  these  recommendations  of  the  commission,  a  bill(«) 
was  introduced  by  the  minister  of  agriculture,  industry,  and  com- 
merce in  the  Chamber  of  Deputies  on  November  30,  1881,  for  the 
establishment  of  a  national  institution  for  workmen's  pensions.  The 
essential  features  of  this  proposal  were,  first,  its  special  designation 
for  the  use  of  wage-earners,  and,  secondly,  the  proposal  to  turn  over 
to  this  institution  as  a  state  subsidy  to  the  insured  20  per  cent  of 
the  net  profits  of  all  the  savings  banks,  private  as  well  as  postal. 
This  provision  of  the  bill  caused  considerable  criticism  and  opposition 
from  the  savings  banks,  which  claimed  that  such  a  tax  would  be  an 
infringement  of  their  rights  and  would  endanger  their  own  obligations. 

On  the  other  hand,  the  formation  of  an  old-age  pension  institution 
without  some  material  state  subsidy  offered  very  Httle  hope  for  success 
in  view  of  the  very  low  standard  of  earnings  of  the  Italian  workmen; 
and  the  state  treasury  was  not  in  a  condition  to  furnish  a  direct 
subsidy  without  additional  taxation. 

The  bill  of  1881  never  came  up  for  discussion  in  the  Chamber  of 
Deputies.  It  was  reintroduced  with  some  modifications  on  February 
19,  1883.  e)  ^ 

According  to  this  bill,  the  old-age  pension  institution,  though  an 
independent  organization,  was  to  be  administered  by  the  National 
Bank  of  Deposits  and  Loans.  All  workers  of  either  sex  over  18  years 
of  age  could  take  insurance  for  old-age  pensions  in  this  institution. 
The  monthly  contributions  were  to  be  not  less  than  1  lira  (19  cents) 
nor  more  than  4  lire  (77  cents),  and  an  entrance  fee  of  from  5  to  50 
lire  (97  cents  to  $9.65)  was  to  be  required.  In  addition  to  the  con- 
tributions of  the  insured,  several  other  sources  of  revenue  were  pro- 
vided; namely,  two-tenths  of  the  net  profits  of  the  postal  savings 
banks,  but  not  of  the  other  savings  banks (0  and  a  few  minor  sources 
of  revenue.  Pensions  were  to  be  payable  at  any  time  after  the 
insured  had  reached  50  years  of  age,  provided  he  had  been  paying 
his  premiums  for  fifteen  years.  In  case  of  invahdity  bi^fore  reaching 
this  age  limit,  special  pensions  could  be  granted  by  the  committee. 

«  Zacher,  VI,  p.  29.    Atti  Parlamentari,  Legislatura  XIV,  Prima  Sessiono.  Camera 
del  Deputati,  No.  263. 

&  Atti  Parlamentari,  Legislatura  XV,  Prima  Seesione,  1882-83,  Camera  dei  Depu- 
tati, No.  75.  ^ 

c  According  to  the  law  of  May  27, 1875,  establishing  the  postal  savings  banks,  seven- 
tenths  of  the  net  profits  of  the  savings  banks  are  distributed  to  the  depositonj,  and  the 
remaimng  three-tenths  must  be  distributed  as  premiums  to  provident  institutions 
The  assignment  of  two-tenths  to  the  national  pension  institution  was  therefore 
Claimed  as  a  fulfillment  of  their  legal  obligations. 


CHAPXEE  VII.-WOHKMEK  's  msUKANCK  IK  IXAI.V.         1865 

ance  with  rese  Jd  cap  7an^^^^^^^^  in  this  report  insu.. 

difference  bemg  that  under  ~  I  ''''  ''P'*^''  '^^  «^«'»«»» 
were  payable^  the  helt  faTeo  ZZ7ef  ^^^t, —"1"^-- 
granted,  whUe  in  mutual  insuranll.  t  ?  ^^^  P^°^'«n  ^as 

forfeited.     The  two  dintlTTZ.    t  '^''^™"l''ti«'»«  ^ere  to  be 

separately,  and  the  accuStiSns  o/pror^T'  ""^  "^  ^«  "^^P' 
urally  would  be  higher.  ^  "  "'^  "^"^^^i  ''l^ss  nat- 

In  the  mutual  class  the  erantin«r  nf  tu^  „      • 
8017  at  the  age  of  65.     But  LeSr  form  1"^'"°  ^^  *«  ^^  --pul- 
granting  the  pension   it  couhJ  h?.  ^^''^'^^^ insurance,  at  the  time  of 

wishes  of  the  Lured,^o  a"  to  reserTeTe      r"  '"'"''''''''  "'*•»  '''^ 
mulations  or  part  of  ihZ  ^°*""^  '''°«"nt  "^  the  accu- 

hisheir.,orXoufanyr"seZroKTH°'  ""  T""^'  *«  ^«  P"d" 
accompanied  the  bill  ^  ""  ^**^*°  mortality  statistics 

^r^X^Z'ztT£;ti:i^ir'''''^^'  '^^  bm  it.  author 

the  working  classes,  and  therefore  coS  Z  If  "'"^  T'""^^''^  ^- 
the  savings  of  small  nronripf^rl  °°t  become  a  depository  for 

France  and  Belgfum  P'^^"'*'''^'  *«  ^*«  claimed  to  t>e  the  c^  in 

J:  Sut:  tSsfr^Ind  t  *'7".**''^  ^'  *^«  '>^  thought  a 
this  duty  upon  loci  sl^nU'^tnt'or  :^  f ',  T^^^^  ^  V^ose 
utterly  unsatisfactory  """^"^^   •'^^^^t  societies  aa 

anJe'lni^rau^r^rr^f  XUo^  "Tf  °^  ^"'"-^-^  -- 
'  ThrbT'^"'''-^^^  Pentn%rrariugalr^^  ^"^  ^^*'''^^^- 

up^o:  ficx^irt^ 

the  new  minister  of  LricuUur?  in^'    7       ^T"^  '^^'■'  ^°  Ju°e.  1885 
bill  which  in  many  of  h ,  ,       '  '."^"^t'^'  ^"d  commerce  introduced  a 

;hous  bills,  ^nTTtC\zr:::7:^^Tfist'''^  't  *^"^- 

decree.  («)  ^^  ^"^  ^^  ^^^^  was  recalled  by  royal 

the'to^"pr:tirS."tr^^^^^  -''^l^  -~  as  did 

Belgian  experience  was  conidere  1   f     ""m  ""  '^'  ^'"""^'^  '»'>'•  the 


:ssiam 


1866 


REPORT  OF  THE  COMMISSIONER  OF  LABOR. 


earmarks  of  state  socialism  and  excessive  centralization.  Equally 
good  results  were  claimed  to  be  possible  through  private  institutions, 
singly  or  in  federations,  but  under  government  supervision  and  con- 
trol, and  the  National  Accident  Insurance  Institution  established  in 
1883  was  quoted  as  an  example.  The  bill  provided  therefore  that 
each  savings  bank  could  be  authorized  to  write  old-age  pension 
insurance  by  depositing  a  guarantee  fund  of  50,000  Ure  ($9,650). 
Several  savings  banks  could  unite  in  forming  an  old-age  fund.  To 
each  old-age  insurance  institution  thus  organized  a  definite  geographic 
district  was  to  be  assigned.  Insurance  was  allowed  to  all  workers 
over  the  age  of  15.  Only  insurance  with  reserved  capital  was  to 
be  permitted;  that  is,  the  premiums  and  interest  being  returnable  in 
case  of  death.  The  pensions  were  to  begin  at  the  age  of  50,  though 
they  could  be  postponed.  When  a  pension  was  granted,  it  might 
be  given  with  or  without  the  reservation  of  the  rights  of  the  insured 
to  his  original  accumulations,  and  even  lump-sum  payments  might 
be  substituted  for  pensions. 

The  state  subsidies  to  the  insured  remained  nearly  the  same  as  in 
the  previous  bills,  but  they  were  divided  into  two  groups,  the  annual 
subsidy  and  an  eventual  subsidy,  the  payment  of  the  latter  being 
delayed  until  the  fund  reached  a  certain  amount.  The  main  bond 
between  the  many  old-age  pension  insurance  institutions  was  to  be 
formed  by  the  distribution  of  these  subsidies  among  them  in  direct 
proportion  to  the  number  of  insured.  These  were  to  be  further 
distributed  in  equal  amounts  among  all  insured  persons  who  had 
paid  in  not  less  than  6  lire  ($1.16)  during  the  current  year.  The 
cooperation  of  the  postal  savings  banks  for  collection  of  premiums 
was  another  form  of  state  assistance.  This  bill  did  not  have  any 
better  success  than  its  predecessors.  The  Parliament  dissolved 
before  it  came  up  for  discussion. 

The  fourth  bill  in  this  series  of  unsuccessful  efforts  was  introduced 
in  the  Lower  Chamber  on  December  9,  1887.  (**)  In  this  bill  the 
tendency  away  from  a  direct  state  insurance  toward  a  system  of  state 
subsidy  and  supervision  of  private  local  pension  insuring  institutions 
was  even  more  pronounced  than  in  the  preceding  bill.  The  bill  of 
1887  provided  for  the  establishment  of  a  special  fund  in  connection 
with  the  Bank  of  Deposits  and  Loans.  This  fund  was  to  be  utilized 
for  distribution  of  subsidies  to  institutions  for  insurance  of  workers 
against  old  age,  and  the  selection  of  the  institutions  and  the  assign- 
ment of  subsidies  to  each  were  to  be  left  to  ministerial  decrees,  with 
the  provision  that  the  distribution  must  be  in  proj)ortion  to  the 
number  of  insured  persons  over  15  years  of  age  who  had  paid  in 
during  the  year  not  less  than  five  lire  (97  cents),  and  the  subsidy 
should  not  exceed  twenty  lire  ($3.86).     In  return  for  tliis  subsidy  the 

«  Atti  Parlamentari,  Legislatura  XVI,  Camera  dei  Deputati,  No.  74, 


CHAPTEB  VII.-WOBKMEN's  INSUBAHCE  m  ITAI^Y.         1867 

in  compUance  wit™  ^7  ^     *^  *^'  regulations  to  be  promulgated 

in  a  favorable  JS on  Juty^'^^^^^^^  -^-»^  brought 

session  of  the  Parliament  in  Deceit  o^^^^^^^^^^^ 

ibe  bill  was  remtroduced  on  December  11    isso  .^  • 
a  commission,  which  brought  in  its  report  on  July'l  iZ  atr^-  ^ 
the  bill  with  some  modification «>  ■  K„t  u    ""  "    •'^  i  '  ^^"'  aPProving 

The  fate  of  the  eaSMMndiid  a  C^%''\^''^^''  Progress. 
of  voluntaiy  old-age  iLrance      Non«  n  1  **K-n  *"■''* '°  *^"  '^''^'^ 
the  eighties  had  even  Seved  th.  ^    !    /  ^^^^  introduced  within 
of  the  Chamber     Thk  1^11^    T*^  "^  a  discussion  on  the  floor 
before  the  next  e.I^^nZl ZlZ^':''^:'^Z^  ^  ^'TS 

rtr£^tL^t™yfS;nand^^^^^^ 

Industry."  National.  Institution  for  Invalids  of 

to  S  fSuls  i^rifzTsi?  t:  ''-  ?  r  --^  ^^"- 

of  a  national  old-age  insurlce  i^  Lt  nTtS  t^  ^ ^^^^ 
local  and  privately  organized  funds.  Tlugriegal  t Tu^"^^^^^^  - 
was  to  be  regulated  by  statutes  prepared  bfthlS.r'*""'  ** 
ture,  industry,  and  commerce  flnHT^  I  u  """^^t^r  of  agricul- 
aU  the  previous  bills  itTrn  T  ^PP'"."^^^  ^y  ™y^  decree.  Like 
of  waglwrke J^  and  a  vo^Z  *"  '"^l"'^'^^  ^o^  the  special  benefit 
subsidies.     From  the  list  I?  tw"^  T  '"^  ?^  ^^""^^^  ^^'^  «***« 

income  of  the  Po::'f:tcz^t£t:t: :S^''Xe''"'  ^! 

insuraoice  (with  reserS  canS  ^  T^  ^""'^  ^'l"  individual  form  of 
capital  in  L  ofZl^a^lt:^^^:^^'^^^^  f^^^ 

=re^Tii^^ofLriiir^f'^^ 

before  the  expSon  ofsu  t  Lmf  TT  "'''''\'''  ^'"^'^^^^ 
depended  upon  the  individu^Mp^ir:,  *""  *'*^'^   *^'«  pensions 

benefits  coiSerredXtThlStA^^rSi^^^^^  ^S??^ 

-Italian  text:  Atti  Parlamentari,  Legislatura  XVITT  Pri™    o  ~ 

Deputati,  No.  245.     BoUettino  di  Notiz^suT^HT/       'if^*  ^^"'°*'  <^*"'«'»  ^ei 
French  text:  Bulletin  du  ComitrPermrent  H^  .^    I?"''  Previdenza,  1893,  Vol.  II. 

text:  Bodiker,ArbeiterveS™~95  '^     *^*'°'^'''°'^^     ««^ 


sum 


1868 


KEPORT  OF   THE  COMMISSIONER  OF   LABOR. 


bution,  the  subsidy  not  to  exceed  60  lire  ($11.58)  per  annum  to  each 
person  insured.  Various  minor  privileges  were  also  conferred  upon 
the  institution.  In  the  main,  however,  the  technical  rej^ulations,  the 
tables  and  computations  were  to  be  left  to  be  elaborated  by  the 
minister  of  agriculture,  industry,  and  commerce. 

The  bill  never  came  up  for  discussion  in  the  Chamber. 

''A  Bill  for  the  Establishment  of  a  National  Institution  for  the 
Insurance  of  Wage- workers  against  Invahdity  and  Old  Age"  was 
introduced  on  April  13,  1897,  passed  on  July  14,  1898,  and  approved 
by  the  Crown  on  July  17,  1898.  Thus  the  estabhshment  of  the 
national  institution  for  invahdity  and  old-age  insurance  followed  very 
rapidly  the  adoption  of  the  law  for  compulsory  insurance  against 
industrial  accidents. 

LEGISLATION. 

The  following  is  a  list  of  the  important  laws,  decrees,  and  similar 
enactments  which  have  been  promulgated  concerning  the  National 
Institution  for  Insurance  of  Wage-workers  against  Invahdity  and 
Old  Age  since  its  organization. 

(1)  The  organic  law  estabhshing  the  institution  was  passed  on 
July  17, 1898, (*)  to  go  into  effect  one  month  after  the  approval  of  its 
constitution. 

(25*  The  constitution  of  the  institution  was  approved  by  royal 
decree  on  June  18,  1899.  (^) 

(3)  The  technical  regulations  of  the  institution  were  approved  by 
royal  decree  on  June  18,  1899.  (*) 

(4)  Regulations  for  all  branch  offices  of  the  institution  wore  pro- 
mulgated by  the  royal  decree  of  July  29,  1900.(0  * 

(5)  The  provisional  tables  for  computations  of  earned  pensions 
were  approved  by  royal  decree  of  February  3,  1901.  (<^) 

(6)  Law  of  July  7,  1901,  amending  that  of  July  17,  1898.(<^) 

(7)  Codified  text  of  the  law,  consolidating  the  act  of  .Fuly  17,  1898, 
and  the  amending  act  of  July  7,  1901,  published  by  royal  decree  of 
July  28,  1901.(0 


a  Italian  text:  Bollettino  di  Notizie  buI  Credito  e  suUa  Prevideiiza,  XIX,  1901. 
German  text:  Zacher,  VI.  French  text:  Annuaire  de  la  Legislation  du  Travail;  2d 
Annuaire,  1898. 

b  Italian  text:  Annali  del  Credito  e  della  Pre\  idenza,  1899.  Atti  del  Consiglio 
della  Previdenza,  Prima  Sessions.  French  text:  Annuaire  de  la  Legislation  du 
Travail,  1899. 

c  Bollettino  di  Notizie  sul  Credito  e  sulla  Previdenza,  XIX,  1901. 

d  Italian  text:  Bollettino  di  Notizie  sul  Credito  e  sulla  Previdenza,  XIX,  1901. 
French  text:  Annuaire  de  la  Legislation  du  Travail,  1901. 

« Italian  text:  Bollettino  di  Notizie  sul  Credito  e  sulla  Previdenza,  XIX,  1901. 
German  text:  Zacher,  Via.  French  text:  Annuaire  de  la  Legislation  du  Travail, 
1901. 


CHAPTEB  VII.-W0BKMEN'S  msITRANCE   IK   ITALY.  1869 

(8)  Royal  decree  of  Decemhpr  90    loni        .i      •  . 
insUtu^on  to  write  insu^r  LT  Uf^  anniuS*  ^"^"^  '''  "''*-^' 
decl^flray  2tmr  "'    '^'  -*'*"*-,0    approved    by  ro,a, 

banks.  C)  abandoned  accounts  with  the  postal  savings 

Juri^Toile)''"'^'  ''■  '''''  ^'"-'^-g  '^^  law  (codified  text)  of 

an?  gentaTLtdililn,;^^^^  "^''''^'^  '""^  P^--  tariffs 

a.  p  Emitted  b,  t^^Z^  ^tlT^l-^'-::  1,t  Tef f^^ 
-No.  8  m  tins  list.)(/)  •  '  ^"^-     (^®®  above 

reSif^i'""^  of  September  2,  1904,  amending  the  technical 

.^(15)^  Royal  decree  of  September  2,  1904,  amending  the  constitu- 


tion 

(16)  Royal  decree  of  November  1«    looft  i- 

June  26,  1904   concerninlfll  •  '•  ^^^^^^g  the  decree  of 

diu.s  of  the  'frpj^i:^::::^  ^'^  --  - 

law  S  J^uJTst  mT^Z'tlT'  tT^r  ''''  ^'^'^^  ^-t  o'  the 
30,^  ig^OrT  *  ''^  ''^  '^^'  ^''P^''^^^  "^y  -^^i  dec.ee  of  May 

French  text:  Annuaire  de  la  LilZnt  Sn  \Z^^  ^™^''^''^^'  '^^^  '^- 
"  Italian  text:  Bollettino  de  Notizie  ri.I  CrSf  ,.' 

French  text:  Annuaire  de  la  L^Con<i:T^4l;°i;^^^  Previdenza,  XX,  1902. 
^Bollettino  di  Notizie  sul  cZit.  .sZ^ZiZ^x'^C  '*"'  ^^''''-  ^'I- 
'  Italian  text:  Bollettino  di  Notizie  sul  OnS.V^  ■■   ^'  ^^■ 

German  text:  Zacher,  Via  ""  ^  '""*  Previdenza,  XXII,  1904 

^fSTxt:  Suirdi t:-  '  «ulla  Previdenza,  XXH,  1904. 

^  >IUliantext:  BrSi^o  d^NtTzitt^^rdii'^^'n'^'L' '  '^^• 

Prenc^  ,ex,:  Annuaire  de  la  lSLI^L'^iC  '^""'^"^'^  ^^^'  ''''■ 


1870 


REPORT  OF   THE  COMMISSIONER  OF  LABOR. 


(20)  Constitution  of  the  institution,  approved  by  royal  decree  of 
March  18,  1909. («) 

(21)  Technical  regulations,   approved  by  royal  decree  of  March 

18,  1909.  (^) 

Not  all  of  this  legislation  is  m  force  at  present.  The  new  codified 
texts  of  the  law  have  successively  been  substituted  for  the  older 
texts,  and  with  the  approval  of  the  new  statutes  and  regulations  the 
preceding  ones  were  repealed.  In  the  following  pages  only  the  leg- 
islative acts  now  in  force  will  be  studied  in  detail.  But  it  is  necessary 
to  precede  such  detailed  analysis  by  a  brief  review  of  the  changes  in 
legislation  affecting  the  National  Institution  for  Insurance  of  Wage- 
workers  agamst  Invahdity  and  Old  Age,  because  only  through  such 
study  of  the  changes  can  the  tendencies  in  the  growth  and  develop- 
ment of  old-age  msurance  in  Italy  be  understood.  Brieily,  the  his- 
tory of  the  legislation  concerning  this  mstitution  is:  The  first  law 
was  approved  on  July  17,  1898,  and  the  actual  operations  of  the 
fund  began  in  October,  1899. 

The  fn-st  amending  act  was  approved  on  July  7,  1901,  and  the 
codified  text  of  the  law  was  promulgated  by  royal  decree  July  28, 
1901,  and  went  into  effect  on  August  1,  1901. 

The  second  general  amending  act  was  approved  on  December  30, 
1906,  and  the  codified  text  was  promulgated  by  the  royal  decree  of 
May  30,  1907.  Some  of  the  important  changes  of  this  law  did  not 
go  into  effect  until  March  18,  1909,  when  the  new  constitution  and 
the  technical  regulations  of  the  institution  were  approved. 

Law  of  1898.— The  National  Institution  for  Insurance  of  Work- 
men agamst  Invahdity  and  Old  Age  as  established  by  the  law  of 
July  17,  1898,  is  an  institution  for  voluntary  insurance  open  to  all 
wage-workers  who  are  citizens  of  Italy.  The  amount  of  contribu- 
tions is  left  entu-ely  to  the  free  will  of  the  msured,  except  that  a 
maximuni  limit  of  100  hre  ($19.30)  per  annum  is  estabhshed,  and 
contributions  smaller  than  50  centesimi  (10  cents)  are  not  received. 
These  contributions  are  credited  to  each  insured  person's  individual 
account,  but,  besides,  additions  are  made  to  the  individual  accounts 
of  all  persons  paying  in  at  least  6  lire  ($1.16)  durmg  the  year. 
These  additions  are  obtained  partly  from  the  interest  on  the  endow- 
ment funds  and  partly  from  the  annual  revenues  allotted  to  the 
institution. 

The  endowment  fund  of  10,000,000  lu-e  ($1,930,000)  has  been 
formed  from  two  sources,  contributing  equal  shares  of  5,000,000 
lu-e  ($965,000)  each— the  net  profits  of  the  postal  savings  banks  and 
the  fund  of  invahdated  bank  notes  not  presented  for  cancellation. 

aStatutoin  esecuzione  della  legge  (testo  unico),  30  maggio  1907.     I'ublished  by 
Cassa  Nazionale  di  Previdenza  per  la  Invalidity  e  per  la  Vecchiaia  d^li  Operai. 
b  Regolamento  lectrico,  etc.,  published  by  the  Cassa,  etc. 


CHAPTEB  VII.— WORKMEN 'S  INSURANCE  IN   ITALY.  1871 

In  addition  numerous  other  revenues  were  diverted  to  the  treasury 
of  the  newly-created  mstitution,  to  be  used  partly  as  annual  reyZZ 
and  partly  to  swell  the  endowment  fund.^  Even  from  lelZZ 
revenues  a  portion  must  be  diverted  to  the  endowment  fund  for  the 
nrst  10  years  so  as  to  brmg  it  up  to  16,000,000  lire  ($3,088,000) 

adSL'«lT  ir'"''  '^  '^'^'  P^""  ^^  '^'''  "^  ^^^fi-t-  --^ount  of 
additional   benefits   is   guaranteed    to   the  insured   persons      They 

appear  to  be  somewhat  accidental,  depending  upon  the  revenu^ 

TuX  of^n  "''•'"'"";  ^"'  '^^^  invex^el/proportionate  to  S 
Sted  OnHf  '"'"'^'  among  whom  the  amount  must  be  dis- 
tributed. Only  the  maximum  limit,  12  lire  ($2.32)  per  annum  to 
each  person,  is  established.  ^      annum  to 

The  list  of  revenues  diverted  to  this  institution  is  very  mterestin^ 
of  trust  funds  are  thus  transferred,  as  follows  («) 

yJu.\Tfi  ^r\'^  "'"'"''''^  ^^'  ($965,000)  wa.  taken  from  the 
^4  «n  I  T^  r'"'  ^'"'^  ^^  accordance  with  a  law  of  Apri 

1874,  and  canceled  because  of  failure  to  present  them  for  redemnS 
m  accordance  with  the  law  of  April  7,  1881,  which  disconS  S 
compulsory  circulation  of  these  bank  notes  and  established  certS 
time  hmits  for  their  redemption  m  specie  or  treasury  notes  The 
amount  of  bank  notes  not  presented  for  redemption  Ldthere^^^^^^^ 
canceled  by  October  1,  1894,  was  13,343,796  lire  ($2  575^^1T  T^^^ 

institution,  therefore,  amounted  to  less  than  one-half  of  the  net^a^ 
of  the  Government  from  this  operation.  ^ 

The  second  fund  of  5,000,000  lire  ($965,000)  was  taken  from  thp 
avadable  net  profits  of  the  postal  savings  banks/whSi  C  e  e  or^^^^^^^^^ 

incr"^^^^^^^  ~"  "'  ^^"^^"^  "-^  --^ed  for  the 

mcrease  of  the  10,000,000  hre  ($1,930,000)  endowment  fund-(^) 

10    1893      ThTorf  ^  '^'"  ^T^^  "^  ^^^"^  ^^'  P^-^^  on  August 
31      89?*  and  if       T       ^^^^^f  ^^  ^"^  ^^  circulation  on  December 

;^^icJaamed  for  30  years  were  invalidated  according  to  the  law  of 


1872 


REPORT   OF   THE  COMMISSIONER  OF  LABOR. 


May  17,  1863.     These  invalidated  deposits  are  now  transferred  to 
the  old-age  insurance  institution. 

(4)  By  the  law  of  July  7,  1866,  dissolving  the  reUgious  orders, 
then-  property  was  used  to  form  the  so-called  reUgious  fund.  From 
the  proceeds  of  this  fund  expenditures  for  pensions  are  made  to 
members  of  these  orders  and  for  other  reUgious  purposes.  Of  the 
excess  of  the  proceeds  over  expenditures,  one-fourth  is  paid  to  the 
local  communities  where  the  property  is  located,  and  three-fourths 
revert  to  the  State.  Of  this  share,  one-tenth  was  granted  to  the  old- 
age  insurance  institutions. 

(5)  AU  other  private  grants,  bequests,  etc. 

The  foUowing  sources  were  designated  as  regular  annual  revenues: 

(1)  A  portion  of  the  net  profits  of  the  i)ostal  savings  banks— for 
1897  and  1898,  30  per  cent,  and  from  January  1,  1899,  50  per  cent, 
and  in  addition  to  this  when  the  total  deposits  exceed  500,000,000 
lire  ($96,500,000),  70  per  cent  of  the  net  revenues  attributable  to 
that  excess. 

(2)  Fifty  per  cent  of  the  net  income  from  the  deposits  of  court  fees 
and  similar  court  moneys  deposited  according  to  the  law  of  June 
29, 1882,  in  the  Bank  of  Deposits  and  Loans  (for  1897  and  1898  only 
25  per  cent). 

(3)  Legacies  reverting  to  the  State. 

(4)  The  interest  upon  the  endowment  fund;  and  (5)  all  other 
revenues. 

These  various  sources  of  annual  revc^nue  and  the  interest  on  the 
endowment  fund  are  expected  to  provide  means  for  substantial 
increments  to  the  personal  accounts  of  the  members.  These  accounts, 
carefully  computed  according  to  the  detailed  provisions  contained 
in  the  law,  form  the  basis  for  payment  of  pensions. 

Normally  the  accounts  were  to  be  Uquidated— that  is,  transformed 
into  annuities  when  the  member  reached  60  or  65  years  of  age,  and 
after  at  least  25  years  have  elapsed  since  the  first  payment.  This 
rule  would  not  permit  the  insurance  of  persons  over  40  years  of  age, 
and  for  the  first  two  years  insurance  for  a  shorter  period  (20,  15,  or 
10  years)  was  permitted.  This  was  subseciuently  extended  by  the 
law  of  July  7,  1901,  to  December  31,  1903,  and  by  the  law  of  March 
13,  1904,  to  December  31,  1905.  The  conversion  of  the  accumulated 
account  into  an  annuity  was  to  take  place  according  to  the  ordinary 
insurance  principles,  and  according  to  a  special  table  based  upon 
ItaUan  mortality  statistics. 

Under  certain  conditions  payment  of  the  entire  value  or  part  of 
the  value  of  the  accumulated  account  was  payable  in  a  lump  sum 
instead  of  as  an  annuity.  Also  the  annuity  could  be  purchased 
with  reserved  capital  or  aUenated  capital. 

Two  forms  of  insurance  are  allowed,  the  plan  of  reserved  payments 
and  the  mutual  plan;  the  essential  difference  between  these  two 


CHAPTER  VII._W0RKMEN'S  INSURANCE  IN   ITALY.  1873 

plans  being  that  in  the  former,  in  case  of  dp«tli  h.f 

annuity  is  acquired,  the  accumXerpa»  ^  '^ 

of  the  deceased,  while  in  th^  i^.,^^^  /  ,^^^  P«^^  *«  the  heu^ 

plan.     As  a  matter  of  faot   fh^  a;4v  -  according  to  the  same 

appear,   for   t^LuJ:^^' Z''^^:^ZZ:~^ 

element  of  mutuaUtv  in  it      Onl J  ^^       . ^^^  °*^  ^""^   '''«°   the- 

member  are  returned  to  ,'•  i-t^Uaul^^^^  "'  '""^ 

accounts  are  redistributed  Im'g  the  olfmlb  r  T.?"'  '"  *'" 
of  annuity  nurrhfl-sahlA  f«.  „    *^  j  members.     The  amount 

the  mutuS  plan  but   Lnl      T"^  '''"°"°'  '^  "'"^'^  ^'^'''^^  "«der 

more  forcii^To  ^l^ZCZZZl  '^,Tr^  "^^^P''^^' 
accumulations  in  case  of  his  ptmatrdelr    ''^  '^""'^  '"  '"^^  ^^ 

each';CrI;:  — fol,r^^^^^^  P-  --  -der 

X.0„..  o.  ^^^^^^^  .OK  «^P.K^™  ....„  .„.  ...... 


Age  at  beginning  of  insurance. 


Annuity  to  begin  at  the  age  of- 


60  years. 


65  years. 


Mutual 
plan. 


25  years... 
30  years... 
35  years... 
*0  years... 


Reserved 
plan. 


til. 40 
8.36 
5.95 
4.07 


»7.87 
5.99 
4.45 
3.18 


Mutual 
plan. 


S21.08 
15.66 
11.37 
8.02 


Reserved 
plan. 


112.37 
9.50 
7.30 
5.-42 


on?  oTd'^ig  Itatr  tSr  *'^  system  estabhshed  wa.  primarily 
nificant.  if  irrrmTtted  tn^'"'''''?"'  ^"'  '"^""^^^  ^^^  ^^l 
accumulated  Iccounts  in  li  T  T.*"''"'*^  "''  '^'  ^asis  of 
have  elapseLLTthe  be^innW  1  •'°^'''^'^'  P™^**^'^  ^^^  y«a« 
invalids'^'fund  wTs ttablZdY;  S^  ad^fti:'';""'^  ^  ^''"^^ 
annuu,  to  invalids,  but  the  sourcesT^S  rntrs"td~e^ 

inircrinrchrnrwi~rr,  *T'r  '-^  ^^  '^'y  '■  '^^' 

did  not  affect  Sfe  geneS  ;Splt:ft,re^Tr^^^^^^ 

outlined  above      Th«  .1.   ^""''.'Pf  ^  f  *"«  old-age  insurance  system 

Buruaiy  ii,  1899,  these  notes  were  ordered  taWon  „„*     t    ■ 
lation  on  December  ■?  1    Toni      ti         "  "™^'^f<i  taken  out  of  circu- 

ing  and  not  vT^Ztl^  'f  *°'°""*  **^  ^"''*»  '^''^^  outstand- 

g  not  presented  for  payment  and  canceUation  by  the  end  of 


II 


I 


1874 


BEPOET  OF   THE  COMMISSIONER  OF  LABOB. 


1902  were  deposited  in  January,  1903,  as  a  voluntary  interest-bearing 
deposit  in  the  Bank  of  Deposits  and  Loans,  to  serve  as  a  fund  for 
redemption  of  the  outstanding  notes.  The  interest  from  tliis  deposit 
is  transferred  to  the  old-age  insurance  institution  for  the  increase 
of  its  endowment  fund. 

2.  A  modification  was  introduced  in  the  method  of  reverting  to 
the  old-age  insurance  institution  fund  one-half  the  value  of  such 
bank  notes  as  should  not  be  presented  for  redemption  before  June 
30,  1904.  It  was  estimated  by  the  Government  that  about  8,000,000 
lire  ($1,544,000)  worth  of  these  bank  notes  were  probably  lost,  and 
they  were  taken  out  of  circulation.  The  law  ordered,  therefore, 
that  the  three  banks  of  issue  (Banca  d'ltalia,  Banca  di  Napoli,  and 
Banca  di  Sicilia)  pay  to  the  Bank  of  Deposits  and  Loans  the  sum  of 
8,000,000  lire  ($1,544,000),  proportionately  to  their  amoimts  of  out- 
standing circulation.  This  fund  was  invested  in  8  per  cent  Govern- 
ment bonds  and  divided  equally,  one-half  being  to  the  credit  of 
the  old-age  insurance  institution  and  one-half  to  the  credit  of  the 
three  banks  named,  proportionately  to  the  sums  contributed  by 
them.  This  fund  is  to  be  held  for  the  redemption  of  bank  notes, 
and  as  they  will  become  invaUd  the  deposit  will  be  turned  over,  one- 
half  to  the  old-age  institution  and  one-half  to  the  banks  named. 
Thus  the  revenue  from  the  sum  had  been  anticipated  nearly  three 
years  before  the  final  invalidation  of  the  bank  notes. 

3.  The  regulations  concerning  the  contribution  from  the  religious 
fund  have  been  stated  above.  The  new  law  provided  that  within 
the  five  years  beginning  with  the  year  1901-2  these  payments  should 
constitute  2,950,000  lire  ($569,350). 

While  the  above  amendments  referred  mainly  to  the  sources  of 
revenue,  others  introduced  some  changes  in  the  methods  of  insurance. 
The  age  of  liquidation  of  accounts  was  reduced  for  female  members 
from  60  to  55  years,  and  the  period  for  accepting  shorter  time  insur- 
ance was  extended  until  December  31,  1903.  Participation  in  the 
distribution  of  additional  increments  to  their  accounts  was  permit- 
ted to  those  members  who  have  not  paid  in  within  the  year  the 
minimum  of  6  lire  ($1.16),  provided  the  sum  of  payments  made  by 
them  was  not  less  than  6  lire  ($1.16)  multiplied  by  the  years  of  mem- 
bership; regulations  were  provided  for  continuation  of  membership 
of  persons  who  ceased  to  be  wage-workers;  the  list  of  securities  in 
which  the  institution  might  invest  its  funds  was  extended  by  includ- 
ing guaranteed  railroad  securities;  and  a  few  changes  were  introduced 
in  the  system  of  administration. 

Law  of  1904. — A  few  additional  changes  were  introduced  by  the 
brief  act  of  March  13,  1904.  The  right  to  issue  insurance  for  periods 
as  short  as  10  years  was  extended  from  December  31, 1903,  to  Decem- 
ber 31, 1905,  as  almost  one-third  of  all  persons  insured  had  taken  out 


CHAPTEB  VII.— WOBKMEN 'S  INSUBANCE  IN   ITALY.         1875 

j!)pukT^  ^""^  ^^^  ^^^'^  ^^  ^^^'^'  ^"""^  *^'''  ^""^  ^""^  evidently  very 
The  lists  of  permitted  investments  were  further  extended  by  includ- 
mg  secunties  of  loan  banks  and  urban  real  estate;  the  latter  having 
been  specifically  prohibited  by  the  law  of  July  17,  1898,  which  e^n 
requn-ed  the  mstitution  to  dispose  of  all  real  estate  i^voluntaX 
acquired  withm  five  years,  and  forbade  the  acquisition  of  buS 
even  for  its  own  use.  The  amount  invested  in  real  estate  must  not 
however,  exceed  one-fifth  of  the  amount  invested  in  government 

Amending  Act  op  1906.-While  the  preceding  amendatory  acts 
only  slightly  modified  the  provisions  of  the  law  of  July  17,  1898  the 
act  of  December  30,  1906,  substituted  an  ahnost  enLi;  new  act 

ZT2ri9tr'  ''  "'  "'  '""^  ''  "^'""^  ''  *^^  consoHdld  acJof 
On  February  2,  1906,  a  bill  containing  an  entirely  new  text  of  the 
whole  law  governing  the  old-age  and  invahdity  insu^rance  inst  tution 
tutloS'  ""^  the  ideas  of  the  administrative  council  of  the  ilst'- 
tution(«),  was  mtroduced  in  the  lower  chamber.  The  main  changes 
proposed  by  this  bill  were  as  follows:  changes 

The  insurance  for  periods  shorter  than  25  years  (thus  enabling 
persons  over  40  years  of  age  to  insure),  permitted  temporarUy  in  th! 
ongmal  law  and  the   temporary  permission  extended  repeatedly 
proved  so  popular  that  the  authors  of  the  bill  proposed  to  emS 
a  permanent  provision  to  that  eflPect.(^)  emooay 

fh  Jr^'T'^'  ^''i  ^^'^^^^^  ^^'  ^^'^  ^^  insurance,  it  substituted  for 
the  demand  of  a   ump-sum  payment  for  aU  insurance  for  less  than 

yeaS  tinir  ^^^  ^^^  ^^^^^^  ^^  '  ^^  ^''  ^^^^  ^^  ^^ 

rr.It^'T'''^   ^'''^.  "^""'^  important  change  suggested   was  in   the 
method  of  computing  annuities.     According  to  the  previous  legisla! 
tion,  the  accounts  consisted  of  6  and  7  items  annuaUy.     CedaUv 
m  case  of  mutual  insurance,  when  an  amiual  redistrfbutiof  of  the 
accounts  of  deceased  members  was  required,  veiy  elaborate  rules  for 
such  redistribution  were  necessary.     In  reahty  the  system  was  found 
^  work  very  poor  y.     In  many  cases  of  death  notice  failed  to  reach 
the  institution,  as  m  a  case  of  mutual  insurance  there  was  no  material 
consideration  to  prompt  the  relatives  of  the  insured  to  give  such 
notice.     The  computation  of  interest  on  aU  the  accounts  was  also  a 
very  complicated  process.     The  bill  proposed  therefor  the  substltu^ 
^ter^  tT  ;:r"'^ --^-li^y  table  for  the  mutual  insurance  and  ^1^ 
^nterest^^         a  computation  of  the  annui^^alu^         i^ 

a  See  Bollettino  di  Notizie  buI  Credito  e  sulla  Previdenza,  1906  ' 


1876 


REPORT  OF   THE  COMMISSIONER  OF  LABOE. 


* 


dividual  payment  or  of  any  other  addition  to  individual  accounts,  so 
that  the  computation  of  the  total  annuity  may  be  quickly  computed 
by  addition  of  the  separate  annuity  items.  In  case  of  postponement 
of  the  annuity  untH  65  years  of  age,  a  recomputation  on  the  basis  of 
the  tables  of  mortality  and  probabihty  of  life  could  be  easily  accom^ 
plished. 

The  third  important  change  proposed  consisted  in  strengthening 
the  invalidity  pensions.  The  actual  determination  of  the  amount 
was  left  to  the  administrative  councH.  The  invalidity  fund,  amount- 
mg  to  only  about  2,000,000  Hre  ($386,000),  did  not  peniiit  of  very 
large  annuities.  The  Government  had  previously  announced  its 
intention  of  allowing  the  invahdity  fund  a  special  subsidv  of 
10,000,000  lire  ($1,930,000).  Upon  the  basis  of  this  increase  in 
the  mvahdity  fund,  the  bill  proposed  to  estabhsh  a  minimum  inva- 
lidity annuity  of  120  Hre  ($23.16).  A  bill  introduced  in  the  Cham- 
ber of  Deputies  on  March  20,  1906,  also  included  these  three 
important  proposals  and  several  other  minor  changes  which  event- 
ually  were  embodied  in  the  law.(«) 

On  May  17,  1906,  the  government  bill  was  introduced  hi  the  Cham- 
ber of  Deputies.  The  cabinet  having  undergone  a  reorganization 
soon  after  that,  practically  the  same  bill  was  remtroduced  by  the  new 
minister  of  agriculture,  industry,  and  commerce,  supported  by  other 
new  mimsters.  On  November  27,  1906,  the  biU  was  referred  to  a 
parhamentary  commission,  which  brought  in  its  report,  with  very- 
few  changes,  on  November  27,  1906.  It  became  a  law  on  December 
30,  1906,  without  any  deviations  from  the  text  as  amended  by  the 
commission. 

The  essential  changes  introduced  by  this  act  were  as  follows: 

(1)  The  material  simplification  of  personal  accounts,  as  explained 
above,  by  substituting  tables  for  computation  of  the  annuity  value 
of  each  payment  and  benefit,  for  a  complex  annual  redistribution 
and  computation  of  interest  upon  all  the  accounts. 

(2)  The  establishment  of  a  minimum  invalidity  annuity  of  120 
lire  ($23.16)  by  means  of  the  addition  of  10,000,000  lire  ($1,930,000) 
to  the  invalidity  fund. 

(3)  The  part  of  the  net  profits  of  the  postal  savings  banks,  reverting 
to  the  old-age  institution,  was  definitely  established  at  70  per  cent 

(4)  The  extension  of  all  the  benefits  of  membership  in  the  institution 
to  such  independent  producers  as  do  not  pay  over  30  lire  ($5.79)  per 
year  in  taxes. 

(5)  The  maxunum  limit  of  annual  contributions  previously  put 
at  100  Hre  ($19.30)  was  eliminated.  The  minunum  was  raised  from 
50  centesimi  (10  cents)  to  1  lira  (19  cents). 


»  BoUettino  di  Notizie  eul  Credit©  e  eulla  Previdenza,  vol.  24,  1906. 


CHAPTER  VII.— WORKMEN 'S   INSURANCE   IN   ITALY.  1877 

^^!  I^!u   '"/^  '"^  combination  with   the  preceding  one  evidentlv 
created   the  danger  of  growth  of  excessively  large  accounts      To 

rorHrTVlpJ  -''''  -  acq'uired^nSrS  ove 

rr^  ^rJfP  ^^'^  debarred  from  further  benefits. 
(7)  While  the  normal  age  of  maturing  of  annuity  was  left  as  before 
an  earher  age  of  55  years  was  established  in  certain  ki^c^s  ^f  S 
requiring  severe  physical  exertion,  such  as  mining    Xst  furnlcl 
foundries,  steam  boilers,  glass  factories,  and  railroTd  ser'ca       "    ' 
Q  1       rJ^^'^   ^'^^'"  ^''''"^^^  ^^^>  ^  ^^^her  minunum  of  pavments 
ot  ^^l'^^^  '^'''"^  ^^  '  ^'^  (^1-1^^^  ^-«  required.  ^^^^^^^^ 

(9)  The  reqmrement  of  25  years  of  insurance  was  left  in  normal 
cases;  but  payment  of  annuities  before  the  expiratil  of  tLTi 
was  permitted  on  condition  of  higher  rninL^Tr^^^^ 

the  required  age  was  reached.  '  P"^"^*"®*! 

(10)  The  financial  organization  was  somewhat  changed     A  m^m 
bers'  fund  was  added  to  the  existing  four  funds,  the  enlowmentS" 
annuity  fund,  invalidity  fund,  and  reserve  fund-  «nrtTI^  f*  ' 

L  1  I.  /  ^^  ^^r®  ^^^^  ^^  the  discretion  of  the  administrfltWo 
councU  but  must  not  be  less  than  30  per  cent,  to  be  usi  SX^arv 
proportions  to  mcrease  the  endowment  fund  the  invaU^Cd  an^ 
the  extraordinary  reserve  fund.  ' 

r  J^^^  ^^^  maximum  amount  of  the  annual  oidinarv  benefits  wa. 
reduced  from  12  to  10  lire  ($2.32  to  $1.93) 

a  Jv'wTl"^  '"*  "^  December  30,  1906,  went  into  effect  immedi- 
ately, with  the  exceptions  indicated  below,  and  the  codified™  xt  of 
the  law  was  published  by  royal  decree  of  May  30,  1907 

Excepted  were  (1)  the  provisions  as  to  changes  in'fh.  .a    ■  ■ 
trative  council  anH  r9^  i\L    u  •       ,    '''^'^'^g®^  ^  the  admims- 

.    ,:..  '^ouncu  and  (2)  the  changes  m   the  methods  of  keening  fh« 
individual  accounts  and  computing  the  value  of  ann  .S^k    i 
were  made  dependent  upon  the  promulga'on  of  I  ZcZtH^t 
and  regulations  for  the  old-age  insurance  institution      The'dmiSr 

ber,  1907  adopted  the  texts  of  both  the  constitution  and  the  re^uk 
tions,  and  they  were  approved  by  royal  decree  of  MaXs   iSI 

ANALYSIS    OF    LEGISLATION    IN    FORCE. 

The  institution  is  officiallv  known  a.«  "Tl.»  \r„t;„     it     .-.    ..      . 
the  Insurance  of  Worker.  s^ZTlZJZ'':T£JtT7''' 


1878 


REPORT  OF   THE  COMMISSIONER  OF  LABOR. 


labor  for  time  wages  or  piece  wages,  or  on  their  own  account  provided 
they  do  not  pay  more  than  30  hre  ($5.79)  per  annum  in  taxes  of  any 
nature.  Married  women  may  be  insured  without  the  permission  of 
the  husband  and  minor  persons  without  the  permission  of  parent  or 
guardian. 

The  institution  may  carry  on  an  old-age  insurance  business  among 
other  classes  of  the  population  (so-called  popular  annuity  insurance), 
but  under  special  conditions,  which  will  be  explained  presently. 

When  a  regularly  insured  person  ceases  to  satisfy  the  above-men- 
tioned requirements,  he  is  transferred  to  the  popular  insurance 
branch. 

Forms  of  Insurance.— At  the  time  of  taking  out  the  insurance  the- 
insured  person  must  select  one  of  the  two  recognized  forms  of  insur- 
ance; the  mutual  form  or  the  form  of  reserved  contributions.  In 
the  first  form,  the  payments  of  the  insured  are  not  returned;  under 
the  second  form  the  actual  value  of  the  contributions  made  by  the 
insured  or  by  other  persons  for  him  are  returned  to  his  dependent 
relatives  according  to  the  following  rules : 

The  surviving  consort  receives  the  whole  amount  when  neither 
children  nor  relatives  in  an  ascending  line  survive.  When  children 
survive,  the  consort  receives  40  per  cent  and  the  children  60  per  cent; 
when  no  children,  but  relatives  in  an  ascending  Hne  survive,  the  con- 
sort receives  60  per  cent  and  the  latter  40  per  cent. 

When  no  consort  survives  the  children  receive  the  entire  amount  in 
equal  portions;  and  in  the  absence  of  either  a  consort  or  children,  the 
entire  amount  reverts  to  the  relatives  in  an  ascending  line.  Finally, 
when  no  consort,  child,  or  ascending  relative  survives,  tlie  amount 
goes  to  the  other  descendants  and  brothers  and  sisters  under  18  years 
of  age,  or  disabled  because  of  some  physical  or  mental  defect  and  who 
were  supported  by  the  insured  while  living. 

The  time  for  making  application  is  limited  to  two  years,  and  if  no 
legal  heirs  under  the  above  rules  are  disclosed  within  that  time  the 
amount  subject  to  repayment  is  turned  over  to  the  invalidity  fund. 

Contributions  of  Insured. — No  regular  premiums  are  exacted, 
the  amount  of  contribution  being  left  entirely  to  the  0})tion  of  the 
insured,  except  that  contributions  smaller  than  1  lira  (19  cents)  are 
not  accepted,  nor  are  contributions  including  fractions  of  a  Hra 
accepted.  This  minimum  limit  of  a  single  contribution  is  quite  high, 
and  may  be  claimed  to  be  too  high  to  stimulate  the  habit  of  small 
savings.  To  meet  this  difficulty  the  regulations  provide  for  a  method 
of  making  smaller  savings  by  means  of  postage  stamps.  For  that 
purpose  special  stamp  cards  are  provided  which  are  distributed  with- 
out cost  by  the  branches  of  the  institution  and  through  post-offices. 
These  cards  are  ruled  into  squares,  where  ordinary  postage  stamps 
may  be  pasted  until  a  full  card  represents  a  saving  of  1  lira  (19 
cents),  and  may  be  handed  in  instead  of  cash.    The  accounts  are  sub- 


CHAPTEK  VII.-WOEKMEN'S  msUBANCE  m   IXALV  1879 

9  lire  ($1.74)  for  those  In  th/f      f  '"'''  ^""^  ^'  ^«^  ^'°'"«'».  -^d 

'  expires  at  the  age  of  SSyeait  «-"Pations  whose  insurance 

It  is  sufficient,  however  if  ihc.  „^^ 

aU  the  elapsed  yeZZtML^h-        '^^  *'°°"°*  "^  contributions  for 

tions  for  the  1  J~o  not  '^"""^'"-'^i'  «-««  if  the  contribu- 

ip)tuTrd\ru:;rsr;;'T- '--'''  ^-  ^^^^^^ 

between  25  years  and  th^  nuttr "fTea^  oTt^  '''"''  *'^  ^^'^^''''^ 
.    Accounts  op  Members -The  conS.  '°'"''*°'^  P«"«d. 

individual  accounts  of  the  insured  1  .5°°'  *""  "''''*^^  *"  ^^e 
the  new  law,  which  have X  i^to  ^^7  T  *°  *''"  ^'"^^''^  «' 
accounts  are  to  be  ve:y  inch  sTmnler  h!  ^^  "'1  ''"''''^y'  '^^^ 
were  six  classes  of  entrieffor  th.^  ^  \f  heretofore,  when  there 
those  insured  with  rep^meS  of te^  -^"^  ^^'^  ^^«  ^"^^ri^^  for 
each  payment  made  is TnTeredle  vl^f  2  ""'  "' '^^*^-  "^^^^ 
the  normal  annuity  age  purchlaWrf  t  f°°"'*^''  ^  ^^^  ^'th 
same  rule  applies  to  alJ  benefit  oTvtl  "'  1  *u  "''"  P*^'"^"*-  The 
individual  accounts.  P^J^ents  which  are  granted  t9  these 

Of  course,  the  annuity  equivalent  nf  .o  i. 
computed  independently  eSlSr  tIT  ^^^"^^^  """^  °°*  ^e 
such  computation,  and  thie  tTbL  T  U  '  """"^  ^^  P^-^^^^d  for 
probabihty  of  life  ^t  the  t  mTof  il-  "''",  ,r*"  ^^'^^^''^'-ation  the 
at  the  time  of  payment,  ^Ihl  T.^tStluelf  T'''"'  '^"^  '""^  ^- 
time  of  maturity  of  the  nension  ^^)T       T  "  P^^^ent  at  the 

interest  is  accruing  uponT    "  ''""^  "P"'^  *^«  ^^^g^h  of  time 

of  insured.     Different  tables  are  'nlc  Jat    T  f  *'!  ^^""^  ''In- 
forms of  insurance  necessaiy,  therefore,  for  the  two 

(wSrermuruSTwrtL'e^eTc'T??^  ^'^  ^""^  °^  -™ 

at  the  time  of  taldng  outXinlran  "  T^  "^"'*  *»"  determined 
make  a  change  from  one  form  to X  M '  "J'^'}"''''  '^^y  arise  which 
such  conditions  the  new  regltLn/n  *  ';  ''T**''^-  '^'^  P^^^^^e  for 
to  the  reserved-payments  Sn  to  th^«T  ^  *°^'  ^"'"  *^«  °»"*"«'l 
within  one  year'aL  ma:?  a^e  or  ^rt'e^  ^^^^^^  f  ^'e-  of  age 
recomputation  of  the  existing  crTdifs  To  t?  ^'^  "  '^'^'  "^'^ 

amount  of  payments  made  bv  f  bf  •  .  accounts,  so  that  the 

becomes  avaiJble  to  Ct^^  ^^l^TTLn'' ^''^  '''"^'^ 

67725'>-voi,  2-11 25  '  ^"^^^e^'  the 


1880 


EEPORT  OF  THE  COMMISSIONER  OF  LABOR. 


insured  does  not  complj-  with  these  requirements,  the  cliange  has  no 
reserS^^  ^"^  *"^^  ^^^  payments  subsequently  made  arc 

On  the  Other  hand,  the  change  from  the  reserved  plan  to  the 
mutual  plan  .is  permitted  unconditionally  and  the  annuity  value  of 
tne  old  payments  is  recomputed. 

Additional  BENEFrrs.-In  order  to  stimulate  the  saving  habit  and 
also  to  mcrease  the  value  of  the  pension,  the  old-age  insurance  insti- 
tution contributes  certain  additions  to  the  personal  accounts.  All 
persons  msured  according  to  the  law  are  entitled  to  receive  certain 
additions  provided  they  have  compUed  with  the  requirements  con- 
cerning the  minimum  annual  payments,  as  explained  on  page  1879 
and  on  the  other  hand  have  not  accumulated  an  annuity  of  over  1  000 

r,  =ni^f  Pf  *™"°'-  ^°  addition,  the  old  qualification  of  the'law 
ol  1898  has  been  perserved,  that  such  insured  workmen,  for  whom 
some  special  old-age  and  invahdity  provision  has  been  made  either  by 
the  btate,  provincial  government,  communities,  or  any  other  public 
or  pnvate  employers,  are  not  entitled  to  any  benefits.  The  amount 
of  the  ordmary  benefit  payable  depends  upon  the  resources  available 
and  IS  determined  by  the  council,  but  must  not  exceed  10  lire  ($1  93) 
per  annum  for  each  insured  person.  In  a.ldition  special  benefits '  are 
given  to  those  msured  for  less  than  twenty-five  years  and  for  those 
in  collective  insurance. 

From  the  current  revenues  at  least  30  per  cent  must  be  deducted 
by  the  administrative  council  for  distribution,  according  to  the 
judgment  of  the  councU,  among  the  endowment  fund,  the  special 
reserve  fund,  and  the  invalidity  f un<l,  of  which  more  will  be  said ;  the 
rest  is  utilized  for  payment  of  benefits  to  the  accounts  of  the  insured 

1.IQUIDATION  OF  ACCOUNTS.— Each  personal  account  may  be  liqui- 
dated m  one  of  two  ways,  either  by  death  of  the  insure.!  or  by  the 
maturity  of  the  insurance  at  the  specified  age.  In  case  of  death 
before  maturity  of  the  insurance,  the  deposits  in  case  of  mutual  insur- 
ance are  not  repaid,  and  in  case  of  insurance  with  reserved  payments 
taey  are  repaid  according  to  the  rules  stated  on  page  1878 

NormaUy  the  pension  matures  at  the  age  of  60  for  men  and  65  for 
women,  and  after  at  least  25  years  have  elapsed  since  the  beginnineof 
the  insurance.  The  liquidation  may  be  demanded  at  the  age  of  55 
years  by  persons  employed  in  mining,  furnaces,  glass  factories,  foun- 
dries, m  operating  steam  boUers,  in  raih-oad  services,  an.l  in  other 
industries  to  be  determined  by  royal  decree.  By  such  decree  firemen 
tax  controllers,  and  watchmen,  appointed  by  communities  and  prov- 
inces, and  attendants  in  hospitals  and  insane  asylums,  were  included. 

1  his  right  to  receive  the  annuity  at  the  earlier  age  of  55  is  preserved 
only  by  those  who  at  the  time  are  stiU  employed  at  one  of  these 
exceptional  trades.  Application  for  the  insurance  to  mature  at  the 
age  of  55  must  be  made  within  one  year  from  the  time  of  insuring 


CHAPTER  VII.— WORKMEN 'S  INSURANCE  IN  ITALY.         1881 

or  from  the  time  of  employment  at  one  of  these  occupations,  if  the 
person  had  been  insured  before. 

The  liquidation  of  the  accounts  may  be  eflfected  and  the  annuity 
granted  at  the  age  indicated,  even  if  less  than  25  vears  but  at  least  J 
years  have  elapsed  from  the  beginning  of  the  insurance ;  i.  e.,  in  uran  « 
may  be  taken  by  persons  over  35  years  of  age  but  not  ove;  50  yea  " 

In  aSdltronTo  tr*  "T'^  "'''  *'^  '""^"'"^^  ^P^'"'  requiremen" 
in  addition  to  the  usual  mimmum  premium  he  must  pay  annuallv 

as  many  lire  as  years  are  missing  to  complete  the  twenty-five  year 
period;  i.  e.,  when  the  insurance  is  to  run  only  10  years,  the  nsured 
pei^on  pays  additional  15  hre  ($2.90)  per  annum;  when  the  in  "Ze 
IS  to  last  15  years,  he  pays  additional  10  lire  ($1.93)  per  annum  The 
general  rule  that  excess  payments  in  one  year  may  serveTo  cover 
deficiencies  m  payment  of  subsequent  yea'rs  applies  lo  to  thIL 
additional  payments.  Persons  insured  for  such  shorter  periods  m^S 
cZIu  ''1?;f 'T' ."«  to  be  determined  by  the  admbistrSive 
WH  )l  ''^"''*^*'°°  *°d  granting  of  the  annuity  may  be  de! 

f erred  upon  the  request  of  the  insured  until  the  expiration  of  65  yeat 

PENsiONTABLEs.-TheamountofpensionsgranLforthe  payment 

tLl    ?^"T'^  ^^''^  '^'  ''°^'  *'«  g'^««  i"  the  foUowingTabl 
or  both  plans  of  insurance,  the  mutual  plan  or  that  of  aUenated  caoi 
al,  and  the  reserved-capital  plan.     In  the  original  tables  the  valiie  of 

the  annual  pension  purchased  by  the  payment  of  a  premium  of  ifira 

may  mature.     Only  the  columns  for  pensions  maturing  at  55    60 
65,  and  70  years  are  here  reproduced.     The  difference  in  the  amount 
of  pensions  for  the  two  forms  of  insurance  is  found  to  be  considemble 
and  this  difference  is  seen  to  increase  with  the  higher  age  of  maturitv' 
as  at  that  age  the  chance  of  the  madirino.  «f  7h  •     ™"turity, 

smaller  and  the  chance  of  deathtreruTt^mlt^'grt^r'ThT 
at  the  age  of  12,  the  value  of  the  pension  purchased  for  «7f  r  ' 
at  the  age  of  55  would  be  51.2  cen'ts  on  Eut^X  In  and  44^^^^^^^^ 
or  14  per  cent  less,  on  the  reserved-capital  plan  while  if  VL^  ' 

m67  and  on  the  reserved-capital  plan  $2,163,  or  near!,  19  per  cent 

twl^orii!"?""^  '''  *•"'  *'"''"''*  ''^  P*"^'""^  «««"r«d  for  $1  under  the 
two  forms  of  insurance  rapidly  decreases  as  the  age  at  which  the  pav 
ment  is  made  increase's      TVi.ic  f^-  lu  &    »>•  vyiui,u  me  pay- 

of  55  v»«,!  tV   J  t  ,       '  t'*'  *^^  pensions  maturing  at  the  aee 

of  55  years,  the  difference  for  payment  of  $1  made  at  the  age  of^2 

at  he:7c;f  4V2\:^:s"'aft'h''  ''-r'  **  *'^  ^^^  «^  3o:3Tcit 

age  of  54  0  1  of  ,Ti;  T  *^'  °^  ^^'  ^'^  ''^  ^  *'*"»*;  ""^d  «*  the 
amounts  t;rbouf,i  Tk  ""  P^'^^'^'^ges,  however,  the  difference 
to  decrlse  In  n  J  °'  ^7  T'  T'^  '^^  ''^^  °^  ^5,  and  then  begins 
great:raT  the'rrt™    '  ^'^  ^'^''"^^^^^  "^  ^"^^  -"^^^  P'^  - 


H 


1882  EEPOBT  OP  THE  COMMISSIONER  OF  LABOB. 

^^^^'^^^^^  Regolamento  Tecnico  della  Cassa  Na«onale  di  Previdenza.) 


Age  at  time  of  pur- 
chase (years). 


Amount  of  annual  pension  purchased  for  $1  under- 


Mutual  plan:  Maturing  at  age  of— 


12. 
13. 
14. 
15. 
16. 
17. 
18. 
19. 

20. 

21. 

22. 

23. 

24. 

25. 

26. 

27.. 

28.. 

29.. 

30.. 

31.. 

32.. 

33.. 

34.. 

35.. 

36.. 

37.. 

38.. 

39.. 

40.. 

41.. 

42.. 

43.. 

44.. 

45.. 

46.. 

47.. 

48... 

49... 

50... 

51... 

62... 

53... 

54... 

65... 


55  j'ears.    60  years. 


56.... 
57.... 
58.... 
69. . . . 
60.... 
61.... 
62. . . . 

63 

64.... 

65 

66 

67 

68 

69 


$0,512 
.493 
.474 
.457 
.439 
.423 
.406 
.390 
.375 
.360 
.346 
.332 
.318 
.305 
.293 
.281 
.269 
.258 
.248 
.238 
.228 
.219 
.210 
.201 
.193 
.185 
.177 
.170 
.163 
.156 
.149 
.143 
.137 
.131 
.125 
.120 
.114 
.109 
.104 
.100 
.095 
.090 
.086 


10.798 
.768 
.740 
.712 
.685 
.659 
.634 
.609 
.585 
.561 
.539 
.517 
.496 
.476 
.456 
.438 
.420 
.403 
.387 
.371 
.356 
.341 
.327 
.314 
.301 
.288 
.276 
.266 
.254 
.243 
.233 

.223 

.213 

.204 

.195 

.187 

.178 

.170 

.163 

.155 

.148 

.141 

.134 

.128 

.121 

.115 

.109 

.103 


65  years. 


11.363 
1.313 
1.264 
1.217 
1.171 
1.126 
1.083 
1.041 
1.000 
.960 
.921 
.884 
.848 
.813 
.780 
.748 
.718 
.689 
.661 
.634 
.608 
.583 
.559 
.536 
.514 
.493 
.472 
.453 
.434 
.415 
.397 
.381 
.364 
.348 
.333 
.319 
.305 
.291 
.278 
.265 

.253 

.241 

.229 

.218 

.208 

.197 

.187 

.177 

.167 

.157 

.147 

.138 

.128 


70  years. 


$2,667 
2.568 
2.473 
2.380 
2.291 
2.203 
2.118 
2.0.35 
1. 955 
1.877 
1.801 
1.728 
1.658 
1.591 
1.526 
1.464 
1.404 
1.347 
1.292 
1.240 
1.189 
1.149 
1.094 
1.049 
1.006 
.964 
.92* 
.885 
.848 
.812 
.777 
.744 
.712 
.682 
.652 
.624 
.596 
.570 
.544 
.519 
.496 
.471 
.449 
.427 
.406 
.385 
.365 
.345 
.326 
.306 
.287 
.269 
.2.51 

.2;« 

.216 
.200 
.184 
.168 


Reserved-capital  plan:  Maturing  at  ags 


55  years,  j  60  years, 


$0,440 
.422 
.406 
.390 
.374 
.360 
.345 
.332 
.319 
.306 
.294 
.282 
.271 
.260 
.250 
.240 
.231 
.222 
.213 
.204 
.196 
.189 
.181 
.174 
.1('>8 
.161 
.  155 
.149 
.143 
.138 
.132 
.127 
.123 
.118 
.114 
.109 
.105 
.102 
.098 
.094 
.091 
.088 
.085 


$0,675 
.648 
.622 
.597 
.573 
.550 
.528 
.506 
.486 
.406 
.447 
.429 
.412 
.395 
.379 
.363 
.349 
.335 
.321 
.308 
.295 
.283 
.272 
.261 
.250 
.240 
.231 
.221 
.212 
.204 
.196 
.188 
.180 
.173 
.166 
.160 
.153 
.147 
.142 
.136 
.131 
.126 
.121 
.117 
.113 
.109 
.105 
.101 


66  years. 


$1. 131 
1.085 
1.040 
.998 
.956 
.917 
.879 
.842 
.807 
.774 
.741 
.710 
.681 
.652 
.625 
.598 
.573 
.549 
.526 
.503 
.482 
.462 
.442 
.423 
.405 
.388 
.371 
..355 
.340 
.325 
.31-2 
.298 
.285 

.273 

.261 

.250 

.239 

.229 

.219 

.210 

.201 

.193 

.185 

.177 

.170 

.163 

.156 

.150 

.144 

.1.38 
133 
128 

.124 


70  yean. 


$2,163 
2.073 
1.9H7 
1.903 
1.823 
1.746 
1.671 
1.6U0 
1.531 
1.466 
1.402 
1.342 
1.283 
1.227 
1.174 
1.122 
1.073 
1.03JI 
.980 
.937 
.895 
.856 
.817 
.780 
.746 
.711 
.678 
.647 
.617 
.68» 
.561 
.636 
.510 


.463 

.441 

.420 

.400 

.381 

.363 

.346 

.329 

.313 

.298 

.284 

.270 

.257 

.245 

.233 

.223 

.212 

.203 

.194 

.186 

.178 

.171 

.164 

.158 


.inZH  """■  O''  P*=««iONs.-NormaIly  ,he  computation  of  pen- 

sions IS  a  very  simple  process  according  to  the  new  law,  being  accom- 

entries  in  the  account  of  the  individual.  In  exceptional  cases  a  lump- 
sum payment  may  be  substituted  for  the  annuity  accord  ngtoThe 
provisions  to  be  included  in  the  new  regulations."^  These  "rovkiin^ 


I  i 


CHAPTER  VII.— WORKMEN  's  INSURANCE  IN   ITALY.  1883 

c'dT  SesT:  Srol.Tt'^  '"^"^r"  '^  ^•^^  '"--^  -'•'^--  ex- 
ceeds 365  hre  ($70.45),  he  may  choose  one  of  the  three  plans-f  n 

with  the  msurance  mstitution  and  receive  the  interest  in  ^MU      T 
the  annuity  during  life,  the  capital  to  be  paid  to  £  heiS  at  lath 
.    If  the  annuity  acquired  amounts  to  leL  than  60  lirr«li  58    th. 

o':  f»  .ir«^  -72  .r:,*  ^ir:-' '»"- '°  '— 

StSe."^  '"""^  '""^  °^  10,000,000  lire  ($1,930,000)  to  be  paid  by  the 

(h)  Payments  from  persons  or  institutions  responsible  ..nHpr  ih 
law  for  the  support  of  the  invalids  responsible  under  the 

(c)  Annual  contributions  from  the  current  revenues. 
^Z^CXirnr  '"'''''''  ^^^'  "^-^^'^-  °^  P^>--ts  and 

givet  ^:\z^jz^^^  "^  '""^  ^"''^  °^  '^^-^-  -<^  ^^^- 

urJt  'P'°"°'°*^V''"  (*1'»30,000)  fund  is  to  be  paid  from  the  treas 
to'loTo  i7.  '""'  "'^""'^  installments  from  the'budgets  of  190^7" 

reg^uLrn?trtS;™vX^^^^^^^  ^^«  -- 

je^^  eh  earnings  of  T^  to  leS^n  ^ thilSt^^bVuS 
JZf  vrl^"  '°  '^^  "*"'"  occupation  and  locality.  EvicSce 
bvStv""  *^  ""T  ^  ^™'^^«^  ^tl'  '^'  appliiltion  for  1 
"Ss  L'TZ'trel't  ^^'^--r"^*  incIude'Ltiiicates  from 

instit,   iL  J  •     ^  addition,  the  admmistration  of  the 

Son  7  r'^^'  *  'P^*=^*^  '"^'I'^al  examination.     The  rdminis 

tration  may  declme  to  grant  the  petition  for  an  invaliditv  neXn 
The  msured  may  appeal  from  the  decision  of  the  oZtfZ  a'dS" 


1884 


REPORT  OF   THE   COMMISSIONER  OF  LABOR. 


trative  council  of  the  insurance  institution,  but  the  decision  of  the 
council  is  final. 

If  the  annuity  acquired  through  the  minimum  payments  and  the 
regular  benefits  is  less  than  120  hre  ($23.10)  it  is  increased  to  that 
amount  from  the  invahdity  fund.  Any  annuity  acquired  by  means 
of  payments  over  and  above  the  required  mmimum  is  added  to  this 
120  lire  ($23.16)  annuity. 

The  following  classes  of  insured  persons  are  deprived  of  the  light 
to  receive  the  subsidy  from  the  mvahdit}^  fund  above  mentioned: 
(1)  Persons  whose  invahdity  dates  back  of  the  time  of  commencing 
the  insurance,  (2)  persons  who  have  insured  themselves  at  the  age  of 
over  50,  (3)  persons  who  have  become  invalids  either  through  mali- 
cious intent,  alcoholism,  or  through  criminal  misconduct,  (4)  those  who 
became  invahds  through  an  industrial  accident  and  have  received,  in 
virtue  of  the  accident  insurance  law,  a  compensation  corr(isponding 
to  a  loss"  of  at  least  50  per  cent  of  working  capacity,  and  (5)  persons 
admitted  to  an  insane  asylum  at  public  expense. 

Collective  Insurance. — In  order  to  encourage  workmen's 
mutual  benefit  societies  to  insure  their  members  collectively  the 
institution  is  permitted  to  grant  special  benefits  to  persons  thus 
insured,  though  such  insurance  may  also  be  contracted  for  in  accord- 
ance with  the  ordinary  regulations  concerning  benefits.  The  special 
conditions  must  be  stated  in  the  insurance  contract. 

If  in  such  insurance  agreement  the  society  contracts  for  immediate 
pensions  to  such  of  its  members  as  have  reached  the  minimum  age  for 
granting  annuities  (55  or  50  years  accorduig  to  the  sex  and  occupa- 
tion), then  to  each  such  pension  the  institution  adds  an  animal  bonus 
of  10  lire  ($1.93),  but  if  the  original  pensicm  was  less  than  10  lire 
($1.93)  the  annual  bonus  shall  not  exceed  the  amount  of  the  pension. 

The  institution  may  also  contract  to  assume  the  management  of 
private  and  pubhc  establishment  funds  for  old  age  and  invalidity 
relief.  The  special  conditions  of  each  such  contract  must  be  deter- 
mined by  the  administrative  coimcil  and  approved  by  the  Government 
in  each  individual  instance. 

In  view  of  the  evident  intent  of  the  law  to  stimulate  thci  collective 
insurance  of  workmen  against  old  age  and  invahdity  tlirough  the 
instrumentality  of  the  mutual  benefit  societies,  the  regulations  con- 
cerning this  form  of  insurance  as  contained  in  the  Eeglamento  Technico 
are  of  great  importance. 

Such  collective  insurance  is  permitted  to  associations  recognized 
under  the  law  of  April  15,  1886,  and  to  other  unincorporated  associa- 
tions, provided  a  majority  of  their  membership  conforms  to  the 
requirements  of  the  law  as  to  persons  entitled  to  its  benefits.  Only 
insurance  in  which  all  members  of  an  association  are  embraced  is  recog- 


fl 


CHAPTER  VII. workmen's  INSURANCE   IN   ITALY.  1885 

nized  as  collective,  though  the  association  may  except  those  of  its 
members  who  are  not  workers  or  who  are  over  50  years  old. 

In  order  to  acquire  the  right  to  the  special  benefits  offered  to  collec- 
tive insurance,  the  associations  must  make  the  insurance  compulsory 
for  its  members  by  an  amendment  to  its  constitution,  and  must  make 
annual  contributions  which,  per  capita,  will  not  be  smaller  than  the 
normal  minimum  contributions  required. 

Wlien  these  conditions  have  been  comphed  with  the  national  old- 
age  insurance  institution  ^\dll  contribute  a  special  benefit  of  1  hra 
(19  cents)  per  annum  in  addition  to  the  normal  benefits  to  which  the 
insured  is  entitled.  Wlien  the  association  provides  for  insurance  of 
its  older  members  for  a  briefer  period,  these  members  receive  a  special 
benefit  of  2  hre  (39  cents). 

Such  members  as  do  not  possess  the  qualifications  of  workmen  or 
petty  independent  producers,  entitling  them  to  the  insurance  under 
the  workmen's  roster,  must  be  entered  on  the  roster  of  ''popular 
annuity  insurance."  If  a  member  is  expelled  from  the  mutual  benefit 
association  he  loses  his  right  to  receive  the  special  benefit  for  col- 
lective insurance,  beginning  with  the  year  of  his  expulsion. 

While  ordinarily  insurance  is  not  written  for  a  period  briefer  than  10 
years,  i.  e.,  is  not  written  for  men  over  50  years  and  women  over  45 
years  of  age,  yet  the  occasion  may  arise  that  an  association  wliich  has 
been  conductmg  old-age  insurance  among  its  benefit  features  would 
desire  to  take  out  collective  insurance  with  the  national  institution, 
and  the  presence  of  members  over  the  maximum  age  might  prove 
very  embarrassing.  The  regulations  provide,  therefore,  that  under 
such  condition,  males  over  50  years  of  age  and  females  over  45  may  be 
insured  for  a  period  less  than  10  years,  but  so  that  the  annuity  does 
not  mature  before  the  age  of  55  for  the  females  and  the  males*^in  the 
excepted  trades  and  not  before  the  age  of  60  for  all  other  male 
workers. 

For  those  members  who  have  already  reached  these  age  limits 
annmties  may  be  purchased  by  the  association,  and  in  such  cases  the 
national  institution  grants  an  annual  bonus  to  each  annuity,  the  total 
annuity  to  be  not  less  than  60  lire  ($11.58). 

If  such  associations  are  paying  annuities  at  the  time  of  taking  out 
collective  insurance  they  may  transfer  such  obligations  to  the  national 
institution,  and  the  capital  cost  of  such  annuities  is  determined  on  the 
basis  of  either  the  tariff  for  workmen's  insurance  or  the  tariff  for 
popular  insurance  according  to  whether  the  pensioner  is  a  workman 
or  not.  All  these  benefits  conferred  by  the  new  regulations  upon  col- 
lective insurance  are  extended  to  all  mutual  associations  insured  at 
the  time  these  regulations  go  into  effect. 

The  mutual  benefit  associations  which  have  insured  their  member- 
ship may  be  authorized  to  perform  for  then-  members  the  simple 


f 


1886 


BEPORT  OF  THE  COMMISSIONER  OF   LABOR. 


financial  operations  of  a  branch  office.  Payment  for  such  services 
must  be  Hmited  to  a  per  capita  fee  for  all  members  in  good  standing 
for  whom  the  minimum  payments  were  made,  and  this  per  capita  fee 
must  be  imiform  for  all  associations. 

The  same  conditions  of  collective insurame  may  be  extended  by  the 
institution  to  employees  of  industrial  undertakings  or  pubhc  enter- 
prises. 

Other  Forms  of  Insurance.— Compensation  from  private 
employers  or  accident  insurance  companies,  due  to  workmen  disabled 
through  industrial  accidents  or  to  workmen  who  became  invalids 
because  of  old  age  or  disease,  may  be  deposited  with  this  old-age 
insurance  institution  for  conversion  into  an  annuity. 

Other  forms  of  insurance  business  may  be  permitted  to  the  old-age 
insurance  institution  by  royal  decree,  but  the  net  proiit-s  of  such 
transactions  must  go  to  increase  the  normal  annual  revenues  of  the 
business. 

Among  these  regular  branches  of  insurance  is  tlie  so-called  ''popular 
annuity  insurance,"  open  to  all  persons  without  the  limitations 
estabhshed  for  the  main  line  of  insurance  carried  by  the  institution. 
Under  this  form  of  insurance  none  of  the  special  bonuses  or  benefits 
previously  described  are  granted.  Whenever  a  person  insured  under 
the  workmen's  insurance  plan  loses  the  qualifications  entitling  him  to 
such  insurance  (e.  g.,  ceases  to  be  employed  and  becomes  an  employer) 
the  special  bonuses  and  benefits  to  him  are  discontmued  and  the  entire 
amount  credited  to  him  is  transferred  to  a  new  account  under  the 
''popular  insurance"  plan.  On  the  other  hand,  if  a  person  insured 
under  the  ''popular  insurance"  plan  acquires  the  qualifications  neces- 
sary to  entitle  him  to  insurance  under  the  "workmen's  insurance" 
plan,  his  account  is  so  transferred  and  he  acquires  the  right  to  the 
special  bonuses  and  benefits,  and  the  time  of  his  insurance  under  the 
other  plan  is  taken  into  consideration  for  the  purposes  of  the  Hquida- 
tion  of  the  annuity. 

Financial  Organization.— The  following  special  funds  are  pro- 
vided in  the  financial  organization  in  order  to  preserve  the  financial 
soundness  of  the  institution:  (a)  The  endow  ment  fund  as  described 
above;  (b)  the  fund  of  the  insured,  consisting  of  the  payments  made 
by  the  insured  persons  or  for  them  and  benefits  paid  to  their  accounts; 
(c)  the  annuity  fund,  from  which  mature  annuity  accounts  are  paid! 
At  the  time  of  granting  each  annuity  a  corresponding  amount  is  to  be 
transferred  from  the  fund  of  the  insured  to  the  annuity  fund.  At 
least  each  five  years  a  technical  balance  of  these  two  funds  must  be 
struck. 

(d)  For  the  guarantee  of  these  two  funds  a  special  reserve  fund  is 
created.  Into  this  fund  go  any  possible  excesses  found  at  the  time  of 
striking  the  balances  of  the  two  preceding  funds,  annual  contribu- 


) 


CHAPTER  VII.— WOEKMEN 'S  INSURANCE  IN   ITALY.         1887 

tions  from  the  current  revenues,  and  other  sums  indicated  in  the 
regulations  The  purpose  of  this  reserve  is  to  cover  all  possible 
deficits  m  the  fund  of  the  insured  and  in  the  annuity  fund 

(e)  Finally  the  invaUds'  fund,  the  constitution  of  which 'has  been 
explamed  m  conjunction  with  invalidity  insurance 

The  payment  of  annual  contributions  from  the  regular  revenues  of 
the  institution  mto  the  special  reserve  must  be  discontinued  when 
the  reserve  amounts  to  one-tenth  of  the  sum  of  the  amounts  credited 
to  the  fund  of  the  insured  and  the  annuity  fund 

If  the  amount  of  the  special  reserve  is  not  sufficient  to  meet  the 
deficits  ansmg  in  these  two  funds,  these  deficits  must  be  covered  by 
heavier  contributions  from  the  annual  revenues  either  within  one  or 
coundl  ^^^'''  ""  ^'"'°'"''*''*'^  ^''^^  *^«  judgment  of  the  administrative 

H  K?l^"°.'''  "^  ^^^  institution  are  to  be  invested  in  Italian  national- 
bnnl  r  '  .  /l  S^^^™'"^"*  »'•  guaranteed  securities;  raUroad 
bonds  guaranteed  by  government  subsidies;  trusts  of  institutions  for 

,.lTl  '  r'"'  "-^  P'^^^'^i^J  *«d  communal  governments  and  of 
undertakmgs  for  irngation  and  improvement  woite;  in  urban  real 
estate;  mt^rest-bearing  deposits;  or  loans  for  construction  of  work- 
ThT  ^„t7"'°g«  «'-.'°°rtg*ge  bonds  of  undertakings  for  this  purpose. 
The  nvestments  m  real  estate  must  not  exceed  one-fifth  of  all 
investments. 

riv^nT  ^.^"^^^^-The  cooperation  of  the  postal-savings  banks  is 
g^ven  to  the  old-age  msurance  institution  without  compensation 
This  mcludes  the  operations  for  admission  to  membei^hip,  the  recent 
of  contnbutions,  and  payment  of  annuities  and  other  moneys 

i<ree  postage  privileges  are  extended  to  the  institution  in'its  corre- 
spondence with  pubUc  institutions,  its  branches,  propaganda  com- 
mittees, benefit  associations,  and  the  insured  pei^ons 

« J^T.^>''^'^'°'''~'^''.'  ?''*'''°*'  ^^'^•■^^  *°d  Invalidity  Insur- 
ance Institution  IS  granted  the  same  freedom  from  taxes  as  the  postal 
and  other  savmgs  banks,  such  as  special  insurance  taxes,  register 
fees  stamp  dues,  and  taxes  on  legacies  bequeathed  to  the  institution 
Ihe  annual  mcome  from  investments  other  than  state  or  guaran- 
teed securities  are  free  from  the  income  tax 

an^L^J"  T"^'''  ^r°*'"^  ""'^^^  *^^  "workmen's  insurance"  plan 
Hre  aoZ  m  ^"'^  "  --™nce"  plan,  when  not  in  excess  of  1^500 
lire   ($289  50)    are  exempt  from  the  income  tax.     The  payments 

Hanc'^texr  "  '^^^^'^'^  °'^°'''''  ^'^  ^''"'"P*  f™m  inheJ 

arf r„r''i,?''f r'^'  ^^^-The  annuities  granted  by  this  institution 

Tt^7o^^  ''^T  "'  '^'^""■^'  ^'^^^P*  ^^^  «^«««s  over  400  lire 

($77.20)  per  annum  To  prevent  such  cession,  payments  may  be 
made  to  representatives  of  the  member  only  in  case  of  sickness  cer- 


1888 


EEPOET  OF  THE  COMMISSION  EE  OF  LABOE. 


I 

I    i 


tified  to  by  a  physician  or  in  case  of  any  other  obstacle  certified  to 
by  the  local  authorities. 

Administration.— The  National  Old-Age  and  Invalidity  Insurance 
Institution  is  autonomous  in  the  sense  of  having  an  administrative 
machinery  entirely  separated  from  the  General  Government,  and  no 
obligations,  except  such  as  are  definitely  specified,  are  assumed  by 
the  Government.  While  the  details  of  the  administratitm  are  deter- 
mined by  the  constitution,  the  law  establishes  the  following  demands: 
The  main  administrative  body  is  a  council  appointed  by  royal 
decree,  the  number  of  members  of  the  council  being  determined  by 
the  constitution.  According  to  the  law,  one-thu-d  of  the  member- 
ship  must  consist  of  representatives  of  workmen  insured;  there 
must  also  be  representatives  of  savings  l)anks  and  other  corpora- 
tions which  assist  the  institution  and  of  cooperative  associations 
whose  membership  is  insured.  In  addition  the  council  includes  one 
representative  from  each  of  the  following  ministries:  Agriculture, 
finance,  posts  and  telegraphs;  and  finally,  the  director  general  of  the 
Bank  of  Deposits  and  Loans  and  the  director  of  the  Bureau  of  Labor 
of  the  Ministry  of  Agriculture,  Industry,  and  Commerce,  are  ex  officio 
members  of  the  council. 

This  council  prepares  the  constitution  of  the  institution,  prescribes 
conditions  for  the  establishment  and  administration  of  branch  offices, 
and  also  the  technical  regulations  and  the  tariffs  for  the  computa- 
tion of  annuities;  but  the  constitution,  regulations,  and  tariffs  must 
be  presented  for  consideration  to  the  msurance  council  and  the  coun- 
cil of  state,  to  the  ministers  of  agriculture,  of  finance,  and  of  posts 
and  telegraphs,  and  must  be  approved  by  royal  decree.  The  same 
conditions  regulate  the  amendments  of  these  acts. 

The  institution  is  under  the  supervision  of  the  Ministry  of  Agricul- 
ture, Industry,  and  Commerce,  to  which  all  financial  reports  and 
balance  sheets  must  be  forwarded.  The  technical  balances,  which 
must  be  prepared  every  5  years  beginning  with  January  1,  1908, 
must  also  be  presented  to  the  Ministry  of  Finance. 

The  details  of  administration  are  further  regulated  by  the  consti- 
tution, which  was  published  by  royal  decree  of  May  24,  1902,  and 
amended  on  September  2,  1904,  to  conform  to  the  changes  intro- 
duced by  the  law  of  March  13,  1904.  The  text  of  the  new  constitu- 
tion, proposed  by  the  council  on  December  21,  1907,  was  adopted 
without  any  material  changes  on  March  18,  1909. 

According  to  the  constitution,  the  administrative  council  governing 
the  institution  consists  of  23  members— 18  appointed  by  the  Crown, 
3  ministerial  representatives,  and  2  ex  officio  members.  Among  the 
18  members  appointed  by  the  Crown  there  must  be  6  representatives 
of  the  insured  workmen,  2  from  savings  banks,  and  2  from  benefit  or 
cooperative  societies  insuring  their  membership.     The  period  of  serv- 


CHAPTER  VII.— workmen's  INSURANCE   IN   ITALY.  1889 

ice  is  3  years,  with  right  of  reelection,  one-third  of  the  member- 

convenes  at  least  once  m  3  months.     As  is  customary,  the  councU 
directs    the   general    policies,    issues    regulations,    app^r^ves  3s 
appoints  the  clencal  force,  etc.,  whHe  the  executiv;  work  is  TerformS 
under  the  direction  of  an  executive  committee  elected  b Ahe  eounS 
tTe  cZcr'       '"'  '""'^"'^  vice-president,  and  five  rnel^C^t 

Service  on  the  councH  is  gratuitous  except  that  traveling  expenses 
and  a  fee  of  20  lire  ($3  86)  per  day  is  paid  to  member.  res£g7uS 
of  Rome,  and  a  fee  of  10  lire  ($1.93)  for  each.session  is  given  to  the 
labor  representatives  living  in  Rome 

Branch  OFFicEs.-The  duties  of  branch  offices  may  be  intrusted 

mutual  benefit  societies,  insurance  companies,  and  similar  institu- 
tions   and  in  absence  of  such,  special  branch  Offices  mTbe  estab. 

Sir  ''"^"  ''''?'  ''  '"^«'  committees.  Besid'^erfoSt 
the  necessary  financial  operations  these  local  branch  offices  2 
endeavor  to  keep  the  population  informed  of  the  activity  ofthe 
msurance  institution  and  the  advantages  offered  by  it  In  adi 
mtnt  if  ^r/'^"/''°  ;-t^i"«  -g-lations  concerning  the  invlt 
tills.  *''  '"'^  ''''  '""^  P^^P^^*^"'^  «^  ^--'  and'cuinquenSii 

k  frr/*?^-"?!  procedure  of  old-age  and  invaUdity  insurance 
IS  regulated  mainly  by  the  new  technical  regulations  "^"^'"i''^ 

Applications  for  insurance  may  be  made  either  by  the  appUcant  him- 
self or  by  another  person  either  at  the  central  office  in  R Jme  or  at^e 
branch  offices  or  agencies  of  the  institution  or  in  post-Sc^  t^^ 
which  they  are  forwarded  to  the  main  offices.  The  admS'raUon 
may  dechne  to  insure  an  applicant,  but  he  has  a  righrto  apped 
to  the  admmistrative  councU,  whose  decision  is  final  ^'^ 

Kor  each  insured  person  an  individual  account  is  opened  in  th« 
books  of  the  institution  and  a  deposit  book  is  made  out  and  forwLtS 

Ih  paS^  '''  '-'  ^^-^--     '^^  '-^  --  ^e  prlnLTS 

atfrT^"'*^  TI^^  °'*'*^  **  any  agency  of  the  institution,  as  enumer- 
ated above,  but  once  a  year  the  book  must  be  forwarded  bvth« 
insured  through  the  agency,  for  balancing,  for  mSg  t^^  entrit 
in  the  account  and  for  adjusting  the  benefiis. 

of  th^benlfit!^/^."""!  '"  'r^^"^  •'°"°*"^  "^^y  ^-^  themselves 
hv  tv.    M      !^      ,  Jl'  ^''*'  *°**  ''"'^"'^  "i^y  be  designated  as  agents 

appott^^-  /""'»""  ''^*^'  °'  *^«  insurance^institutLTay 
appomt  agents  m  foreign  countries.  "^ 


1890 


REPORT  OF   THE  COMMISSIONER  OF   LABOR. 


When  an  insured  person  ceases  to  conform  to  the  qualifications  for 
workmen's  insurance  required  by  the  law,  he  must  so  inform  the 
institution.  If  he  fails  to  do  so  and  information  to  that  effect  reaches 
the  administration,  it  must  notify  him  in  writing  that  the  appropriate 
measures  will  be  applied  to  him.  The  insured  may  appeal  to  the 
council  against  the  decision  within  one  month,  but  the  decision  of 
the  council  is  final.  Wlien  the  question  is  settled  against  the  insured 
the  transfer  of  his  account  to  the  ''popular  insurance''  roll  is  effected. 
When  he  again  qualifies  for  the  workmen's  insurance  rolls  he  must 
furnish  the  same  evidence  as  for  an  original  insurances  When  an 
annuity  is  granted  the  deposit  book  is  exchanged  for  an  annuity 
certificate.  Annuities  are  payable  in  quarterly  amounts,  on  March 
1,  June  1,  September  1,  and  December  1,  on  presentation  of  this 
certificate  by  any  office  or  agency  of  the  institution.  Annuity  pay- 
ments not  demanded  witliin  a  w^hole  year  are  suspended  and  apphca- 
tion  for  their  recovery  must  be  made  to  the  central  office.  Payments 
due  but  not  collected  may  be  recovered  by  the  heirs  within  two  years. 

PROBABLE   AMOUNTS    OF   PENSIONS. 

The  new  method  of  computing  the  pension  values  of  payments  has 
gone  into  effect  so  very  recently  that  it  is  impossible  to  give  any  accu- 
rate estimate  as  to  the  values  of  pensions  which  the  insured  may 
expect  under  normal  conditions.  But  as  the  actual  values  of  pensions 
purchased  could  not  change  very  materially  notwithstanding  the 
radical  change  in  the  method  of  computations,  estimates  based  upon 
the  old  laws  of  1898  and  1901  will  be  indicative  if  not  altogether 
accurate.  The  actual  pensions  can  not,  of  course,  be  guaranteed  in 
advance;  they  must  depend  upon  the  rate  of  interest,  the  amount 
of  the  institution's  subsidies  and  the  invalidity  table. 

In  the  following  tables  the  assumptions  are:  An  annual  rate  of 
interest  of  3.75  per  cent,  an  annual  additional  benefit  of  6  lire  ($1.16) 
from  the  institution  to  each  individual  account,  and  the  accepted 
Itahan  mortahty  table.  The  following  table  shows  the  expected 
value  of  the  annual  pension  maturing  at  60  or  65,  when  payments  of 
contributions  begin  at  20,  25,  30,  35,  and  40,  and  when  the  annual 
contributions  amount  to  6,  12  ,18,  24,  and  36  lire  ($1.16,  $2.32,  $3.47, 
$4.63,  and  $6.95).  The  values  of  pensions  differ  materially  under 
the  two  plans  of  insurance,  the  mutual  (alienated  capital)  plan  and 
the  reserved-capital  plan. 

If  old-age  insurance  is  taken  out  at  the  age  of  20  or  25,  the  pensions 
may  reach  substantial  amounts,  but  for  persons  contracting  for  such 
insurance  at  more  advanced  ages,  and  especially  if  the  minimum  con- 
tribution of  6  hre  ($1.16)  per  annum  is  paid,  the  pensions  are  very 
small.     It  must  be  remembered,  however,  that  a  substantial  increase 


CHAPTER  vn. workmen's  INSURANCE  IN   ITALY.  1891 

of  the  value  of  the  pensions  is  possible  by  delaying  the  time  of  the 
maturing  of  the  pension  from  the  age  of  60  to  the  age  of  65,  or  accord- 
ing to  the  new  table  of  pension  values  (on  p.  1893)  to  the  age  of  70. 

EXPECTED  VALUE   OF  ANNUITIES,   BY   FORM   OF  INSURANCE,   AGE   AT   TIME   OF 

INSURING,  AND  AMOUNT  OF  CONTRIBUTION.  HMJfiOF 

[Source:  Luigi  Rava,  La  Cassa  Nazionale  di  Prevideiua  per  la  Invalidia  e  per  la  Vecchiaia  degli  OperaL] 

Expected  value  of  annuity  for  annual  premium  <rf— 


FcMin  of  insurance  and  age  at  time  of  insuring. 


ALIENATED  CAPITAL. 


11.16 

(6  lire). 


Pension  maturmg  at  age  of  60,  Insured  at  age  of— 

20  years 

25  years 

30  years [ 

35  years 

Pension  maturing  at  age  of  65,"  insiired  at  age  of—" 

20  years 

25  years "  " 

30  years 

35  years !"!]  - 

40  years 


EESEEVED  CAPITAL. 


Pension  maturing  at  age  of  60,  insured  at  age  of— 

20  years 

25  years 

30  years ] 

35  years [".[".['". 

Pension  maturing  at  age  of  65,  insured  at  age  of—" 

20  years 


25  years. 
30  years. 
35  years. 
40  years. 


•29.72 
22.58 
16.60 
11.19 

53.27 
40.72 
30.69 
22.58 
16.21 


24.70 

19.11 

14.28 

9.84 

40.92 
3L85 
24.51 
18.34 
13.51 


t2.32 
(12  lire). 


•45.74 
34.55 
25.48 
17.56 

82.60 
62.92 
47.29 
34.55 
24.70 


35.51 
27.60 
20.84 
14.67 

57.90 
45.36 
34.93 
26.44 
19.49 


$3.47 
(18  lire). 


•61.76 
46.51 
34.35 
23.93 

111.94 
85.11 
63.88 
46.71 
33.39 


46.51 
36.09 
27.41 
19.69 

74.50 
*8.C7 
45.36 
34.55 
25.48 


•4.63 
(24  lire). 


•6.95 
(36lJze). 


•77.78 
58.48 
43.23 
30.30 

14L28 

107.31 

80.48 

58.67 

41.88 


57.32 
44.58 
33.97 
'24.51 

91.48 
72.18 
55.78 
42.65 
31.46 


•109.82 
82.41 

60.99 
43.04 

199.95 

151.70 

113.68 

82.80 

59.06 


79.13 
61.57 
47.09 
34.35 

125.06 
99.01 
76.62 
58.87 
43.43 


An  estunate  of  the  amounts  of  monthly  contributions  necessary  to 
acquire  a  pension  of  180  lire  and  360  hre  ($34.74  and  $69  48)  to 
mature  either  at  60  or  65  years  of  age,  both  for  the  alienated  and 
reserved  capital  plans,  is  given  in  the  following  table.     For  a  person 

^^Ao  Tl^  ^!  !^  ^^^  ^^  ^^  ^^^""^  ^^'  ^^^^^^^^  ^  P^^«i«^  <>f  360  hre 
.($69.48)  at  the  age  of  65  years  may  be  acquired  by  a  monthly  pav- 

ment  o  1  90  lire  (37  cents)  per  month  on  the  reserved^apital  plan 
and  of  1.15  hre  (22  cents)  per  month  on  the  mutual  plan.  Unfortu- 
nately,  it  is  unpossible  to  ascertain,  because  of  the  absence  of  detailed 
reports  of  the  old-age  insurance  institutions,  what  the  average  con- 
tnbuUon  of  the  persons  insured  amounts  to. 


rr 


1892 


KEPOBT  OF   THE  COMMISSIONER  OF  LABOR, 


ESTIMATED  AMOUNT  OF  MONTHLY  CONTRIBUTION  NECESSARY  TO  INBtTRE  A 
PENSION  OF  180  LIRE  ($34.74)  AND  360  LIRE  (J69.48),  BY  FORM  OF  INSURANCE  AND 
AGE  AT  TIME  OF  INSURING. 

(Source:  Lulgi  Rava,  La  Cassa  Nazionale  dl  Prevldenza  per  la  In  validltil  e  per  la  Vecchlaia  degll  Operai.  ] 


Age  at  time  of 
insuring. 


20  years. 
25  years. 
30  years. 
35  years. 
40  years. 


Estimated  amount  of  monthly  contribution  necessary  to  insure  a  pension  of- 


$34.74  (180  lire). 


Mutual  plan:  Ma- 
turing at  age  of— 


30  years. 


eo.l25 
.193 
.290 
.454 


65  years. 


Reserved  capital 
plan:  Maturing 
at  age  of— 


60  years. 


$0,097 
.097 
.116 
.193 
.309 


$0,183 
.270 
.396 
.598 


65  years. 


$0,097 
.116 
.193 
.290 
.434 


$69.48  (360  lire). 


Mutual  plan:  Ma- 
turing at  age  of— 


60  years. 


$0,338 
.473 
.666 
.984 


65  years. 


$0,154 
.222 
.318 
.473 
.704 


Reserved  capital 
plan:  Maturing 
at  age  of— 


00  years. 


10.492 

.666 

.907 

1.293 


65  years. 


$0.2«1 
.3ft7 
.511 
.704 
.994 


ORDINARY    PENSION   INSURANCE. 

A  tariff  of  rates  for  ordinary  voluntar^^  old-age  pension  insurance, 
authorized  by  the  law  of  July  28,  1901,  and  by  the  decree  of  Decem- 
ber 22,  1901,  was  published  June  26,  1904.  This  form  of  insurance 
does  not  confer  any  specific  gratuities  upon  the  assured,  but  gives 
the  advantage  of  insurance  in  an  institution  not  conduct e< I  for  profit, 
which  may  manifest  itself  in  lower  rates.  Both  forms  of  insurance 
are  permitted — the  alienated-capital  plan  and  the  reserved-capital 
plan.  In  the  former  plan  the  premiums  are  forfeited  at  death,  in  the 
latter  plan  they  are  returned.  A  few  rates  for  each  plan  are  quoted 
in  the  following  table,  where  the  amount  of  pension  maturing  at  a 
definite  age  and  purchasable  by  a  single  payment  of  $100  is  given. 
While  the  alienated  plan  naturally  permits  a  higher  pension  than  the 
reserved-capital  plan,  it  is  nevertheless  evident  that  for  longer  periods 
the  difference  becomes  very  much  less  important.  It  is  evident 
that,  while  attractive  in  form,  these  ordinary  old-age  pensions  are  of 
comparatively  little  importance  to  the  wage-workers,  with  the 
standard  of  earnings  prevailing  in  Italy.  Thus  it  is  true  tliat  by  mak- 
ing a  single  deposit  of  $100  to  the  credit  of  his  cliild  at  the  age  of  5, 
the  workman  could  guarantee  to  that  diild  an  annual  pension  of 
$168.90  beginning  at  the  age  of  65,  but  there  are  very  few  workers  in 
Italy  with  an  income  large  enough  to  make  such  provision  for  the 
old  age  of  their  cliildren.  At  the  age  of  25  a  workman  coultl  begin 
to  provide  for  his  own  old  age;  then  each  dollar  paid  in  would  guar- 
antee a  pension  of  46  cents  beginning  with  the  age  of  60,  the  value  of 
the  pension  purchasable  with  each  payment  decreasing  with  advanc- 
ing age.  No  statistics  of  this  branch  of  activity  of  the  institution 
were  available. 


CHAPTER  VII. — workmen's  INSURANCE   IN    ITALY.  1893 

AMOUNT  OF  ANNUAL  PENSION  SECURED  FOR  A  PAYMENT  OF  $100  ON  THE  ORDINARY 
PLAN,  BY  AGE  AT  TIME  OF  PURCHASE  AND  AGE  AT  MATURITY  OF  PENSION. 

ISource:  Cassa  Nazionale  di  Previdenra  per  la  Invalidity  e  per  la  Veochiaia  degll  Operai     Assicurarlonl 

Popular!  di  Rendite  Vitalizie  Condizioni  General!  e  Tariife]  Assicuranom 


Form  of  insurance 
and  age  at  time  of 
purchase. 


Amount  of  annual  pension  secured  for  $100  when  maturing  at  age  of— 


20 
years. 


ALIENATED  CAPITAL, 


5  years 

10  years 

15  years 

20  years 

25  years 

30  years 

35  years 

40  years 

45  years 

50  years 

55  years 

60  years 

65  years 

69  years 

RESERVED  CAPITAL. 


$8.57 
7.02 
5.80 


5  years 

10  years 

15  years 

20  years 

25  years 

30  years 

35  years 

40  years 

45  years 

60  years 

55  years 

60  years 

65  years 

69  years 


25 
years. 


$10. 91 
8.95 
7.39 
6.04 


30 
years. 


$14.02 

11.51 

9.60 

7.77 

6.31 


35 
years. 


76 
42 
33 


8.62 
6.91 
5.51 
4.36 


1L08 
8.89 
7.08 
5.61 
4.40 


$18.27 

14.99 

12.38 

10.12 

8.22 

6.68 


40 
years. 


$24  24 
19.88 
16.41 
13.42 
10.91 
8.86 
7.30 


45 
years. 


14.42 
11.58 
9.23 
7.30 
5.73 
4.46 


19.18 
15.36 
12.25 
9.69 
7.62 
5.93 
4.45 


$32.83 
26.94 
22.24 
18.18 
14.78 
12.01 
9.75 
7.89 


25. 
20. 
16. 
13. 
10. 

8. 

6. 

4. 


92 
81 
60 
13 
32 
02 
16 
65 


50 


55 


60 


years,  i  years,    years. 


65 
years. 


$45.81 
37.60 
31.05 
25.08 
20.62 
16.76 
13.61 
11.02 
8.85 


$66. 
54 
45. 
36. 
29. 
24 
19. 
16. 
12. 
10. 


56 
63 
10 
87 
96 
35 
78 
01 
86 
23 


36.18 

29.05 

23.16 

18.33 

14  39 

11.20 

8.60 

6.49 

4  79 


$102.09 
83.79 
68.17 
56.54 
45.95 
37.36 
30.34 
24  55 
19.73 
15.69 
12.23 


52. 
42. 
33. 
26. 
20. 
16. 
12. 

9. 

6. 

4 


57 
20 
65 
63 
91 
27 
49 
43 
96 
99 


80. 
64 
51. 
40. 
32- 
24 
19. 
14 

la 

7. 
5. 


61 
72 
61 
85 
07 
94 
16 
46 
67 
65 
26 


$168. 
138. 
114 

93. 

76. 

61. 

50. 

40. 

32. 

25. 

20. 

15. 


90 
63 
46 
55 


19 
63 
64 
95 
24 
32 


70 
yean. 


133. 
107. 

85. 

67. 

53. 

41. 

31. 

23. 

17. 

12. 

8. 

5. 


39 

08 

39 

58 

07 

28 

70 

92 

66  . 

65 

71 

68  ' 


$311. 70 

255.84 

211.22 

172  65 

140.30 

114  06 

92.63 

74  97 

6a  23 

47.89 

37.34 

28.28 

20.49 

15.04 


246.15 

197. 61 

167.59 

124  70 

97.93 

76.17 

58.49 

44  16 

32.59 

23.35 

1&07 

10.47 

&33 

3.93 


A  comparison  of  this  tariff  with  the  precedmg  estimates  makes 
possible  an  approxunate  determination  of  the  value  of  the  subsidies 
In  the  foUowmg  table  an  effort  is  made  to  compute  this  value  by 
comparmg  the  value  of  the  pension  on  the  subsidized  plan  and  on 
the  ordmary  plan,  under  the  supposition  of  an  annual  premium  of 
12  hre  ($2.32). 


J 


♦  l! 


)         f 


1894 


REPORT  OF   THE  COMMISSIONER  OF   LABOR. 


COMPARISON    OF    EXPECTED    VALUES    OF    ANNUITIES    UNDER    THE    DIFFERENT 
FORMS  OF  INSURANCE,  BY  AGE  AT  TIME  OF  INSURING. 


Form  of  insurance  and  age  at  time  of  insuring. 


ALIENATED  CAPITAL. 

Pension  maturing  at  age  of  60,  iiwured  at  age  of— 

20  years 

25  years 

30  years 

35  years 

Pension  maturing  at  age  of  65,  insured  at  age  of— 

20  years 

25  years 

30  years 

35  years 

40  years 

EESERVED  CAPITAL. 

Pension  maturing  at  age  of  60,  insured  at  Eige  of— 

20  years 

25  years 

30  years 

35  years 

Pension  maturing  at  age  of  65,  insured  at  age  of— 

20  years 

25  years 

30  years 

35  years 

40  years 


Expected  value  of  annuit  v  for 
annual  premium  of  92. '62  (12 
lire). 


Work- 
men's 
form. 


$45.74 
34.55 
25.48 
17.56 

82.60 
62. 92 
47.29 
34.55 
24.70 


35.51 
27.60 
20.84 
14.67 

57.90 
45.36 
34.93 
26.44 
19.49 


Ordinary 
form. 


$28.16 
22.11 
17.20 
13.20 

44.33 
34.32 
26.19 
19.58 
14.22 


16.18 

11  86 

8  49 

5.87 

27.36 
20  22 
14,  (H 
10.31 
6.96 


Exc<»ss  of 
work- 
men's 

annuity. 


$17.58 

12.44 

8.28 

4.36 

38.27 
28.60 
21.10 
14.97 
9.48 


19.33 

15.74 

12.35 

8.80 

30.54 
25.14 
19.29 
15.13 
12.53 


The  comparison  shows  that  a  very  considerable  proj)ortion  of  the 
workmen's  pension  consists  of  the  subsidies.  This  excess  of  the 
workmen's  pension  over  an  ordinary  pension  purchased  at  the  same 
cost  is  higher  for  the  reserved-capital  plan  than  for  the  alienated- 
capital  plan.  The  reason  for  this  is  obvious,  for  in  the  workmc^n's 
pension  on  a  reserved  plan  only  his  own  payments  are  reserved, 
while  the  subsidies  are  given  on  an  alienated  plan.  The  difference 
between  the  values  of  pensions  on  the  reserved  and  the  alienated 
plans  is  not  so  great  for  the  workmen's  pension  as  for  the  ordinary 
pension,  for  the  workmen's  reserved-plan  pension  is  only  partly  on  a 
reserved  plan.  On  an  alienated  plan,  therefore,  from  one-third  to 
almost  one-half  of  the  pension  is  due  to  the  subsidies,  and  on  the 
reserved  plan  from  one  half  to  two-thirds. 

STATISTICS. 

The  statistical  information  concerning  the  old-age  and  invalidity 
insurance  institution  is  very  meager.  In  the  following  table  is  given 
the  number  of  persons  taking  out  insurance  from  the  beginning  of  the 
activity  of  tlie  institution  in  October,  lcS99,  until  the  close  of  1908. 

The  number  of  persons  taking  out  insurance  shows  considerable 
fluctuations,  but  the  largest  numbers  are  found  in  the  years  1902  and 
1906,  due  to  the  influence  of  the  amendments  to  the  organic  law. 


CHAPTER  VII.— workmen's   INSURANCE   IN   ITALY.  1895 

The  total  number  of  accounts  opened  during  the  years  shown  in 
the  table  equals  nearly  300,000;  according  to  the  latest  information 
available  the  total  number  of  accounts  opened  up  to  November  30 
1910  reached  352,376;  but,  unfortunately,  further  details  as  to  the 
distribution  of  these  by  sex,  age,  occupation,  etc.,  are  lackin- 

For  the  years  1904  to  1908  the  data  are  shown  by  the  place  where 
insurance  was  taken  out-i.  e.,  either  the  main  and  branch  offices  of 
the  institution  or  the  post-offices;  and  the  table  shows  the  very  impor- 
tant function  of  the  post-office  as  a  stimulus  to  popular  thrift  In 
some  years  more  than  one-half  of  the  insurance  was  taken  out  at 
post-offices. 

A  comparison  of  the  two  plans  of  insurance  indicates  that  they  are 
about  equally  popular,  both  meeting  existing  demands.  During  the 
hve  years  for  which  data  are  available,  1904  to  1908,  the  total  num- 

fifon.f  ^  r'f  '^T"^  r  *''^  "'"'^""l  P^*"!  (alienated  capital)  was 
84,903  and  that  of  policies  on  the  reserved  capital  plan  84  849— 
almost  exactly  equal.  ' 

NUMBER   OF  PERSONS  INSURED  EACH    YEAR    IN    THE    NATIONAl     mn.i,r-v    .x-,> 

SJu^^S  IT.TZ'  ''•'^"™™'^''  -  —  -  --™--  Axrrll/^o? 

(Source:  Bolletunodelrumdo  del  L"™™.  ^to  J^««.^and  Die  Arbeiter-Ve^icheruog  ta  Ausiande. 


Year. 

Number  insured  at— 

Number  insured 
under- 

Total 

Post-offices. 

Main  office 

and 
branches. 

Mutual 
plan. 

Reserved- 
capital 
p  an. 

insured 

during 

year. 

1899(a).... 

C) 

(*) 

C) 

13,687 

12,378 

25,590 

14, 162 

11,302 

(b) 

(*) 

C) 

(*) 

17. 739 

11,302 

25.201 

20,998 

17,393 

C) 
C) 
(«>) 
C) 

15,840 
10,889 
27.875 
16, 630 
13, 069 

(M 

(«•) 

C) 

C) 

15.586 

12. 791 

22,916 

18.530 

15,026 

1900 

776 

1901 

10.279 

1902 

20. 324 

1903 

54.470 

1904 

28.779 

1905 

31.426 

1906 

23,680 

1907 ■ 

50.791 

1908 

35. 160 

28.695 

b  Not  separately  reported. 


a  For  last  3  months  only. 

Very  interesting  data  concerning  the  size  of  the  contributions  of 

ri^oT^f    T  ^'?  P"b"«li«d  by  the  old-age  insurance  institution 

Qn\      'i     '^^    unfortunately  they  refer  only  to  the  years  1900  to 

IMS,  and  no  later  comparable  data  were  published ;  they  nevertheless 

throw  some  light  upon  the  activity  of  the  fund. 

67725°— VOL  2— 11 26 


1896 


REPORT  OF   THE  COMMISSIONER  OF   LABOa. 


ANNUAL  CONTRIBUTIONS  OF  PERSONS  INSURED  IN  THE  NATIONAL  OLD-AGE  AND 
INVALIDITY  INSURANCE  INSTITUTION,  1900  TO  IWA. 

[Source:  BoUettino  di  Notizi*  sul  Credtto  e  suUa  Previdenza,  l\m.] 


Amount  of  contributions  during  year. 


Total  membership: 

No  contribution 

Less  than  6  lire  ($1.16) 

6  lire  (SI.  16) 

6.01  to  10  lire  (SI.  16  to  $1.93) 

10.01  to  25  lire  ($1.93  to  $4.83) 

25.01  to  50  lire  ($4.83  to  $9.65) 

50.01  to  JOO  lire  <S».65  to  $19.30) 

100  lire  ($19.30)  and  over 

Total 

Membership  on  mutual  plan: 

No  contribution 

Less  than  6  lire  ($1.16) 

6  lire  (f  1.16) 

6.01  to  10  lire  ($1. 16  to  $l.93> 

10.01  to  25  lire  ($1.93  to  $4.83) 

25.01  to  50  lire  (U.&i  to  $9.65 ) 

50.01  to  100  lire  ($9.65  to  $19.30) 

100  lire  ($19.30)  and  over 

Total 

Membership  on  reserved-capital  plan: 

No  contribution 

Less  than  6  lire  ($1.16) 

6  lire  ($1. 16) 

6.01  to  10  lire  ($1.16  to  81.93) 

10.01  to  25  lire  ($1.93  to  $4.83) 

25.01  to  50  lire  (4.83  to  $9.65) 

SO.Ol  to  100  lire  ($9.65  to  $19.30) 

100  lire  ($19.30)  and  over 

Total 


1900. 


Num- 
ber con- 
tribu- 
ting. 


238 

2.807 

4,890 

615 

1.441 

881 

364 

227 


11.463 


155 

1,679 

1,586 

351 

861 

598 

119 

47 


5,396 


83 
1,128 
3.304 
264 
580 
283 
245 
180 


Per 
cent 

of 
tot^ 


2.08 

24.49 

42.66 

6.36 

12.57 

7.69 

3.17 

L98 


100.00 


2.87 
31.12 
29.39 

6.50 
15. 96 
11.08 

2.21 

■  .87 


1901. 


Num' 

ber  coo^ 

tribu- 

ling. 


2.734 
4.612 
n.  185 
2,  450 
5. 397 
.i,  190 
2,713 
2,2iG 


42.  497 


1.286 

2.  731 
7.. 380 
1.250 
■2.  879 
1.782 
I  280 
1  220 


100.00 


1.37 
18.59 
54.46 
4.35 
9.56 
4.66 
4.04 
2.«7 


6.067    100.00 


1!>,  808 


1.44S 

1,881 
n.805 
1,200 
2,518 
!  108 
1,433 
996 


22. 689 


Per 

cent 

of 

total. 


6.13 

10.85 

4S.  14 

5.77 

12.70 

7.51 

6.38 

5.22 


100.00 


190Li. 


Num- 
ber oon- 
tribu- 
ting. 


liO.929 

24,907 

27.640 

3, 2.55 

14.456 

4.261 

3.545 

2,581 


Per 

cent 

of 

U>tal. 


11. 94 
27.20 


30 
8 

1) 
1 


18 


79 
<>5 
4.87 

2.82 


91,574    100.00 


6.49 

13.  79 

37-26 

6.31 

14. 53 

9.00 

6.  46 

6.16 


100.00 


6.38 
8.29 

52. 03 
5.29 

11.10 
6.20 
6.32 
4.39 


100.00 


4,963 
14.480 
12,325 
1.391 
6,^> 
2.280 
l.O.'iS 
1.724 


4.5.104 


11.00 

.32. 10 

27.33 

3.  OS 

15.27 

5.06 

2.  .34 

8.82 


100.00 


5.966 

10, 427 

15,315 

1,864 

7,570 

1,981 

2,490 

857 


46.470 


12.84 

22.  44 
32. 9C> 
4.01 
16.29 
4.26 
5.36 
1.84 


100.00 


1903. 


Num- 
ber ooa- 
tribu- 
ting. 


35,959 
9,<»4 

39,650 
4,540 

18,094 
7,150 
6.097 
5,121 


126,295 


19.547 
5,133 

17. 199 
2.017 
9,-192 
4,09<i 
2.982 
3,. 551 


P« 
cent 

of 
totaL 


28.47 
7.67 

31.^ 
3.59 

14.33 
5.66 
4.83 
4.05 

100.00 


^3m  do 

8.03 
26.91 
3.16 
14.69 
6.41 
4.66 
5.56 


a3.9l7    100.00 


16.412 
4.551 

22.451 
2,523 
8.702 
3.054 
3.115 
1.570 


26.31 
7.30 

35.99 
4.04 

13.95 

4.m 

4.99 
2.52 


62,378  1100.00 


The  table  shows  a  very  rapid  increase  of  the  number  of  persons 
who  made  no  contributions  during  the  year.  In  1900  thev  amounted 
to  only  2.1  per  cent,  in  1901  to  6.4  per  cent,  in  1902  to  11.9  per  cent, 
and  in  1903  to  28.5  per  cent.  Thus  in  1 903  nearly  three-tenths  of  the 
members  were  not  paying  their  contributions.  The  total  number  of 
persons  insured  as  stated  in  the  preceding  table  must  be  considered  in 
the  light  of  these  data. 

It  is  true  that  a  number  of  persons  failing  to  contribute  anything 
during  one  year  may  do  so  during  the  next  year.  Of  the  persons  mak- 
ing some  contribution  during  the  yeai*  1903  nearly  half  contributed 
6  lire  (SI.  16),  which  entitles  them  to  the  subsidy.  The  number  of 
persons  contributing  that  amount  in  1900  was  42.7  per  cent  of  the 
total;  and  in  1903,  31.4  per  cent  of  the  total  number,  or  about  44 
per  cent  of  those  who  contributed  anything  during  that  year. 

The  very  large  number  of  persons  contributing  less  than  6  lire 
($1.16)  in  1902,  and  nothing  in  1903,  is  explained  in  the  official  report 
as  a  result  of  the  fact  that  in  consequence  of  a  very  active  propaganda 
a  large  number  of  workmen  insured  themselves  in  the  institution,  who 
soon  found  it  difficult  to  keep  up  the  contributions  and  gradually 
dropped  out. 


CHAPTER  VII. workmen's   INSURANCE  IN   ITALY.  1897 

Of  the  finances  of  the  old-age  and  invalidity  insurance  institution  un- 
fortunately very  little  information  is  available.  The  assets  and  liabili- 
ties of  the  institution  for  1899  to  1909  are  shown  in  the  tables  following. 

The  deposits  and  other  revenues  of  the  institution  are  distribut^ 
among  numerous  funds,  as  is  prescribed  bv  the  laws  and  regulations 
governing  it.     These  funds  are  shown  in  detail  in  the  next  t'able. 

(1 )  The  endowment  fund,  representing  a  source  of  financial  strentrth 
and  future  revenues  for  the  institution,  grows  very  rapidlv,  both\v 
special  revenues  and  by  assignments  from  the  ordinary  revenues  as 
prescribed  in  the  law.  But  with  the  increase  of  deposits  the  proper- 
tion  of  the  endowment  funds  to  the  total  is  gradually  declining. 

(2)  The  invalidity  fund,  representing  the  amounts  to  be  used  in 
subsequent  grants  of  invalidity  pensions  and 

(3)  The  special  reserve  fund  for  protection  of  tlie  two  funds  above 
mentioned  have  been  described  above. 

(4)  The  mutual  benefit  societies'  fund  represents  amounts  specially 
designated  for  bonuses  to  be  added  to  pensions  of  persons  insured 
under  the  collective  insurance  contract. 

(5)  Similarly,  the  special  fund  for  ^'brief  period"  insurance  is 
intended  to  provide  means  for  payment  of  bonuses  to  pensions  of 
members  of  mutual  benefit  societies  who  have  been  insured  less  than 
10  3^ears  when  reaching  the  pension  age. 

(6)  Special  grants  in  favor  of  certain  groups  of  depositors,  when  so 
designated,  must  be  kept  in  a  special  account  according  to  the  retni- 
lations. 

(7)  The  pension  fund  represents  the  actuarial  vahie  of  current 
pensions  which  have  matured  or  have  been  purchased  outright  (as  in 
the  case  of  compensation  for  permanent  injuries). 

(8)  The  indemnity  deposit  fund  represents  the  deposits  of  com- 
pensation made  in  case  of  injuries  likely  to  remain  permanent-  these 
deposits  are  held  in  trust  by  tlie  National  Old-Age  and  Invahdity 
Insurance  Institution  for  two  years,  according  to  the  accident  insur- 
ance law,  until  the  final  adjudication  of  the  claim. 

(9)  The  depositors'  fund  is  the  most  important  of  all.  It  contains 
the  actual  pa\Tnents  made  either  by  insured  persons  or  for  them  and 
the  benefits  annually  contributed  by  the  institution  out  of  its  revenues. 

(10)  Popular  old-age  insurance  which  is  done  by  tlie  institution 
(since  1905  on  an  independent  rate  and  without  participation  in  any 
ot  the  benefits  granted  to  workmen)  is  kept  in  a  separate  account 
NMule  tlie  operations  under  this  plan  are  as  yet  very  small,  they  show 
a  perceptible  growth  and  indicate  the  achantagcs  of  the  low  rat-s 
oJered  by  tlic  institution. 

(11)  The  provident  fund  for  the  employees  of  the  central  office 
represents  the  results  of  accumulations  of  small  gratuities  giyen 
annually  by  tlie  administration  in  favor  of  these  employees. 

(12)  The  last  fund  represents  the  difference  between  the  general  or 
ordinary  revenues  of  the  institution  and  its  expenses.  Tlie  ordinarv 
revenues  do  not  include  those  revenues  which  in  virtue  of  the  law 


-^r L 


1898 


EEPORT   OF   THE  COMMISSIONER  OF   LABOB. 


!    ! 


I! 


must  be  turned  into  the  endowment  fund,  nor  the  deposits  made  by 
or  for  the  insured  directly. 

All  expenditures,  exclusive  of  pension  payments,  are  met  out  of 
these  revenues,  and  the  surplus  is  redistributed  among  the  other 
funds.  In  this  table  the  amount  in  this  fund  on  December  31  of  each 
year  is  shown,  the  distributing  usually  taking  places  at  the  end  of 
March.  Unfortunately,  data  concerning  the  annual  receipts  and 
expenditures  and  the  distribution  of  this  surplus  are  not  available 
later  than  1902.  As  appears  from  the  report  for  that  year,  the 
2,698,997  hre  ($520,906.42)  available  for  distribution  at  the  end  of 
that  year  were  assigned  as  follows :  304,485  lire  ($58,765.61 ) ,  or  1 1 .3  per 
cent,  to  the  endowment  fund;  392,285  lire  ($75,711),  or  14.5  per  cent, 
to  the  invalidity  fund ;  98,071  hre  ($18,927.70),  or  3.6  per  cent,  to  the 
special  reserve  fund;  458,000  hre  ($88,304),  or  17  per  cent,  to  the  fund 
of  brief  period  insurance;  55,800  hre  ($10,769.40), or  2.1  per  cent,  to  the 
special  mutual  benefit  societies'  fund;  900,000  lire  ($173,700), or  33.3 
per  cent,  for  distribution  of  the  regular  subsidies  of  10  lire  ($1 .93),  among 
the  individual  accounts;  and  the  remainder,  490,356  hre  ($94,638.71), 
or  18.2  per  cent,  was  carried  over  into  the  next  year's  accounts. 

AMOUNTS  IN  THE  VARIOUS  FUNDS  OF  THE  OLD-AGE  AND  INVALIDITY  INSURANCE 

INSTITUTION,  1899  TO  1908. 

[Source:  Bollettino  dell'  Ufficio  del  Lavoro  Vol.  XIII,  May,  1910.1 


Year. 


1899 

1900 
1901 
1902 
1903 
1904 
1905 
1906 
1907 
1908 


Endow- 
ment fund. 


$2,219,107 
2,239,868 
2,436,805 
2, 739, 734 
2,913,685 
3,088,831 
3,282,273 
3, 473,  552 
3,927,952 
4,817,088 


Invalidity 
fund. 


$21,836 

21,836 

70,909 

113,668 

196,878 

360,779 

462,261 

636, 552 

916,850 

1,162,063 


Si)ecial 
reserve. 


$5,459 

5,459 

17,727 

28, 412 

49,214 

74,647 

99,758 

136, 441 

200,411 

261,535 


Fund 
of  col- 
lective 
insur- 
ance by 
mutual 
benefit 
societies. 


$20,111 

32,103 

40,128 

81 . 752 

145.014 

400, 746 

000,697 


Special 
fund 
for  in- 
surance 
for 
short 
periods. 


$94,392 
94,392 
120,050 
201,106 
300,904 
217,977 
261,697 
409,772 
516, 444 
683,337 


Si)ecial 

funds 

creatJ'd 

by 
contri- 
butions 
in  favor 

of  de- 
positors. 


?9,650 
13,(>()7 
14,221 
15,247 
15,474 
15,744 
15,(i73 
16, 275 
16,254 
21,479 


Fund  of 
pensions 
granted. 


$2,860 

16,341 

48,978 

59,343 

69, 19() 

104,143 

186, 173 

208, 105 


Deposits 

under 
the  acci- 
dent in- 
surance 

law 
made  in 
case  of 
perma- 
nent dis- 
abiUty. 


157,573 
212, 199 
259,837 
235,904 


Year. 

Fund  of 

the 
insured. 

Amount 
to  be  redis- 
tributed 
among 
individual 
depositors' 
accounts. 

Popular 

old-age 

pension 

insurance. 

Provident 
fund 
for  the 
employees 
of  the 
central 
ollice  of 
the  in- 
stitution. 

Miscella- 
neous. 

Funds  to 
be  dis- 
tributed, 
December 
21. 

Total. 

1899 

$748 

31,744 

256, 491 

579,015 

1,151,385 

1,913,535 

2,662,872 

3,478,514 

4,002,543 

5,025,358 

$386 
386 

$528 

200 

465 

456 

2,312 

14,095 

53,741 

33,858 

56,259 

122,861 

$27,296 

359,226 

462,487 

520,906 

698, 139 

677,420 

1,030,472 

1,161,414 

1,238,582 

1,480,347 

$2, 379, 462 

1900 

$936 

1,941 

3,176 

4,773 

6,383 

8,201 

10,919 

13,888 

16,289 

2, 767, 654 

1901 

3,;i83,516 

1902 

16, 405 

34,740 

78, 125 

82,025 

136,254 

778,003 

897, 450 

4, 254, 577 

1903 

5, 448, 645 

1904 

"""$27  ,"706' 
52,047 
88,000 
159, 146 

6,  r»79, 193 

1905 

8,  ;?95. 200 

190(i 

10,006;  954 

1907 

1908 

12,«i02,002 
15,751,559 

CHAPTER  VII. workmen's   INSURANCE   IN   ITALY.  1899 

As  is  required  by  the  law  and  regulations,  the  largest  part  of  the 
assets  IS  invested  in  interest-bearing  securities  held  by  the  Bank  of 
Deposits  and  Loans.  In  1908  nearly  80  per  cent  of  the  total  assets 
were  so  invested.  The  amounts  invested  as  loans  to  Provinces  and 
communes  since  1903,  in  virtue  of  the  act  of  1902,  are  insignificant- 
though  the  revised  act  permitted  investment  in  real  estate,  this' 
form  of  investment  has  not  shown  any  increase. 

ASSETS  OF  THE  NATIONAL  OLD-AGE  INSURANCE  INSTITUTION. 
[Source:  Bollettino  dell'  Ufficio  del  Lavoro,  Vol.  XIII,  May,  1910.J 


Year. 


1899 

1900 

1901 

1902 

1903 

1904 

1905 

1906 

1907 

1908 


Securities 
held  by 

the  Bank 
of  Deposits 
and  Loans. 


Interest 

due  on 

securities 

held. 


$2,345,235 
2,714,542 
3,152,737 
3,759,876 
4.530,435 
4,763,537 
6,179,801 
7,793,755 
10,575.995 
12,444.446 


$26,621 

33,746 

42,044 

68,116 

85,632 

88,768 

116.265 

156,029 

178.456 

207,956 


Loans  to 
Prov- 
inces, 
com- 
munities, 
etc. 


$403, 005 
631,455 
746.633 
660,694 
537.665 
463,094 


Urban 

real 
estate. 


$774,729 
901,587 
901.645 
901,992 
903.150 


Account 
with  the 
Bank  of 
Deposits 
and  Loans. 


Cash  on 

hand  in 

central 

office, 

branches, 

and  post- , 

office,    i 


Miscel- 
laneous 

bills 
receiv- 
able. 


$6,447 
6,975 

47,756 
329,867 
240.429 
186,768 
128.941 
331,862 
398, 407 
1,432,908 


$966 

12,185 

110,263 

96,716 

169,791 

124, 618 

216, 790 

157,023 

959 

271,412 


$193 

206 

30,715 

2 

18,753 

9,318 

5,183 

5,946 

8,538 

28,593 


TotaL 


r2. 379, 462 

2.767.654 

3,383.516 

4,254,577 

5,448,645 

6, 579. 193 

8,295,200 

10,00G,9,>I 

12. 602, 002 

15.051,559 


COMPULSOEY  OLD-AGE  INSIIRANCE  FOR  CERTAIN  STATE  EMPLOYEES. 

The  Itahan  Government  has  at  various  times  granted  old-a<^e 
and  superannuation  pensions  to  various  groups  of  its  emplove^s 
It  is  impossible  here  to  enter  into  a  discussion  of  these  civil-service 
pension  laws.  But  the  general  tendency  to  incorporate  these  pen^ 
sion  schemes  into  the  National  Old-Age  and  Invahdity  Insurance 
Institution  deserves  to  be  emphasized,  at  lea^t  as  far  as  the  indus- 
trial employees  of  the  Government  are  concerned. 

Perliaps  the  best  example  of  this  tendency  is  found  in  connection 
witli  the  employees  of  the  government  tobacco  monopoly. 

TOBACCO    MONOPOLY. 

On  November  23,  1886,  a  bill  for  the  establishment  of  a  pension 
fund  for  the  employees  in  the  tobacco  industry  was  introduced  but 
It  did  not  come  up  for  discussion.  A  similar  fate  befell  the  later 
effort  of  November  19,  1887.  While  both  these  efforts  failed,  the 
admrnistration  was  forced  to  begin  the  payment  of  regular  benefits 
to  disabled  and  superannuated  employees.  In  the  beginning  such 
intormal  benefits  were  paid  only  to  employees  working  for  time 
wages,  but  smce  1892  these  benefits  were  extended  to  workers  for 
piece  wages.     From  1892  to  1899  the  minimum  annual  pension  for  a 

7^'^^ZT  ^""^  ^^^  ^''^  ^^^^'^^^'  ^^  1899  it  was  increased  to  180  lire 
^^^4.74),  m  1901  to  216  lire  ($41.69),  and  in  1902  to  240  hre  ($46  3'>) 


J 


1900 


BEPORT   OF   THE   COMMISSIONEE   OF   LABOE. 


The  maximum  in  1897  was  placed  ut  240  lire  ($10.32),  in  1899 
increased  to  360  lire  ($69.48),  and  in  1902  it  was  abolished.  According 
to  the  rules  adopted  in  1892,  inability  to  work  did  not  give  the  right 
to  a  pension  unless  the  appUcant  had  reached  the  age  of  60;  in  1894 
the  conditions  were  modified  so  that  35  years  of  service  were  suffi- 
cient, without  regard  to  the  age  at  the  time  of  applying  for  a  pension; 
and  in  1899  the  limit  was  reduced  to  25  years  of  service. 

The  following  table  gives  an  indication  of  the  rapid  development 
of  these  benefits  during  the  period  1894  to  1903,  the  average  number  of 
employees  being  about  15,000: 

NUMBER  OF  BENEFICIARIES  AND  AMOUNT  OF  BENEFITS  PAID  TO  EMPLOYEES  OF 
THE  TOBACCO  MONOPOLY,  1894  TO  1903,  BY  YEARS. 

[Source:  Ballettlao  dl  Natizi3  sal  Credito  e  sulla  Praviisnza,  ISH.] 


Fiscal  year. 


1.S94-5... 
1895-G... 
1890-7... 
1897-8... 
1S9S-9... 
1899-1900 
1900-1... 
1901-2... 
1902-3... 


Number 

of  )>enefi- 

ciaries  at 

the  end 

of  the 

year. 


221 

348 

309 

531 

685 

1,238 

1,754 

2,094 

2,445 


Amount 

of  benefit. H 

paid 

durinj? 

the  year. 


If),  807. 94 

11,872.03 

13,832.44 

21,512  77 

28,589  5J 

62,718  99 

105,594  29 

138,247  71 

158,436  14 


Average  amount  of 
benefits  at  the 
end  cf  th««  year 
to- 


Females. 


Mules. 


('•) 
(") 
(") 
(■') 

f02.09 
tH>.19 


bJ39.20 
ft  40. 51 
ft  41. 74 
ft50.6t) 
*60.51 
128.48 
129.63 


a  Not  separately  reported. 


ft  Average  for  both  soxes. 


On  September  29,  1899,  immediately  before  the  l^eginning  of  the 
operations  of  the  old-age  insurance  institution,  Minister  Carmine 
ruled  that  no  pei-son  could  be  accepted  as  a  permanent  employee 
of  the  tobacco  industry  who  would  not  be  insured  in  the  national 
old-age  insurance  institution.  The  contributions  to  be  deducted 
from  their  earnings  and  paid  by  the  administration  of  the  indus- 
try were  1  lira  (19  cents)  per  montli  from  the  wages  of  females 
and  2  lire  (39  cents)  per  month  from  the  wages  of  the  males.  To 
this  contribution  the  administration  of  tlie  industry  added  an  equal 
amount.  Thus  the  system  of  gratuitous  old-age  pensions  was  abol- 
ished in  1899  except  for  persons  already  employed.  Considerable 
diiference  in  the  treatment  of  the  old  and  new  employees  arose. 
Those  employed  on  or  before  September  30,  1899,  were  entitled  to 
a  pension  after  25  yeai-s  of  service.  This  pension  was  deternuned 
by  the  average  annual  salary  for  the  last  five  years  of  service  and 
amounted  to  yV  of  the  average  salary  when  the  service  was  less  than 
30  years,  -fo  when  tlie  length  of  service  was  30  but  less  than  35  years, 
tV  if  35  years  but  less  than  45  years,  ^  if  45  years  but  less  than  50 
years,  and  j\  if  50  years  or  over.     In  all  cases,  however,  the  pension 


CHAPTER  VII. workmen's   INSURANCE   IN   ITALY.  1901 

was  due  unless  disability  was  established.  The  minimum  pension 
was  240  lire  ($46.32)  for  women  and  480  lire  ($92.64)  for  men.  If 
such  disability  arose  before  the  completion  of  25  years  of  service, 
but  after  10  years,  the  employee  was  entitled  to  ^jj  of  the  averacre 
annual  salary  for  the  preceding  five  years,  but  such  pension  was  to 
run  only  2  years  if  the  employee  had  served  less  than  12  years;  3 
years  if  he  had  been  in  service  15  years  but  less  than  20  years,  and 
for  4  je&rs  if  he  had  been  in  service  20  years  but  less  than  25  years. 
The  position  of  persons  entering  service  after  September  30,  1899, 
was  entirely  different,  as  they  were  subject  to  the  general  rule^  of 
the  old-age  insurance  institution.  But  a  computation  showed  that 
the  pensions  acquired  under  the  latter  conditions  at  the  age  of  60  for 
men  and  55  for  women  would  not  be  inferior  to  those  granted  under 
the  old  conditions. 

To  make  the  provisions  for  the  two  classes  of  employees  uniform, 
and  to  sanction  the  system  by  legislative  action,  a  bill  was  introduced 
on  March  17,  1904,  which  with  a  few  modifications  became  a  law  on 
June  16,  1904. 

The  law  regulates  the  pensions  for  such  employees  as  were  m  the 
regular  service  before  September  30,  1899,  subsequently  referred  to 
as  ''old  employees,"  and  for  those  who  entered  the  service  since 
then  and  referred  to  in  the  following  accounts  as  new  employees 
The  conditions  are  still  very  much  different  for  these  two  classes  of 
employees,  but  an  effort  was  made  in  the  law  to  equalize  them  as 
far  as  possible  under  the  radical  difference  that  only  the  new  employees 
confribute  to  their  old-age  and  invahdity  insurance  by  compulsory 
insurance  m  the  national  institution. 

All  workmen  permanently  employed  in  the  six  institutions  of  the 
tobacco-manufacturing  monopoly,  whether  day  workers,  piece- 
workers, master  mechanics,  artisans,  supervisors,  or  clerks,  are 
included. 

The  law  provided  for  both  superannuation  and  invalidity  benefits. 

The  old  employees  are  entitled  to  a  pension  from  the  adminis- 
tration, and  the  new  employees  must  have  their  pensions  liquidated 
by  the  old-age  insurance  institution  under  one  of  the  followincr  three 
conditions :  "" 

(1)  When  they  reach  the  age  of  60  (55  years  for  female  employees); 

(2)  men  they  are  disabled  for  further  employment  after  25'j:ears 
of  ser\dce;  or 

(3)  When  they  are  disabled  through  injury  or  disease  contracted 
because  of  their  employment,  provided  they  renounce  their  ricrht  to 
compensation  under  the  accident-insurance  law. 

Lump-sum  invalidity  benefits  are  paid  if  the  old  employee  has 
become  disabled  (not  through  the  causes  mentioned  in  the  preceding 
paragraph)  before  he  has  acquired  the  right  to  a  pension  but  after 


1902 


REPORT  OF   THE   COMMISSIONER  OF   LABOR. 


10  years  of  service.  Under  identical  conditions  the  new  employees 
may  demand  the  liquidation  of  their  accounts  in  the  old-age  Lnsurance 
institution  either  in  the  form  of  pensions  or  lump-sum  payments. 

When  an  old  employee  is  forced  to  ^ive  up  the  service  on  account 
of  disability  (invalidity),  a  right  to  the  regular  superannuation  or 
invalidity  pension  is  acquired;  but  after  10  years  of  service  he  receives 
a  lump-sum  benefit  computed  on  the  basis  of  the  average  daily  wages 
for  the  precediQg  five  years,  which  is  multiplied  by  300  when  the 
length  of  the  service  is  less  than  15  years,  by  450  when  it  is  15  years 
but  less  than  20  years,  and  by  600  when  it  is  20  years  but  less  than 
25  years. 

In  case  of  new  employees  the  national  insurance  institution  must 
liquidate  the  pension  either  as  a  pension  or  as  a  lump  sum,  at  the 
option  of  the  insured.  If  the  amount  is  below  that  named  above 
the  administration  of  the  tobacco  monopoly  adds  the  necessary  dif- 
ference to  bring  it  up  to  that. 

The  superannuation  or  invalidity  pension  of  the  old  employee  who 
has  been  in  service  25  years  is  equal  to  the  average  daily  wages  for 
the  preceding  10  years  (excluding  the  two  years  of  lowest  wages) 
multiplied  by  150.  This  gives  approximately  half  liis  annual  salary. 
For  each  year  over  25  years  up  to  and  including  tlie  45th  year  of 
service  3  units  are  added  to  the  multiplier,  so  that  by  the  end  of  45 
years  the  multiplier  would  be  equal  to  210  and  the  pension  to  -^ 
of  the  annual  wages.  For  each  year  of  service  over  45  six  units  are 
added,  so  that  the  full  pension,  equal  to  annual  wages,  would  be 
reached  after  60  years  of  service.  In  no  case  shall  the  pension  be  less 
than  300  lire  ($57.90)  for  female  employees  and  480  lire  ($92.64)  for 
male  employees. 

The  new  employees  receive  their  pensions  from  the  National 
Old-Age  and  Invalidity  Insurance  Institution,  com [)U ted  according 
to  the  general  rules.  Their  insurance  may  be  either  on  the  mutual 
(alienated-capital)  plan  or  the  reserved-capital  plan  (see  p.  1878),  as 
explained  later.  If  the  pension  computed  by  the  national  institu- 
tion falls  below  the  minima  mentioned  in  the  preceding  paragraph, 
and  the  insurance  has  been  taken  on  the  mutual  plan,  then  it  is  raised 
to  the  minimum,  and  the  administration  of  the  tobacco  industry 
pays  to  the  national  old-age  institution  the  difference  necessary  to 
bring  the  computed  pension  up  to  the  minimum.  Wlien  the  insur- 
ance has  been  taken  on  the  reserved-capital  plan,  then  the  payment 
is  such  as  would  be  necessary  to  bring  the  pension  up  to  the  minimum, 
if  the  insurance  had  been  taken  out  on  the  mutual  (alienated  ca]>ital) 
plan.  That  is  to  say,  the  minimum  quoted  is  guaranteed  to  the 
employee  only  as  a  pension  or  annuity.  But  if  the  employee  prefers 
to  reduce  the  amount  of  his  annuity  by  insuring  on  a  reserved-capital 
plan,  that  circumstance  shall  not  entitle  him  to  any  extra  benefit. 


CHAPTER  VII.— WORKMEN  's   INSURANCE   IN   IT.\LY.  1903 

In  computing  the  length  of  service,  all  periods  of  service  are  added 
together,  mcludmg  the  time  of  absence  on  account  of  sickness  or 
military  service.  Credit  is  given  for  the  tune  spent  in  service  in  the 
private  tobacco  works  in  Sicily. 

The  entu-e  cost  of  the  pensions  of  the  old  employees  is  met  by  the 
Government  as  a  part  of  its  appropriation  for  the  tobacco  works 
Ihe  new  employees  are  required  to  pay  for  their  insurance,  the  fol- 
lowing amounts  being  deducted  from  then-  wages:  One  lira  (19  cents) 
per  month  for  the  female  employees,  who  are  in  the  vast  majoritv 
and  2  In-e  (39  cents)  per  month  from  the  wa^es  of  the  male  employed' 
In  addition  a  monthly  contribution  is  granted  by  the  administral 
tion,  enough  to  make,  when  added  to  the  members' contribution  and 
the  subsidy  of  the  msurance  institution,  a  total  of  34  fire  ($6  56)  for 
the  females  and  58  Hre  ($11.19)  for  the  males.     In  other  words,  the 
total  annual  subsidy  of  the  State  and  of  the  insurance  institution 
amounts  to  22  lire  ($4.25)  for  the  female  employees  and  34  lire  ($6  56) 
for  the  male  employees.  * 

Each  employee  must  decide  under  which  of  the  two  plans  (reserved 
or  ahenated  capital)  he  wishes  to  be  insured.  Within  one  year  from 
the  promu  gation  of  the  law  the  change  from  the  alienated  capital  to 
reserved  plan  was  permitted.  ^ 

All  superannuation  and  invahdity  pensions  paid  according  to  pre- 
vious  regulations  are  transformed  into  pensions  accordmg  to  this 
law  but  on  the  basis  of  the  wages  and  length  of  service  established 
at  the  time  when  the  benefits  were  granted 

On  March  31,  1903,  at  the  time  when  the'text  of  the  law  was  bein^ 
prepared,  there  were  16,184  names  of  workers  on  the  rolls  of  th^ 
tobacco  monopoly;  of  these,  2,371  were  pensioners  and  13,813  active 
employees  and  only  1,388,  or  about  10  per  cent  of  the  Ictive  em- 
ployees were  males.  Only  3,170,  or  less  than  one-fourth,  of  these 
entered  the  service  smce  September  30,  1899,  and  were  subject  to 
the  new  provisions  for  compulsory  insurance,  while  10,643  or  over 
t  n-ee-fourths,  were  entitled  to  gratuitous  pensions.  An  es  imate  of 
he  capitahzed  value  of  the  pensions  ah-eady  running  or  to  be Tanted 

;i^e1;T82Xl'"'''^^^^  '''"'  ^'^  ^^'"^^  ''  ^^^^^^  ^S^ 

SALT    WORKS. 

By  the  law  of  July  9,  1905,  the  provisions  of  the  law  granting  pen- 
ions  to  he  employees  in  the  tobacco  industry  were  exteSTracd 

emblr  30   ISQQ  «  those  who  were  employed  on  or  before  Se,>- 

tSL     T.  ' ,        ^"^  "'°'^  "^^^  ^°'^'-«d  t^«  service  since  that 

time.    These  works  employ  about  2,000  persons. 


"BoUettino  dell'  Ufficio  del  Lavoro,  Vol.  IV,  1905. 


H  I 


1904 


REPORT  OF  THE   COMMIvSSIONER  OF  LrABOB. 
OFFICE   OF   ENGRAVING   AND  PRINTING. 


A  special  law  granting  pensions  to  the  workers  of  both  sexes 
employed  in  the  government  office  for  engraving  and  prmtmg  secu- 
rities and  valuable  papers  was  approved  on  July  7,  1905.  Tins  law 
practically  repeats  the  provisions  of  the  law  for  the  tobacco  employees, 
except  that  the  division  into  old  and  new  employees  dates  not  from 
September  30,  1899,  but  from  the  day  of  the  pronmlgation  of  the 
present  law  (July  15,  1905). 

UNEMPLOYMENT  INSURANCE. 

No  governmental  institution  for  the  insurance  of  wage-workers 
acrainst  unemployment  exists  in  Italy,  although  the  problem  of  unem- 
ployment insurance  or  rather  unemjdoyment  relief  has  been  under 
serious  discussion  for  some  time.  So  far  the  practical  movements  of 
relief  have  been  limited  either  to  cooperative  or  to  humanitarian  relief. 
Only  within  the  last  year  or  two  has  the  subject  of  government  aid 
to  unemployment  insurance  been  seriously  discussed.  No  general 
discussion  of  the  complex  problems  of  unemployment-  is  here  intended, 
but  the  measures  applied  and  proposed  in  Italy  and  the  results  of 
their  appUcation  will  be  briefly  sketched. 

For  a  proper  appreciation  of  the  question  of  unemployment  insur- 
ance, the  few  available  statistical  data  concerning  unemployment  in 
Italy  will  be  quoted.  In  view  of  the  importance  of  trade  unions 
in  the  development  of  unemployment  insurance,  the  main  data  con- 
cerning trade  unions  in  Italy  will  be  brought  together,  and  the  most 
interesting  experiment  in  the  field  of  unemployment  insurance  will 
be  described. 

UNEMPLOYMENT    STATISTICS. 

Data  concerning  the  amount  of  unemployment  in  Italy  are  rather 
scant.  While  chambers  of  labor  since  1904  have  been  required  to 
furnish  the  Bureau  of  Labor  with  data  concerning  the  number  of 
organized  workers  and  also  the  number  of  unemployed,  the  data  thus 
furnished  are,  as  yet,  very  incomplete. 

Perhaps  the  best  statistical  study  of  the  unemployed  is  that  pub- 
Ushed  by  the  Humanitarian  Society  in  1905  and  referring  to  the 
status  in  Milan  on  July  1,  1903.  Of  an  entire  productive  population 
of  165,305,  only  27,306,  or  16.5  per  cent,  made  any  report  relative  to 
unemployment.  Of  these,  6,388,  or  23.4  per  cent,  of  the  number 
reporting  were  without  employment  on  July  1,  1903. 

In  the  following  table  the  number  and  per  cent  of  these  6,388  unem- 
ployed persons  are  given  by  age  and  sex. 


CHAPTER  VII.— WORKMEN 'S   INSURANCE   IN    ITALY. 


1905 


AGE  AND  SEX  OF  6,388  PERSONS  UNEMPLOYED  IN  MILAN  ON  JULY  1.  1903. 
ISource:  Contro  la  DisDccupazione.    Pubblicazioni  della  Society  Umanitaria.  April.  1905.] 


Age. 


Under  13  years. 
13  to  16 years... 
17  to  20  years... 
21  to 25  years... 
26  to  30  years... 
31  to  40  years... 
41  to  50  years... 
51  to  60  years... 
Over  CO  years.. 
Not  reported... 


Males. 


Nmnber.   Per  cent. 


Females. 


Total. 


Total. 


30 
402 
764 
C73 
430 
657 
603 
5»4 
364 
115 


0.6 

8.7 

16.5 

14.5 

9.3 

14.2 

13.0 

12.8 

7.9 

2.5 


Number,  i  Per  cent. 


Nun.ber.    Per  cent. 


4,632 


100.0 


19 
218 
313 
295 
161 
243 
204 
152 
99 
52 


1.1 

49 

12.4 

620 

i          17.8 

1,077 

16.8 

9tl8 

9.2 

591 

13.8 

900 

11.6 

807 

8.7 

746 

5.6 

463 

3.0 

167 

0.8 

9.7 

16.9 

15.2 

9.2 


14. 
12. 
U. 

7. 

2. 


1,758 


100.0 


6,3S8 


100.0 


The  length  of  the  state  of  unemployment,  as  indicated  in  the 
answers  of  the  unemployed  in  Milan,  is  shown  in  the  next  table 
Altogether  165,305  persons  were  asked  to  report  in  regard  to  unem- 
ployment. Of  this  number,  137,999  persons,  or  83.5  per  cent,  did  not 
respond  at  all;  18,720,  or  11.3  per  cent,  reported  days  of  unemploy- 
ment withm  the  preceding  year;  and  8,586,  or  5.2  per  cent,  siated 
that  they  had  never  been  unemployed .  Of  the  6,388  persons  reported 
unemployed  on  July  1,  1903,  878,  or  nearly  14  per  cent,  were  unem- 
ployed continuously  from  1  to  4  years  and  over. 


DURATION    OF 


UNEMPLOYMENT    OF  6,3SS    PERSONS 
JULY!,  1903,  BY  SEX. 


UNEMPLOYED   IX   MIL.\N   ON 


'^°""^-  *''""™  '»  Disoccupazione.    Pubblicaxioni  della  Socie.4  rmanilaria,  April.  1905.J 


Duration  of  uneinployinent. 


Males. 


Niuiiber. 


8  days 

15  days 

1  month 

2  months '. 

3  months '. 

4  to  5  months.. 
6  to  7  months. . 
8  to  9  months . . 
10  to  11  months. 
1  year 


2  years. 


3  to  4  years. . 
Over  4  years . 
Not  reported. 


Total. 


278 

384 

513 

473 

4(51 

429 

437 

180 

76 

380 

167 

66 

96 

C92 


Females. 


Total. 


Percent. 


6.0 

8.3 

11.1 

10.2 

10.0 

9.3 

9.4 

3.9 

1.6 

8.2 

3.6 

1.4 

2.1 

14.9 


Niuuber. 


107 

151 

253 

226 

198 

138 

119 

49 

27 

109 

35 

13 

12 

319 


Percent.   Number.    Percent 


6.1 

8.6 

14.4 

12.9 

11.3 

7.8 

6.8 

2.8 

1.5 

6.2 

2.0 

.7 

.7 

IS.  2 


385 
535 
766 
G99 
659 
567 
S51 
229 
103 
489 
202 
79 
108 
1.011 


4,632 


100.0 


1,750 


6.0 

8.4 

1-2.0 

lao 

10.3 

a? 

3.6 
1-6 
7.? 
3.2 
1.2 
1.7 
15-8 


100.0 


t).  JSi 


100.0 


The  above  data,  interesting  in  themselves,   because  tliev  throw 

mnl"  •  T        f.o'^POsition  of  the  unemployed  body,  do  not  give  very 

e  o  -t  "/T  ^   '°   ''•'  '"*"  °^  unemployment.     In  a    late^ 

shows  the  nt/T'  »^tf"t'««  7  interesting  table  is  given  which 

S  hint    °^  ""«'"P>°y'««'it  fo--  '"^embers  of  labor  organizations, 

conlrn        .u^^°  ''^  ^"''^'^^  ^^""'^  furnishing  regular  monthlv  report^ 
concermng  the  extent  of  unemployment.  " 


mmmmm 


SMi 


J 


1906 


REPORT   OF   THE   COMMISSIONER  OF    LABOR. 


PER  CENT  OF  MEMBERS   OF   MILAN  LABOR   ORGANIZATIONS  UNEMPLOYED    EACH 

YEAR,  1906  TO  1909. 

[Source:  Societa  Umanitaria,  Milano,  Disoocupazione  Colloeamenti  Sussidi  in  Mllano  nel  1909.] 


Year. 

Average   monthly 
number  of— 

Per  cent 
of  mem- 
bers un- 
em- 
ployed. 

Members 
of  unions. 

I'^nem- 

ployed 

members. 

1908.... 
1907.... 
1908.... 
1909.... 

5.392 
6,499 
7,459 
6.148 

152 
230 
257 
169 

2.82 
3.54 
3.45 
2.75 

TKADE-UNION  STATISTICS. 

Historically,  unemployment  insurance,  or,  to  use  a  broader  and 
more  exact  term,  unemployment  rt'lief,  has  grown  up  primarily  as 
a  function  of  the  labor  associations.  While  a  few  of  the  efforts 
toward  furnishing  unemployment  relief  have  been  made  independ- 
ently of  labor  organizations,  the  latest  and  most  successful  experi- 
ments, such  as  the  Ghent  system  in  Belgium  and  tlie  system  of 
the  Humanitarian  Society,  are  based  upon  the  recognition  of  this 
natural  correlation.  A  few  statistical  data  concerning  the  growth 
and  extent  of  labor  organizations  in  Italy  will  tiierefore  bo  useful 
in  indicating  the  available  organization  for  unemployment  relief. 

Most  of  the  Italian  labor  organizations  are  affiliated  with  the 
federations  of  trade  associations,  the  federations  of  farm  laborers, 
or  the  chambers  of  labor. 

The  chambers  of  labor  may  be  compared  to  our  American  central 
labor  unions,  though  in  Italy  they  have  a  semiofficial  standing. 
They  are  representative  organizations,  composed  of  delegates  from 
labor  organizations,  and  have  been  growing  in  strength  very  rapidly 
during  the  last  few  years.  At  the  beginning  of  1906  there  were 
82  chambers  of  labor  in  Italy,  composed  of  2,732  organizations, 
having  a  membership  of  298,446.  Two  years  later  the  number  of 
chambers  had  increased  to  92,  the  number  of  organizations  to  3,747, 
and  the  membership  to  546,574. 

The  total  income  of  these  chambers  in  1907  was  computed  at 
432,241  lire  ($83,422.51)  and  the  expenditures  at  402,266  lire 
($77,637.34). 

The  federations  of  trade  associations  are  not  as  strong  numeri- 
cally as  the  chambers  of  labor  and  do  not  seem  to  show  the  same 
tendency  to  growth.  In  the  beginning  of  1907  there  were  21  of 
these  federations,  composed  of  2,045  organizations,  with  a  member- 
ship of  204,271,  while  in  the  beginning  of  1908  there  were  22  fed- 
erations, with  2,550  organizations  and  191,599  members.  Within 
the  year  four  new  federations  were  organized  and  three  dissolved. 


CHAPTER  VII.— WOKKMEN  's   INSURANCE   IN   ITALY.  1907 

lTi%^Ji'^ri/.T^''T!u^^'''  ^'^"^  approximately  determined  at  583,642 
lire  ($112,643)  and  their  expenditures  at  480,526  lire  ($9'^  74'^) 

The  third  inaportant  group  of  labor  organizations  is  found'in  the 
field  of  agricultural  labor.     The  organizations  of  farm  laborers  in 

A.  .u  u^  ""  ^'"'''^^  ^^""^  ^^P^^^^  ^^^^^i^  ^he  la^t  few  years 
At  the  begmnmg  of  1906  there  were  982  of  these  oi^anizations' 
with  a  membership  of  221,913.  Two  years  later  the  number  of 
organizations  had  increased  to  1,809  and  the  membership  to  425  983 
At  the  begmning  of  1908  there  were  189,423  farm  laborers  having 
membership  m  chambers  of  labor  and  108,191  afhUated  with  the 
JN  ajiional  Federation  of  Agricultural  Laborers. 

With  546,574  members  in  the  chambers  of  labor,  191,599  in  the 
tederations  of  trade  associations,  and  425,983  in  federations  of  farm 
aborers,  there  would  seem  to  be  1,164,156  members  of  labor  unions 
m  Italy.  This  number,  however,  includes  a  great  many  dupUca- 
tions,  as  many  of  the  members  of  the  trade  associations  and  of 
the  farm  laborers'  unions  also  belong  to  the  chambers  of  labor 

Combmed  statistics  for  these  unions,  indicating  the  relation 
between  the  local,  central,  and  the  national  organizations  were 
pubhshed  m  January,  1908,  and  refer  to  the  beginning  of  1907 

They  are  reproduced  in  the  following  table  and  show  a  grand 'total 
of  about  684,000  members  of  labor  organizations  in  Italy 

NUMBER  OF  ORGANIZATIONS  AND  MEMBERS  OF  LABOR  UNIONS  AT  THF  BKnvXTV  ^ 

OF  1907.  BY  CLASS  OF  LABOR  AND  AFFILIATION  ' 
^[Sourw:  Bolletti;io  deU'  Ufficio  del  Lavoro,  January,  1908.] 


Class  of  labor  and  affiliation. 


Agricultural  labor: 

Affiliated  with  chambers  of  labor 
Independent .V' 


Number 

of 
orpani 


Number 
of 


nations,  i  members. 


Total. 


Industrial  labor: 

Affiliated  only  with  chambers  of  labor 
Affiliated  only  with  federations 
Affiliated  with  both  chambers 
Independent 


of  labor  and  federations . 


Total 

Railroad  employees. 
Grand  total... 


551 
752 


102, 973 
17(3,  S40 


1,303         279,513 


-^J?)!ated  only  with  chambers  of  labor 
Amiiated  only  with  federations. 


1,438 

mi 

569 
282 


144. 100 
52.960 

122, 164 
43,309 


2,950  I      362.533 


60 


42,000 


4,313  j      684,046 


I^ndependeni'?;  ^oth  chambers  oVlabor  and  federations  Z J ::::::::::;::;: 


Total  affiliated  with  chambers  of  labor 
A  otal  affiliated  with  federations 


1.989 

a  721 

569 

1.034 


2,  .558 
1,290 


247,073 

a  94,  m> 

122,  IM 

219,  S49 


369.237 
217,124 


a  Including  railroad  employees. 

tl JfT  *^-^*''  "f, ^'^''"  *"*  S'"*"''*'"  ^^""Sth  by  separate  industries  in 
wons  and  members  m  each  large  industrial  group,  but  also  their 


1908 


REPORT  OF  THE  COMMISSIONER  OF  LABOR. 


respective  affiliations  and  the  proportion  between  organized  labor 
and  the  total  number  employed  according  to  the  census  of  1901  for 
almost  all  groups.  The  per  cent  of  employed  persons  holding  mem- 
bership in  labor  unions  was  obtained  by  di\dding  the  number  of  mem- 
bers in  each  industry  at  the  beginning  of  1907  by  the  number  of 
persons  in  each  industry  according  to  the  census  of  1901.  No  later 
census  figures  were  available. 

NUMBER  OF  ORGANIZATIONS  AND  MEMBERS  OF  LABOR  UNIONS  AT  BEGINNING  OF 
1907,  BY  INDUSTRY  AND  AFFILIATION,  AND  PER  CENT  OF  EMPLOYEES  IN  LABOR 
UNIONS. 

[Source:  BoUettino  dell'  Ufflcio  del  Lavoro,  January,  1908.] 


Industry. 


Labor  organizations. 


Affiliated  with— 


Chambers  of 
labor  only. 


Num- 
ber 

of  or- 

gani- 
za- 

tions. 


Agriculture , 

Fishing 

Metal  raining 

Marble  and  stone 
quarrying  and 
Tv'orking 

Sulphur  mining  and 
extracting 

Metallurgy 

Precious  metals, 
working 

Pottery 

Bricks,  etc 

Glass 

Building  trades 

Chemical  industry. . 

Woodworking 

Basket  making 

Straw  goods 

Paper  making 

Printing 

Spinning,  weaving, 
and  dyeing 

Leather 

Clothing,  etc 

Hat  making 

Shoemaking 

Barbers 

Cereals  and  pastes. . . 

Bread  baking 

Sugar  making 

Other  food  products. 

Work  in  ports 

Navigation 

Govermnent  estab- 
lishments   

street  railroads 

Various  public  em- 
ployments   

Nurses,  etc 

Not  specified 


551 
1 
3 


G 
100 

11 
7 

45 

31j 
130 

IS 

91 
5 

16 
0 

34 

02 
21 
52 

5 
37 
22 
50 
29 

2 
52 
461 
13 


Num- 
ber of 
mem- 
bers. 


102,973 


60 
240 


Federations 
only. 


Num- 
ber 

of  or- 

gani- 
ea- 

ttons. 


24 


4,326 

1,845 
12,733 

891 

796 
5,663 
2,079 
13,428 
2,109 
8,001 

227 
1,221 

396 
2,383 

7,799 
2,033 
4,030 

352 
1,254 
1,663 
5,009 
2,438 

295. 
8,496 
9, 283  . 

918 


44 


82 


20 
31 

18 


Num- 
ber of 
mem- 
bers 


50 


2,700 


9,895 


1,091 
2,911 
1,141 
22415,655 
5i  2,007 
27       972 


2 
24 

24 

5 

4 

11 

58 

6 

30 


16 


4,016 


Total. 


99     8,518 

15         904, 

347   30,694 


13 
1 


282 
2,330 

1,612 
136 
269 
109 

3,842 
197 
255 

1,261 


Both  cham- 
bers of  labor 
and  federa- 
tiims. 


Num- 
ber 

of  or- 

gani- 
za- 

tions 


Num- 
ber of 
meia< 
bers. 


30 


591 


6 

18 

15 

145 

7 
33 

1 


60 


3 

34 

45 
8 
9 

18 

35 
5 
5 

38 
1 


3,140 
1,850 


1,160 
35 


8 
10 


35 
1 


2,987 


24,&19 


535 
4,255 
1,708 
26,&48 
1,629 
2,479 
20 


681 
8,366 

10,102 
1,454 

933 
4,851 
5,281 

890 

340 
4,178 

148 


Independ- 
ent. 


Nnm- 

Ijer 

of  nr- 

g&ni- 

za- 

tiODS. 


752 


Num- 
ber of 
mem- 
bers. 


Total. 


Num- 
ber 

of  or- 

gani- 
za- 

tions. 


1 
3 


15 


2 
2 
9 
2 

43 
3 

16 
2 

10 
2 
3 

18 
2 
4 


176,540 
85 
665 


12,698 
3,725 


3,171 
500 


26 
1 
7 

11 
2 
5 
2 
2 


77 


1,989  247,0731      66152,960       509122,164,  1,034 


834 

6,226 
194 

80 

95 

1,082 

18 

4,235 

170 

694 

352 

1,782 

475 

60 

3,946 

140 

94 


1,021 
82 

2,286 
399 
283 
951 

1,050 
610 

200 


Num- 
ber of 
mem- 
bers. 


Total 
number 

em- 
ployed, 
acwrd- 

ing  to 
census 
of  1901. 


1,303  279,513  5,693.080 


15, 200 


147 

14 
244 

13 
35 

103 
66 

542 
33 

167 

8 

26 

13 

95 

149 
36 
69 
34 

156 
34 
69 

108 

5 

58 

48 

30 

27 
24 

99 

63 

426 


145 

955 


10, 847 

8,071 
47,371 

971 
3,517 

13,911 
4.94<i 

60,002 
5,915 

12,146 

699 

3, 003 

l,H;i4 

13,139 

23,156 
3,763 
5,326 
5,312 

11, 398 
2,832 

7,sm 

8,27<J 

726 

9,607 

10,  .m 

17,.Wi«i 

5,  775 
4, 016 

8,518 

5,236 

46, 42« 


219,849   4,253  642,IM«} 


51.269 
21, 737 


64,306 

41.402 
211,123 

12,208 
8,182 

53,385 

12,044 
358,  M8 

33,583 
186, 181 

19^962 
100,0-22 

23, 270 

32,296 

503,013 
14,104 

324,116 
11,682 

183,  430 
29,142 
87,541 
45,050 
11,800 
44,063 
C) 
(6) 

14,208 

(«•) 
12,059 


Per 

cent 
of 
total 
em- 
ploy- 
ees 
In  la- 
bor 
un- 
ions. 
(«) 


4.9 
t 

4.4 


16.  g 

19.5 
22.4 

7.9 

30. « 

26.1 

41.0 

16.7 

17.0 

6.5 

3.0 

3.0 

7.9 

40.7 

4.7 

26.7 
1.6 

45.5 
6.2 
9.7 
9.0 

18.4 
6.1 

21.  tt 


40.0 


43.4 


(«•) 


«f°iS^o^  percentages  have  been  computed  from  the  number  of  members  of  labor  unions  at  the  be-'inniM 
0fm4  and  the  number  of  persons  employed  according  to  the  census  of  1901  oe^iaain^ 

6  Not  reported.  ***«*. 


1 


CHAPTER  VII.— WORKMEN 'S   INSURANCE   IN   ITALY.  1909 

The  functions  of  these  local  labor  organizations  and  theii-  federa- 
tions in  Italy  are  very  numerous  and  varied.  Perliaps  the  mi>st 
diversified  is  the  activity  of  the  chambers  of  labor,  while  the  federa- 
tions are  more  specialized  organizations  for  collective  bargainmg. 
The  chambers  of  labor  may,  and  do  to  some  extent,  undertake  any- 
thing that  may  further  the  interests  of  labor,  such  as  employment 
bureaus,  legislative  agitation,  educational  work,  publication  of  trade 
papers,  arbitration  courts  between  employers  and  employees,  etc. 
Thus,  m  1908,  39  chambers  had  employment  offices,  65  had  legal-aid 
bureaus,  30  employed  physicians,  19  had  schools,  and  44  had  libraries. 

UNEMPLOYMENT  BELIEF  BY  LABOB  UNIONS. 

In  a  report  concerning  unemployment  insurance  recently  presented 
to  the  Chamber  of  Deputies  the  estimate  is  made  that  out  of  half  a 
million  of  mdustrial  workmen  belongmg  to  organizations  onlv  about 
50,000  are  protected  by  unemployment  insurance.  («) 

It  is  explained  that  the  labor  organizations  m  Italy  mostly  follow 
the  policy  of  low  membership  dues,  and  are  therefore  often  unable  to 
undertake  any  form  of  insurance.  The  largest  national  labor  organi- 
zation to  carry  on  unemployment  insurance  is  the  Italian  federation 
of  hat  makers,  with  36  branches  and  5,896  members,  which  has  a 
federal  unemployment  and  traveling  fund.  Unemployment  benefits 
are  granted  under  the  following  conditions:  At  least  one  year  pre- 
vious membership;  conclusive  proof  of  the  involuntary  nature  of  the 
unemployment  and  absence  of  any  other  remunerative  work;  and 
duration  of  unemployment  for  at  least  one  week. 

The  benefit  is  given  for  not  over  12  weeks,  and  is  very  small 
amounting  to  only  2  lire  (38.6  cents)  per  week  during  the  first  three 
weeks,  3  lire  (57.9  cents)  per  week  during  the  followmg  three  weeks, 
4.50  lire  (86.9  cents)  for  the  next  four  weeks,  and  6  lire  ($1,158)  per 
week  for  the  last  two  weeks.  These  are  the  benefits  for  the  first 
(higher)  group  of  members;  for  the  second  (lower)  group  they  are 
only  1  lira  (19.3  cents),  1.5  Ih-e  (29  cents),  3  lire  (57.9  cents),  and  4.5 
lire  (86.9  cents)  per  week.  The  means  to  pay  these  benefits  are 
obtamed  by  contributions  of  members,  which  contributions  are  com- 
pulsory. The  membership  dues  are  10  centesimi  (1.93  cents)  and  5 
centesuni  (0.97  cents)  per  week  for  the  two  groups  of  members,  and 
out  of  these  dues  4  centesimi  (0.77  cents)  and  2  centesimi  (0.39  cents), 
respectively,  are  deducted  for  unemployment  msurance.  In  addi- 
tion to  these  unemployment  benefits  the  federation  pavs  travelincr 
expenses.  Durmg  the  year  1908  the  federation  distributed  2,980  lire 
($576.30)  for  unemployment  benefits  and  1,914  lu-e  ($369.40)  in 
traveling  expenses,  making  a  total  of  4,900  lu-e  ($945.70). 

«  BoUettino  dell'  Ufficio  del  Lavoro,  Vol.  XIII,  1910,  pp.  1313-1334. 


1910 


REPORT   OF   THE   COMMISSIONER  OF   LABOR. 


J 


The  Italian  glass  workers'  federation  also  grants  unemployment 
relief  in  the  following  three  cases:  At  the  close  of  the  season,  if  within 
two  months  work  is  not  resumed  in  the  same  establishment  or  in  the 
same  locality;  in  case  of  discharge  because  of  the  recognized  necessity 
to  reduce  the  number  of  persons  employed;  and,  finally,  when  the 
workman's  leaving  becomes  necessary  for  no  fault  of  his.  The  bene- 
fits are  paid  out  of  the  general  fund  of  the  association. 

In  the  lithographers'  federation  the  granting  of  unemployment 
benefits  is  made  compulsory  for  the  individual  sections,  under  the 
supervision  of  the  central  committee;  but  insurance  under  this  sys- 
tem is  optional  with  the  members.  A  member  so  insured  is  required 
to  pay  a  premium  of  10  centesimi  (2  cents)  per  week  and  is  entitled 
to  relief  in  case  of  unemployment  for  lac^k  of  labor  or  any  other  cause 
for  which  he  is  not  responsible,  except  sickness.  The  unemj)loym(^nt 
benefit  is  from  1  to  2  lire  (19.3  cents  to  38.6  cents)  per  day.  l^he 
rules  of  this  form  of  relief  are  very  strict,  requiring  appearance  at  the 
headquarters  of  the  section  at  least  three  times  a  week,  and  willing- 
ness to  accept  any  employment  the  local  section  committee  might 
offer  him. 

The  federation  of  printers  leaves  the  organization  of  the  unemploy- 
ment relief  to  its  individual  sections,  which  number  125.  In  1008 
62,339.45  lire  ($12,031.51)  were  granted  for  40,153  days  of  unem- 
ployment in  addition  to  9,709.80  lire  ($1,873.99)  for  traveling  expen- 
ses, making  a  total  of  72,049.25  lire  ($13,905.50). 

The  study  of  unemployment  relief,  published  by  the  labor  bureau 
of  the  Milan  Humanitarian  Society  in  1905,  con  tarns  an  analysis  of 
the  various  forms  of  unemployment  relief  given  by  the  Milan  labor 
organizations  at  that  time,  i.  e.,  before  the  organization  of  (he 
unemployment  fund  by  that  society.  Of  the  115  organizations 
inscribed  in  1903  in  the  Milan  chambers  of  labor,  41  had  some  provi- 
sion concerning  unemployment  benefits,  and  32  were  actually  fur- 
nishing such.  Unemj)loyment  benefits  were  most  frequent  among 
the  employees  of  metallurgical  and  mechanical  establishments.  Out 
of  17  organizations  of  such  employees,  only  2  did  not  furnish  some 
relief.  Of  14  printing  trades  organizations,  8  furnished  unemploy- 
ment relief. 

The  methods  and  the  conditions  of  payment  of  such  relief  are 
naturally  subject  to  the  widest  variations,  these  organizations  being 
entirely  voluntary.  The  contributions  may  be  uniform  for  all  mem- 
bers or  proportionate  to  the  age  groups,  a  smaller  contribution  being 
exacted  from  the  employees  under  18  years  of  age,  or  different  for 
master  mechanics  and  apprentices,  or  the  contributions  may  be  pro- 
portionate to  the  salary.  The  usual  amount  of  contribution  is  about 
10  to  15  centesimi  (1.9  cents  to  2.9  cents)  per  week,  and  the  usual 
amour t  of  unemployment  benefit  about  1  lira  (19  C(;nts)  per  day. 


CHAPTER  VII. workmen's  INSURANCE   IN   ITALY.  1911 

« 

The  amounts  of  benefits  vary  considerably  and  may  depend  upon 
the  length  of  membership,  and  various  regulations  exist  for  limiting 
the  length  of  time  during  which  unemployment  benefits  may  be  paid. 
This  period  is  usually  limited  to  about  six  or  eight  weeks,  aft^r  whicli 
some  organizations  grant  half  the  benefits  for  another  period  of  the 
same  length.  In  the  followmg  table  are  shown  the  principal  statis- 
tics of  contributions  and  benefits  of  the  unemployment  insurance 
organizations  in  Milan : 

67725°— VOL  2—11 ^27 


1912 


REPORT   OF   THE  COMMISSIONER  OF  LABOR. 

CONTRIBUTIONS  AND  BENEFITS  IN  UNEMPLOYMENT 

[Source:  Contro  la  Dlsoccupazione. 


Occupation. 

Members'  contributions  per 
week  (cents). 

Amount  of  unemployment 
benefits  i^er  day  (cents).  , 

< 

Setters-up 

1.9.  3.9.  and  5  8  (a) 

9.7, 14.S,  and  19.3 

14  5  19  3  and  29  0 

Armature  winders,  etc 

2.9,4.8,  andC.8(o) 

Bronze  workers 

Braziers 

1.0, 1.9,  and  2.9 

9.7,  20.  J.  and  39.0 

Chiseiers 

2.9 and  3.9  (a) 

19.3  and  29.0 

29  0  3H  6  and  60  2 

Compositors 

4.8 

Blacksmiths 

1.0  and  1.9 

9  7  and  19  3 

Working  women  in  printing 

2.9 

15.4. 

30  9 

Ty|)e  founders 

2.9 

Metal  founders 

1.0, 1.9,  and  2.9 

9  7   19  3  and  'M  0 

Iron  works 

1.0, 1.9.  and  2.9 

9  7   20  ,1   and  24  0 

Printers 

4.8 

ll.G,  17.4,  and  23.2(e) 

1.9, 3.9,  and  5.8  (a) 

29.0,  38  6,  and  50.2  (d) 

19.3.  24  Land  29.0 

Carvers 

Instrument  makers 

9.7,  li  5.  and  19  3 

Tinsmiths,  etc 

2.9  and  3.9 

19.3  ami  29  0 

Photographers'  helpers 

2.9  and  4.8 

14.5  and  19.3 

Metal  cornice  workers 

Mechanicians 

Fine  mechanical  workers 

1.9,  2.9,  and  3.9  (a) 

1.9  and  4.8(1). 

2.9  and  4.8  (a) . 

9.7, 19.3,  and  29.0 

9.7a)ul  19.3 

11.6  and  19.3 

19  3 

Lithographers 

3.9,  7.7,  anc  9.7  (») 

B  utchers 

21.2  (e) 

9.7 

Modelers 

1.9,  2.9,  and  3.9.... 

19  3    20  0   and  38  fi 

Goldsmiths,  etc 

7.7andll.6(/) 

14.5  and  24.1 

Workers  in  skin  and  leather 

5.8  and  11.6  (<) 

19  3   24  1  and  29  0 

Polishers 

1.9 

19  3 

Plimibers,  etc 

1.9  and  2.9 

9.7  and  19.3 

19.3  and  29.0 

29.0.    . 

Saddlers  and  trunk  makers 

Stereotypers  and  gal vanizers 

9.7 

Dyers,  stamners,  etc 

2.9  and  3.9.     . 

96.5  and  135.1  (ft) 

9.7, 19.3,  and  29.0 

4.8,9.7, 14.5,  and  19.3..   

19.3,  27.0,  and  33.8 

Metal  turners 

1.9,  2.9,  4.8,  andC  8 

Metal  chiseiers,  etc 

1.9,  2.9,  3.9,  and  5  8 

Zinc  etchers 

1.6, 1.9,  and  2.9 

Total 

o  These  amounts  include  dues  for  strike  benefits. 

b  Not  reported. 

«  During  enture  period  of  unemployment. 

d  According  to  length  of  meml)ership. 

« I'er  month. 


CHAPTER  Vn. workmen's   INSURANCE   IN    ITALY.  1913 


INSURANCE  ORGANIZATIONS  IN  MILAN,  BY  OCCUPATIONS.  1902. 
Pubblicazloni  della  Societa  Umanitaria.] 


Duration  of  payment  of  un- 
employment benefits. 


Full  benefits. 


8  weeks 

8  weeks 

6  weelts 

60  days 

8  weeks 

6  weeks 

6  to  12  weeks  (d)  .' 
8  weeks 

(«») 
60  days 

8  weeks 

10  weeks 

8  weeks 

(^) 

13  weeks 

Sweeks 

8  weeks 

60  days 

6  weeks 

6  weeks 

24,30,and42days 

Sweeks 

6  weeks 

2  months 

6weelcs 

3  months 

8  weelffi 

8  weeks 

6  weeks 


Half 
benefits. 


Number 

of 
members. 


8  weeks . 

(6) 
Sweeks 


Sweeks 


4  weeks . 


Sweeks. 


8  weeks. 


(«-) 
6  weeks. 


8  weeks . 


Sweeks . 
8  weeks . 
6  weeks. 


950 
109 
300 
233 
101 
898 
825 
297 
119 
1,200 
190 
750 
138 

75 
210 

41 

95 
117 
230 
527 
230 

75 
360 
987 
240 
108 
170 

60 

666 

1,400 

138 

144 


Number 
unem- 
ployed 
during 
year. 


Days  for  which  benefits  were 
paid  during  year. 


Numbw. 


84 
25 

1 
24 

6 
145 

5 
18 

5 

25 

38 

103 

47 


Average 

per 
member. 


2,532 
329 

96 

349 

230 

6,959 

246 

221 

66 

697 

1,525 

3,229 

264 


2.7 

3.0 

3 

15 

2.3 

7.7 

.3 

.7 

.6 

.6 

8.0 

4.3 

L9 


Average 

per 
member 
receiving 
benefits. 


Amount  of  benefits 
paid  during  year. 


11,983 


13 
10 
48 
10 
14 
10 
48 
15 


3 

14 

135 


42 


20 


867 


351 
392 
1,716 
295 
229 
256 
506 
175 


60 
385 

4,847 


1.0 


30.1 
13.2 
96.0 
14.5 
38.3 
48.0 
49.2 
12.2 
13.2 
27.9 
40.1 
31.3 
5.6 


Total. 


Average 
per  bene- 
ficiary. 


333 


«■  25,629 


3.0 

L7 

3.3 

1.3 

3.1 

.7 

.5 

.7 


LO 

.6 

3.5 


42.0 


27.0 
39.2 
35.8 
29.5 
16.4 
25.6 
10.5 
11.7 


20.0 
27.5 
35.9 


S390.33 

58.86 

13.90 

83.83 

66.58 

1,993.16 

38.21 

36.17 

23.62 

134.  52 

373.90 

895.33 

67. 79 


$4.65 
2.35 

13.90 
3.49 

11.10 

13.75 
7.64 
2.01 
4.72 
5.38 
9  84 
8.69 
L44 


&11 


2.3 


2.1 


16.7 


29.6 


64.85 
64.15 

331.19 
28.47 
67.55 
6L76 

115.37 
32.62 


19.11 

59.44 

957.33 


8a96 


8.11 


4.99 
6.42 
6.90 
2.85 
4.83 
6.18 
2  40 
2.17 


a  37 
4.25 
7.09 


4.05 


6,067.13 


7.00 


*  Per  week. 

i  This  total  is  not  the  correct  sum  of  the  items;  the  figures  are  given  as  shown  in  the  original  leporL 


1914 


EEPOET  OF   THE  COMMISSIONER  OF   LABOR. 


I 


The  two  labor  organizations  which  have  granted  unemployment 
insurance  for  the  longest  time  are  the  unions  of  compositors  and  print- 
ers. In  the  following  table  are  given  the  main  results  of  their  oper- 
ations; for  the  compositors,  for  the  period  1877  to  1901,  and  for  the 
l)rinters,  for  1880  to  1902: 

RESULTS  OF  UNEMPLOYMENT  INSURANCE   IN   UNIONS  OF  COMPOSITORS  AND  OF 

PRINTERS  IN  MILAN  FOR  A  SERIES  OF  YEARS. 

[Source:  Contro  la  Disoccupazione.    Pubblicazioni  della  Societk  rinanitaria.] 


Item. 


Contributions: 

Ordinary 

Extraordinary 

Total 

Average  per  member  per  year 

Benefits  paid: 

Ordinary 

Extraordinary 

Total 

A  vers^e  per  member  per  year 

Average  per  year 

""ays  of  unemployment: 

Number  for  which  benefits  were  paid 

Average  per  year 

A  verage  per  member  per  year 

Members: 

Total  number  for  all  years 

Number  receiving  benefits 

Per  cent  receivinc:  benefits 


Compositors: 
1X77  to  1901. 

Printers: 
18H0  to  1902. 

$23,169.81 
$1,599.55 

$9,344.12 
$1,002.32 

$24,769.36 
$1.31 

$10,346.44 
$1.26 

$23,61«.88 
$1,028.61 

$6,672.09 
$73.  48 

$24,645.49 

$1.30 

$985.  82 

$0,745.57 

$0.82 

$293.29 

71.799 

2,872 
3.8 

18,929 

1.182 

().24 

24,573 

1,0<)8 

3.0 

8,208 

921 

11.26 

PEIVATE  AND  VOLUNTABY  UNEMPLOYMENT  INSTIBANCE. 
MUTUAL   BENEFIT    SOCIETIES. 

In  a  small  way  the  mutual  benefit  societies  (desciibed  in  the  chap- 
ter on  sickness  insurance)  have  made  some  effort  to  meet  the  prob- 
lem of  unemployment  relief  for  over  25  years.  According  to  the 
statistical  reports  of  these  mutual  benefit  societies,  in  1885  there 
were  184  societies  which  included  unemployment  relief  among  their 
various  activities,  in  1895  there  were  234,  and  in  1904,  417,  or  6.2 
per  cent  of  all.  No  data  exist  as  to  the  amount  of  unemployment 
relief  thus  granted,  except  for  1885,  when  it  amounted  to  32,787  lire 
($6,328). 

The  peculiar  conditions  of  the  unemployment  insurance  problem 
require  special  organizations  for  dealing  with  them,  and  witldn  the 
last  decade  various  special  unemployment  insurance  societies  have 
been  founded  in  Italy  in  an  experimental  way.  Though  the  extent 
of  the  activity  of  these  societies  is  small,  they  are  nevertheless  of 
importance  because  the  entire  subject  of  unemployment  insurance  is 
as  yet  in  an  experimental  stage,  and  the  best  method  of  treating  this 
condition  still  remains  to  be  determined.  A  brief  account  of  them 
follows. 


CHAPTER  VII. workmen's   INSURANCE   IN   ITALY.         1915 

SPECIAL   UNEMPLOYMENT   INSURANCE    SOCIETIES. 

Bologna.— As  early  as  1896  the  director  of  the  Bologna  Savings 
Bank  proposed  a  new  type  of  personal  accounts  for  the  specific  pur- 
pose of  providing  for  involuntary  unemployment,  and  for  the  benefit 
of  these  accounts  the  interest  from  a  special  fund  of  200,000  Hre 
($38,600)  was  to  be  assigned. 

Personal  account  books  could  be  taken  out  by  wage-earners  over 
14  years  of  age,  born  and  Hving  in  Bologna,  in  the  trades  of  mason, 
carpenter,  blacksmith,  roofer,  white  washer,  marble  worker,  tinsmith] 
glass  worker,  and  plasterer. 

Each  depositor  was  required  to  deposit  within  a  certain  time  5 
Hre  or  3  lire  (97  cents  or  58  cents),  according  to  whether  he  was  of 
age  or  not. 

After  the  time  for  making  the  deposits  had  elapsed,  the  depositors, 
if  deprived  of  employment  without  any  fault  of  theirs,  were  entitled 
to  receive  a  daily  benefit  of  60  centesimi  (12  cents)  for  minors  and  1 
lira  (19  cents)  for  persons  of  age.  This  benefit  was  continued  for 
not  over  40  days,  beginning  with  the  sixth  day  of  unemployment, 
and  was  payable  every  3  days. 

If  the  interest  on  the  special  fund  should  become  exhausted  the 
depositors  were  to  be  entitled  to  receive  the  amounts  of  their  deposits 
and  interest,  the  total  grant  not  to  exceed  40  hre  ($7.72).  Unem- 
ployment due  to  sickness  or  accidents  was  excluded,  other  agencies 
existing  for  these  forms  of  rehef. 

The  depositor  was  required  to  furnish  a  certificate  from  his  em- 
ployer and  from  4  wage-earners  not  unemployed,  in  the  same  or 
similar  branches  of  industry. 

The  heirs  of  an  insured  person  who  died  during  the  insurance  period 
without  having  received  any  benefits  received  the  deposits  and  inter- 
est. The  same  rule  was  to  apply  if  the  bank  decided  to  discontinue 
the  experiment. 

This  plan  enabled  the  insured  to  purchase  for  3  or  5  lire  (58  cents 
or  97  cents)  an  insurance  of  40  days  benefits,  or  a  total  of  24  or  40  hre 
($4.63  or  $7.72),  but,  on  the  other  hand,  there  was  the  possibihty  of 
losing  the  deposited  amount  if  the  person  insured  did  not  suffer  from 
unemployment  within  the  period.  This  was  the  result  of  the  appU- 
cation  of  the  ordinary  principle  of  mutual  insurance.  But  this  prm- 
ciple  of  mutuahty  was  not  suflaciently  developed  to  overcome  the 
fear  of  losing  the  deposit,  and  the  plan  never  achieved  any  great 
popularity.  '  ^ 

Buring  the  first  year  of  the  operation  of  this  plan  only  27  workere 
availed  themselves  of  this  opportunity,  their  deposits  together  with 
interest  accrued  amounting  to  117.59  lire  ($22.69),  while  the  amount 
or  benefits  granted  reached  660.40  hre  ($127.46). 


1916 


REPORT  OF   THE  COMMISSIONER  OF   LABOR. 


In  the  second  year  of  the  experiment,  the  masons,  roofers,  white 
washers,  and  plasterers  were  excluded  because  for  them  the  certainty 
of  unemployment  existed.  It  was  argued  that  the  theory  of  insur- 
ance presupposed  protection  only  against  an  unexpected  or  uncer- 
tain emergency;  then  the  insurance  premium  corresponds  to  the 
degree  of  probability  of  the  emergency  arising;  but  if  the  emergency 
is  sure  to  arise,  insurance  appears  to  be  unnecessary.  Other  trades 
were  added  in  the  place  of  those  excluded,  namely,  workers  in  am- 
munition factories,  shoemakers,  hat  makers,  tanners,  carriage  makers, 
leather  workers,  bakers,  pewterere,  horseshoers,  brass  workers,  bridge 
workers,  saddlers,  stonecutters,  chisclers,  dyers,  turners,  and  glaziers. 
Other  changes  also  were  introduced.  It  was  thought  desirable  to  pre- 
fer for  insurance  such  persons  as  have  shown  a  tendency  to  some 
providence,  and  therefore  the  right  to  receive  benefits  was  limited  to 
persons  having  a  savings-deposit  book  for  at  least  one  year.  Persons 
keeping  steady  employment  with  the  same  employer  were  thought 
worthy  of  encouragement,  as  against  workmen  constantly  changing 
one  employer  for  another,  and  therefore  the  right  to  receive  benefits 
was  limited  to  persons  who  had  worked  for  at  least  one  year  for  the 
same  employer.  The  same  limits  of  the  benefits  remained,  i.  e.,  40 
days  and  a  total  of  either  24  or  40  lire  ($4.63  oi-  $7.72).  The  re- 
quired evidence  of  unemployment  was  simplified. 

In  the  year  1898-99  further  modifications  were  introduced. 
The  required  period  of  ownership  of  a  savings  account  was  reduced 
from  1  year  to  3  months  and  subsequently  to  one  month.  The 
required  period  of  continuous  employment  was  also  reduced  from  1 
year  to  6  months.  Women  working  in  the  specified  industries  were 
also  admitted  to  this  form  of  insurance,  and  the  list  of  industries 
was  extended  to  include  the  employees  of  military  arsenals,  tobacco 
manufacturing,  and  the  manufactures  of  mineral  and  sparkling 
waters.  Private  employees  and  the  management  of  government 
estabhshments  endeavored  to  stimulate  this  form  of  insurance  by 
special  prizes  and  privileges.  But  all  these  modifications  and  changes 
in  regulations  failed  to  arouse  the  interest  of  workmen  in  this  insti- 
tution, and  the  possibility  of  losing  the  5  hre  (97  cents)  of  premium 
proved  an  effective  barrier  against  any  considerable-  extension  of  the 
system.  According  to  the  report  of  the  directors,  the  main  cause  of 
failure  was  the  insurance  principle  itself,  as  the  danger  of  protracted 
unemployment  was  not  great  in  Bologna,  exce))t  in  the  building 
trades,  to  which  the  insurance  principle  was  claimed  to  be  inappli- 
cable. As  a  result  the  insurance  i)rinciple  was  entirely  abandoned 
and  in  its  place  was  substituted  a  system  of  indiyidual  savings  for  a 
definite  purpose,  with  a  subsidy  to  such  savings  added  mainly  to 
promote  the  habit  of  saving.  New  regulations  were  tlicrefore  pre- 
pared in  1901.     The  exclusion  of  the  building  trades  was  discon- 


CHAPTER  VII. WORKMEN  ^S   INSURANCE   IN    ITALY.  1917 

tinned,  since  only  by  the  difficulties  of  apphcation  of  the  insurance 
principle  was  this  exclusion  justified. 

The  basis  of  the  new  regulations  was  individual  accumulations  by 
means  of  deposits  in  the  savings  bank,  upon  which  the  bank  was  to 
pay  interest.     The  interest  upon  the  fund  of  200,000  lire  (S38,G00) 
was  to  be  distributed  among  this  group  of  depositor  proportionately 
to  their  deposits  during  the  current  year,  but  not  to  exceed  the  actual 
amount  of  deposits,  or  40  lire  ($7.72),  to  one  person  within  any  one 
year.     These  additional  credits  were  to  be  interest  bearing  like  the 
original    deposits.     The    essential    features    making    these    saving 
deposits   a  form  of  unemployment  rehef  are   the  rules  that  with- 
drawals  from  the  account  may  be  made  only  if  proof  is  furnished 
that  the  depositor  is  at  the  time  unemployed  without  any  fault  of 
his  and  that  the  withdrawals  must  not  exceed  1.50  hre  (29  cents) 
per  day.     These  withdrawals   must   be  made   by  the  depositor  in 
person,  and  if  he,  while  out  of  work,  endeavors  to  make  withdrawals 
through  another  person  without  giving  a  satisfactory  reason  for  such 
action  he  loses   the   credits   already  given  him,  mth  the  interest 
accrued,  and    the    additional    credits    due   during    the    year.     The 
additional  credits  and   the  interest  accrued  on  these  remain  on  the 
account  of  the  depositor  for  the  following  year  if  not  used  during 
the  current  year.     In  case  of  death   of  the  insured  these  credits 
and  the  interest  accrued,  if  not  used  by  the  depositor,  revert  to  the 
fund,  while  the  contributions  made  by  the  insured  and  interest  on 
these  contributions  revert  to  the  heirs.     Thus,  a  workman  partici- 
pating in  tliis  plan  of  unemployment  relief  does  not  run  any  risk 
of  losing  the  savings  made.     The  new  plan  of  1901  reduced  itself  to 
gratuitous  contributions  by  the  bank,  without  any  risk  on  the  part  of 
the  depositor.     This  proved  more  popular,  and  the  number  of  depos- 
itors grew  so  large  that  it  soon  became  doubtful  whether  it  would  be 
possible  to  pay  the  maximum  bonus  of  40  lire  ($7.72)  allowed  by  the 
regulation.     As  this  maximum  Hmit  was  likely  to  give  rise  to   an 
impression  that  such  bonuses  would  actually  be  paid,  it  was  ehmi- 
nated  from  the  regulation,  and  the  determination  of  the  limit  was  left 
entirely  to  an  administrative  council. 

In  the  same  year  persons  under  18  years  of  age  were  excluded,  and 
to  persons  from  18  to  21  years  the  daily  compensation  was  limited 
to  1  lira  (19  cents),  because  it  was  feared  that  in  case  the  daily 
benefit  was  higher  than  the  earnings  of  the  young  pei-sons  the  system 
of  unemployment  relief  might  prove  a  factor  for  the  encouragement 
of  lazmess  and  unemployment.  Later  it  was  also  decided  to  exclude 
lemale  wage-earners  because  of  the  difficulty  experienced  in  estab- 
lishmg  the  lack  of  employment  in  lines  of  female  work.  Toward  the 
end  of  1901  the  influx  of  depositors  was  so  great  that  it  was  found 
necessary  to  increase  the  fund  by  another  100,000  hre  ($19,300)  and 


1918 


BEPORT   OF   THE  COMMISSIONER  OF   1.AB0R. 


I 
I 


to  limit  the  members  to  residents  not  of  the  province,  but  of  the  city 
of  Bologna.     The  increase  of  depositors  under  this  form  continued, 
however,  and  by  1903  it  became  evident  that  a  further  reduction  of 
the  bonuses  below  an  amount  which  would  be  at  all  adequate  was 
necessary  unless  further  restrictions  were  placed  in  the  classes    of 
persons     admitted.      All    wage-workers    under  age  were    therefore 
excluded  under  the  assumption  that  they  had  lighter  obligations  and 
often  had  the  chance  of  obtaining  reUef  from  their  homes.     Persons 
over  65  years  of  age  were  also  excluded  because  at  that  age  unem- 
ployment assumes  the  nature  of  invaUdity  and  must  be  handled  as 
such.     Notwithstanding  these  limits  the  cost  of  this  system  grew 
very  rapidly,  and  soon  various  abuses  asserted  themselves,  such  as 
deception  concerning  conditions  of  unemployment,  voluntary  unem- 
ployment, fraudulent  deposits  through  loans  so  as  to  increase  the 
available  sum  of  benefits.     The  detection  of  these  fraudulent  prac- 
tices became  a  very  difficult  matter.     Against  the  commonest  form 
of  fraud,  that  of  an  employed  wage-worker  receiving  unemployment 
benefits,  the  remedy  was  proposed  of  demanding  ihe  daily  apj)earance 
of  those  claiming  benefits  so  as  to  establish  the  fact  of  unemployment. 
It  was  even  suggested  that  the  unemployed  appear  twice  a  day,  since 
it  was  quite  apparent  that  no  employed  worker  could  absent  himself 
twice  a  day  from  his  shop  and  keep  his  employment.     But  the  con- 
sideration of  the  discomfort  to  the  unemployed  by  doubUng  trips  in 
all  kinds  of  weather,  sometimes  over  great  distances,  with  the  temp- 
tation to  spend,  prevailed  against  this  plan. 

The  measures  taken  for  prevention  of  fraud  were  not  altogether 
satisfactory,  and  in  1903  the  director  was  forced  to  announce  at  a 
meeting  of  the  unemployed  that  unless  some  method  was  devised  to 
prevent  fraud  this  activity  of  the  bank  would  have  to  be  discontinued. 
As  a  result  a  commission  of  labor  delegates  was  elected,  consisting  of 
five  members.  The  commission  brought  in  the  following  suggestions : 
That  the  subsidized  unemployed  be  required  to  assemble  daily,  that 
they  remain  there  for  2  hours  (1  to  3  p.  m.),  the  doors  being  closed 
after  the  appointed  hour. 

This  plan  was  not  adopted  because  it  was  feared  that  it  would 
cause  too  much  complaint  and  irritation.  The  estabUshment  of  a 
vigilance  committee  was  also  suggested,  but  objection  was  found  to  it 
on  account  of  the  hostility  to  which  the  members  of  such  committee 

would  be  exposed. 

It  proved  difficult  to  suggest  a  way  to  counteract  the  other  frauds 

mentioned. 

Altogether  there  were  691  persons  registered  under  this  form  of 
insurance  or  rehef  in  1903.  Their  deposits  and  other  credits  amounted 
on  December  31,  1903,  to  31,570.87  lire  ($6,093.18).  After  the  win- 
ter unemployment,  i.  e.,  on  March  31,  they  equaled  20,252.64  fire 


CHAPTER  Vn. workmen's   INSURANCE   IN   ITALY.  1919 

($3,908.76)  and  on  May  31,  20,665.86  lire  ($3,988.51).  The  fund  from 
which  interest  is  used  to  pay  the  bonuses  to  the  persons  insured 
equaled  356,300  lire  ($68,765.90). 

There  evidently  were  two  well-defined  periods  in  the  history  of 
this  experiment.  As  an  insurance  scheme  it  was  a  complete  failure 
because  the  classes  concerned  refused  to  take  any  interest  in  the 
matter.  In  the  latter  stage  it  became  a  system  of  subsidizing 
individual  savings  and  rapidly  became  popular,  but  led  to  various 
forms  of  mahngery  and  fraud.  It  has  also  been  pointed  out  that 
because  of  the  total  absence  of  any  connection  between  this  sys- 
tem of  rehef  and  the  institutions  for  finding  employment  it  had  no 
influence  on  the  reduction  of  the  unemployment  period. 

The  total  number  of  savings  books  issued  by  the  Bologna  Savings 
Bank  under  the  form  of  unemployment  insurance  up  to  October  3^, 
1904,  was  865,  of  which  173  became  extinct,  leaving  active  accounts 
on  that  date  of  692.  By  occupation,  these  owners  of  books  were 
distributed  as  follows: 

NUMBER  OF'  SAVINGS  BOOKS  ISSUED  FOR  UNEMPLOYMENT  INSURANCE  BY  THE 

BOLOGNA  SAVINGS  BANK  UP  TO  OCTOBER  31, 1904,  BY  OCCUPATIONS. 

[Source:  BoUettino  dell'  Ufficio  del  Lavoro,  Vol.  IV,  1905.J 


Occupation. 

Number  of  savings  books — 

Occupation. 

Number  of  savings  books 

Issued. 

Extinct. 

Current. 

1 

Issued.     Extinct. 

1 

Current. 

Masons 

690 
61 
22 
17 
14 

129 

21 

6 

1 

4 

561 
40 
16  1 
16 
10 

Clampnt^rc 

13 
48 

4 

8 

White  washers 

Mechanics 

Another 

9 

m 

Laborers 

Varnishers 

Total 

865 

173 

692 

This  form  of  insurance  was  evidently  used  almost  exclusively  by  the 
building  trades,  for  whom  some  period  of  unemployment  is  certain. 
According  to  the  regulations,  the  distribution  of  the  bonuses  to  the 
accounts  was  made  on  December  31,  and  on  the  basis  of  the  deposits 
made  during  the  twelve  months  ending  on  October  31  preceding. 
In  the  following  table  is  shown  the  amount  of  deposits  for  the  year 
November,  1903,  to  October,  1904,  by  months,  and  it  appears  quite 
evident  that  the  deposits  did  not  rise  to  any  considerable  amount 
until  toward  the  end  of  the  year. 


1920 


EEPORT   OF   THE   COMMISSTOIN^ER  OF  LABOR. 


NUMBER  AND  AMOUNT  OF  DEPOSITS  FOR  UNEMPLOYMENT  INSURANCE  IN  THE 
BOLOGNA  SAVINGS  BANK  FOR  THE  FISCAL  YEAR  ENDING  OCTOBER  31,  1904. 

•  [Source:  Bollettino  dell'  Ufficio  del  Lavoro,  Vol.  IV,  1905.) 


Year  and  month. 


1903. 

November 

December 

1904. 

January 

February 

March 

April 


Deposits. 


Number. 


14 
3 


1 
1 

17 
85 


Amount. 


$12. 35 
4.25 


1.93 

.29 

5.60 

62.78 


Year  and  mouth. 


i  904— Concluded . 

May 

June 

July 

August 

September 

October 

Total 


Deposits. 


Number. 


223 
335 

454 
415 
397 

417 


2,362 


Amount. 


1108. 30 
261.71 
372. 70 
350.68 
343. 27 
358. 46 


1,932.32 


The  total  amount  credited  to  these  692  accounts  hi  October,  1903, 
was  18,931.02  Hre  ($3,653.69),  so  that  the  total  amount  deposited 
on  October  31,  1904,  reached  the  sum  of  28,943.22  Ure  ($5,586.03). 
The  amount  of  bonuses  distributed  was  7,440  lire  ($1,435.92),  only 
328  persons  quahfying  for  such  bonuses.  The  total  amount  with- 
drawn for  unemployment  reHef  during  the  following  eight  months, 
November,  1904,  to  June,  1905,  was  16,290  Hre  ($3,143.97),  distrib- 
uted, by  months,  as  follows: 

NUMBER  OF  DAYS  OF  UNEMPLOYMENT  AND  AMOUNT  V/lTHDRAWN  FROM  THE 
BOLOGNA  SAVINGS  BANK  FOR  UNEMPLOYMENT  RELIEF  FOR  THE  EIGHT  MONTHS 
ENDING  JUNE  30, 1905. 

[Source:  Bollettino  dell'  Ufficio  del  Lavoro,  Vol.  IV,  1905.) 


Year  and  month. 


1904. 

November 

December 

1905. 

January 

February 


Number 
of  days 
of  unem- 
ployment. 


74 
545 


3,956 
4,192 


Amount 
with- 
drawn. 


$2L42 
157. 78 


1,145.26 
1,213.66 


Year  and  month. 


1905— Concluded 

Manh 

April 

Mas 

Jim 

Total 


Number 
of  days 
of  unem- 
ployment. 


1,732 
187 
146 

28 


10,800 


Amount 

v/ilh- 

drawn. 


1.501.41 

54.14 

42.27 

8.11 


3, 143. 97 


The  entire  activity  of  this  form  of  insurance  might  be  designated 
as  an  effort  to  encourage  the  saving  of  summer  earnings  for  use  dur- 
ing the  winter  unemployment.  Some  such  process  is  inevitable  in 
seasonable  trades,  like  the  building  trades,  to  which  almost  all  the 
beneficiaries  of  this  plan  belong.  In  the  case  of  the  liologna  Savings 
Bank  a  very  high  bonus  of  over  50  per  cent  is  given  to  the  persons 
practicing  this  form  of  saving. 

Notwitlistanding  the  modest  limits  of  this  activity,  it  was  again  felt 
necessary,  in  1905,  to  ''proceed  cautiously,"  as  the  director  of  the 
bank  states  in  his  last  report,  («)  so  as  to  prevent  an  undue  pressure 

o Bollettino  dell  'Ufficio  del  Lavoro,  Vol.  'XIV,  Oct.,  1910,  pp.  697-702. 


-     1 


CHAPTER  VII. workmen's   INSURANCE   IN   ITALY.  1921 

upon  the  resources  of  the  bank.  An  entirely  new  set  of  regulations  for 
this  part  of  the  activity  of  the  savings  bank  was  therefore  prepared  in 
1905  and  went  into  effect  in  the  beginning  of  1906.  It  embodied 
mainly  the  foUowing  two  new  principles:  First,  that  only  those  deposi- 
tors who  actually  suffer  from  unemployment  participate  m  the  distri- 
bution of  the  interest  on  the  endowment  fund.  Tliis  was  claimed  to 
be  more  logical  than  the  distribution  of  the  interest  among  all  the 
depositors.  Secondly,  right  was  given  to  withdraw  the  deposits  after 
the  period  of  ''insurance"  had  elapsed. 

The  regulations  adopted  in  1905,  and  still  in  force,  provide  for  the 
following  system  of  unemployment  reHef: 

The  Bologna  Savings  Bank  has  a  special  fund  of  300,000  lire  ($57,900) 
for  unemployment  relief  of  such  persons  as  are  wiUing  to  make  sa^gs 
for  the  lean  months  in  times  when  there  is  enough  work.  The  bene- 
fits of  this  fund  are  open  only  to  men  between  21  and  65  years  of  age 
who  live  and  work  in  Bologna,  who  are  employed  in  manual  labor,  and 
who  work  for  hire,  being  employed  on  a  daily  or  weekly  wage.  In 
order  to  participate  in  these  benefits  the  men  must  obtain  speciaf  unem- 
ployment deposit  books.  Each  person  may  possess  only  one  such 
book.  A  very  important  provision  is  the  rule  which  gives  the  admin- 
istration of  the  fund  the  right  to  determine  each  year  how  many  such 
unemployment  deposit  books  shall  be  issued.  Applications  for  these 
books  must  be  made  within  a  certam  time  of  the  year,  namely,  between 
March  1  and  May  31,  and  are  acted  on  in  the  order  in  which  they  have 
been  made. 

The  deposits  must  be  made  out  of  the  personal  earnings  of  the 
depositor  and  must  not  exceed  5  lire  (96.5  cents)  per  week.  These 
deposits  draw  the  ordinary  rate  of  interest  on  the  same  conditions 
as  all  other  deposits  in  the  savings  bank.  In  addition  to  this  normal 
rate  of  interest,  however,  these  deposits  entitle  the  depositor  to  a 
participation  in  the  interest  of  the  unemployment  fund,  there  bein*' 
two  grades  of  benefits.  The  first  grade  consists  of  depositors  who 
deposited  40  lire  ($7.72)  or  over,  and  for  them,  according  to  the  lan- 
guage of  the  regulations,  "1  lira  (19  cents)  is  reserved  for  every  lira 
deposited,  but  not  over  40  lire  ($7.72);"  in  other  words,  to  all  of  the 
depositors  of  the  first  grade  a  credit  of  40  lire  ($7.72)  is  reserved. 
The  second  grade  consists  of  depositors  who  have  deposited  less 
than  10  lire  ($1.93);  for  them  one-half  of  a  lu-a  is  reserved  for  each 
lu-a  deposited  up  to  20  hre  ($3.86). 

Both  the  deposits  and  these  reservations  of  benefits  are  for  the 
purpose  of  unemployment  rehef .  Moreover,  the  savings  of  one  year 
are  intended  for  relief  during  the  following  year.  During  the  cur- 
rent year,  therefore,  in  which  the  deposits  have  been  made,  they  are 
not  subject  to  withdrawal.  But  during  the  next  year  they  may 
withdraw  such  deposits,  together  with  the  share  of  the  benefits  on 


EEPORT  OF  THE  COMMISSIONER  OF  LABOE. 


1922  .>^^-— 

f  „f  v.pin<r  unemployed  without  any 
presentation  of  sufficient  P-°f  «f^;^';»  ^J^^  J  their  own  deposits 
Lit  of  their  own     If,  ho™  >  t^y  w  th        ^^^^^^     ^^^ 
without  such  proof,  they  lose  a  I  r^M  t         ^^^         ^^^^^^  ^^^^ 
ployment  withdrawals  «i"/\^°*  ^^'Jf^^  ^i^uy  allowance  of  1.50  hre 
^le  such  unemployments  last-    This  ^f      ^j  of   the  benefits 
consists  partly  of  their  o';^^ .^^IP^/J,  JeposUois  of  the  first  grade, 
reserved,  in  the  foUowmg  'atio-J-or  tu       P        ^^^^  ^^^^  allowance 
i.  e.,  those  who  have  accumulated  40  hre  ^^       ^^^.^  ^^  ^^^^^.^^  ^^^^ 
of  1.50  lire  (29  cents)  consists  of  0.75  In ^  ^^  ^^  ^.^^  ^^^_^2)  of 

0.75  lira  of  the  reserved  ^'"^^^'l' ~^^,^uyr^  of  the  second  grade 
the  latter  is  exhausted,  and  f°;  ^^^/^l^^ii,^  (9.7  cents)  from  the 
1  lira  (19  cents)  of  the  deposits,  and  0  5o  ur 
reserves  up  to  the  lunit  of  20  hre  ($3.86).  ^^^  ^^^^^^ 

In  order  to  obtam  these  benefits  the  aep  ^^  ^^^^^^^  ^^ 

present  themselves  in  P™' ^J%  ;  benefits  may,  however,  be 
requked  proof  of  ^^^^^^^^"^^'^JXii  Bologna  for  other  locali- 
giL  even  to  such  ^P^^^^^.^w^^^^^^^^  in  their  search, 

^^rrt'^^  -—  --^  ^'  ^""  "^- 

employment.  _        f  ^j^^  Bologna  Savings  Bank 

A  complete  ^''^^"J^*/ ^J^tj^^  a^ Ji„Lstration,  covering  the  years 
was  recently  pubhshed  »>y  ^f  7"?  ,^^  j,ew  regulations  had  the 
1904  to  1910.  The  account  -^-'-J^;.^;  J^rfng  the  first  year  of 
effect  of  restricting  the  deposits,  espec  laUy  S,        ^^^^^  ^^^^  ^^ 

he  full  application  of  the  new  rules  ..e    1907.^^^^^  ^,^^^  ^ 
the  total  amount  of  benefits  paid  out  bee  .^^  ^^^^_  ^^^  ^ 

lire  ($2,289.55)  -J^^Vt'othet^lepols  has  materially  declined, 
proportion  of  the  b;"«fit.  t*>  riie  *o*al     p       .^  ^^^^      ^^  ^j  ^  ^^^ 
from  66.6  per  cent  ^'^^^04  to  26J  P  .^^^^^^^^j_  ^^  „      ^e 

ment  fund  at  the  same  t«^^  ^^  °f ^"  succeeded  in  preventmg  the 
admitted  that  the  new  regulaU<>^  have  s  ^^^^  ^^^ 

threatening  danger  oV''''''V„  be  admitted  to  participation  in  the 
the  maximum  limit  of  Pf^^"- ^°  ^^^^^^^^^^  and  for  the  following 
benefits  was  determined  ^Y  the  bank  at        '  j^  therefore 

years  at  750.  The  whole  -t-y  "^^^  'J^^,  .uffieulties  in  the 
Lamly  interesting  as  an  f  l;;2f  ^^^^^^S  i,  based  upon  the  pnn- 
way  of  an  unemployment  relief  P^*"  yi  voluntary  savmg 

Tipl  of  subsidized  Pf;;-rier[ttTi?  character  building,  as 
was  evidently  selected  fo'^J.^J^f  ^^  a  combmation  of  econom  c 
being  the  best  method  o^ -^ef  th  ^^^^^^^  ,^,,^  the  subsidies  made 
and  educational  effcc*^'  ™  "^  „„iess  the  work  was  surrounded  by 


CHAPTER  VII.— WORKMEN 'S   INSURANCE   IN   ITALY.  1923 

OPERATIONS  OF  THE   UNEMPLOYMENT  FUND  OF  THE  BOLOGNA  SAVINGS  B  VVK 

1904  TO  1910.  »AAK, 

[.Source:  BoUettlno  dell  'Ufficio  del  Lavoro,  Vol.  XIV,  1910.] 


Number  of  deposit 
books. 


Year. 


On 
Jan- 
uary 
1. 


1904. 

1905. 

1906. 

1907. 

1908. 

1909., 

1910. . 


690 
680 
752 
732 
729 
752 
795 


Dis- 

Is- 

con- 

sued 

tin- 

dur- 

ued 

ing 

dur- 

year. 

ing 

jyear. 

55       05 

126-     51 

35 

55 

94 

97 

99 

76 

96 

5.3 

C35 

C43 

At 
end 

of 
year. 


Total 
cred- 
its on 
books 
Janu- 
ary 1. 


Deposits  during  year. 


Enti- 
titled  to 
partici- 
pate in 
Benefits. 


Not 
enti- 
tled 

to 

par- 
tici- 
pate 

in 
bene- 
fiits. 


680 
752 
732 
729 
752 
795 
C787 


$0,08.3.53 
6.935.94 
8, 402.  75 
6.624.61 
4.257.95 
4, 734.  49 
4,923.39 


Total. 


Inter- 
est on 
de- 
pos- 
its. 


Benefits 

distrib- 
uted 

from  en- 
dow- 
ment 

fund,  (a) 


j    Total 
deposits, 

interest, 
and 

benefits. 


Amount  on 

books  at  end 

of  year. 


Total. 


?1, 917. 841.. 
2, 449.  54  S96.  35 

2, 444.  23 

2,258.83  13.86 
2,215.69  10.95 
2,482.08     1.21 


Year. 


Amount. 

of  endow- 
ment 
fund. 


$1,917.84 
2, 545. 89 
2, 444.  23 
2, 272.  69 
2,226.64 
2, 48:3.  29 
c  897. 78 


Aver- 
age 
per 
de- 
pos- 
itor. 


$64. 
152. 
167. 
94. 
112. 
116. 
C109. 


I 


94  $1,657 
37   2,289. 

884. 
497. 

878.  78;  3, 478.  45 
e  376.  78  cl,  384. 36 


62 
89 
34! 
38 
80 


29  $3, 640. 07  $6. 935 

55   4,987.81;  8,402 

2.61L85;  6.624. 

3.2.51.66!  4,257. 

2.8.36.15!  4.734. 

4.923. 

4,037. 


.08 
17 


94  $10. 20 
75  11.17 
9.05 


61 

96' 
491 
39 
65; 


5.84 
6.30 
6.19 
5.13 


1904.. 
1905.. 
1906.. 
1907.. 
1908.. 
1909.. 
1910. . 


$07,347.00 
68, 804.  50 
70.039.70 
70,618.70 
71,101.20 
71,101.20 
71,101.20 


Mem- 
bers in- 
scribed 
on  rolls 
during 

pre- 
ceding 
year  for 
partic- 
ipation 
in  ben- 
efits. 


Members  ad- 
mitted. 


First 
grade. 


Second 
grade. 


Mem- 
bers 
sus- 
pend- 
ed. 


Withdrawals. 


522 
.333 
372 
450 
444 
564 
552 


81 
183 
286 
296 
324 
399 
400 


Benefits. 


Amount. 


Pc-r 

cent  of 

total. 


Deposits. 


Amount. 


Per 

cent  of 

total. 


Total. 


438 
145 

71! 

46 
110 
137 
142 


3 

5 

15 

108 
10 
28 
10 


$1,85,5.49 

1.657.29 

2,289.55 

884.08 

497. 17 

878.  78 

c  376.  78 


Days  of 
unem- 
ploy- 
ment. 


66. 6' 
47.  ij 
52.2 
15.  7| 
21.1 
26.7 
C15.3; 


$932. 17 
1,863.711 
2. 100.  45 
4.734.23, 
1.862.441 
2. 410. 77i 
«  2, 080. 31: 


33.4 
52.9 
47.8 
84.3 
78.9 
73.  3 
C84.  7 


$2. 787. 66 
3,521.00 
4.390.00 
5,618.31 
2,350.61 
3,289.55 

"2, 463. 09 


6,107 
6. 194 
3,453 
5.977 
<-2,oS2 


&"--««-S-^^^^ 


pajTnent  of  unemploj-ment 

c  ?o"rXK„^'jrtX' omeTo^"'  ""  "-'""""o-  »'  "--flte  was  made  this  year. 
«*  Not  reported.  ^ 

VENicE.--The  unemployed  workmen's  benefit  society  of  Venice  (La 
SocM  Prev^nza  per  gli  Operai  Disoccupaii  in  VeJzi^  was  estal^ 
hsled  by  some  pnvate  persons  with  a  charitable  purpose  in  1901 
and  legally  incorporated  by  tlie  royal  decree  of  June  30   1901  ' 

The  purposes  of  this  society  are  to  facilitate  as  far  as  possible  the 
p lacing  of  unemp  eyed  workmen,   to  assist  them  with^empori^ 
ub  Idles  m  case  of  involuntaiy  unemployment,  and  to  assist  Ln  S 
settlement  of  disputes  between  employei^  and  employees. 

The  first  purpose  is  met  by  gathering  all  available  information 
concernmg  the  demands  for  help,  which  information  is  fumXd  to 
persons  interested,  and  occasionally  also  by  furnishing  traveling 
expenses  to  those  who  have  obtained  employment  out  of  towi 


1924 


EEPORT   OF   THE  COMMISSIONER   OF   LABOR. 


The  provision  of  the  by-laws  requiring  the  society  to  act  iis  a  con- 
ciHator  in  disputes  between  employers  and  employees  has  remained 
a  dead  letter,  the  main  function  being  that  of  granting  aid  to  unem- 
ployed persons.  Although  originally  a  private  organization,  the  mu- 
nicipahty  of  Venice  went  to  its  aid.  In  1904  the  amount  contributed 
by  the  municipaUty  of  Venice  was  10,000  lire  ($1,930) ,  by  the  province 
of  Venice,  1,000  lire  ($193),  and  the  contributions  of  honoiary  mem- 
bers and  patrons  amounted  to  about  2,000  lire  ($386). 

The  contributions  of  the  wage-workers  insured  during  the  first 
three  years  of  the  activity  of  the  society  was  40  centesimi  (8  cents) 
per  month,  but  in  1904-5  were  increased  to  1  lira  (19  cents)  per 
month  by  the  executive  council  of  the  society.  This  increase  of 
contributions  was  partly  offset  by  an  increase  of  the  benefits  from 
1.25  lire  (24  cents)  to  1.50  lire  (29  cents)  per  day  to  married  workmen 
and  to  widows  with  more  than  two  children.  But  the  main  purpose  of 
the  increase  is  admitted  by  the  administration  to  have  been  to  check 
the  rapid  growth  in  the  number  of  insured,  which  became  alarming 
in  view  of  the  absence  of  all  limitations  as  to  the  duration  of  the 
benefits  and  the  cheapness  of  the  rates. 

The  activity  of  this  society  is  admitted  by  its  administration  to 
be  in  the  nature  of  an  experiment,  requiring  further  study,  especially 
for  the  purpose  of  adjusting  the  finances  of  the  society.  Its  essential 
difficulty  is  evidently  to  be  found  in  the  fact  that  it  is  primarily  a 
disguised  form  of  charity,  a  very  small  share  of  the  revenue  being 
derived  from  the  contributions  of  the  insured. 

The  activity  of  the  society  for  the  fiscal  years  1902-3  and  1903-4 
is  shown  in  the  following  table: 

NUMBER  OF  MEMBERS  AND  NUMBER,  AMOUNT,  AND  AVERAGE  OF  BENEFITS  PAID 
BY  THE  UNEMPLOYED  WORKMEN'S  BENEFIT  SOCIETY  OF  VENICE,  1902^-3  AND  1903-4, 
BY  INDUSTRIES. 

[Source:  BoUetino  dell'  Ufficio  del  Lavoro,  Vol.  II,  1904.1 


Industry. 


Metallurgy  (a) 

Shipbuilciiag,  etc 

Building  trades 

Woodworking 

Painters,  decorators,  etc 

Unskilled  laborers  and  others 
not  specified 


Total. 


19()2-3. 


Num- 
ber 
of 
mem- 
bers. 


190 
34 
91 
15 
98 

17 


445 


Num- 
ber 
re- 
ceiv- 
ing 
bene- 
fits. 


74 
25 
32 
6 
70 

8 


215 


Per 
cent 
re- 
ceiv- 
ing 
bene- 
fits. 


38.9 
73.5 
35.2 
40.0 
71.4 

47.1 


48.3 


Total 
benefits. 


$572.33 

229.96 

306. 87 

♦)0.50 

670.58 

84.44 


1,924.68 


Aver- 
age 

bene- 
fits 
per 

beno- 
flcl- 
ary. 


1903-4. 


17.73 
9.20 
y.  ow 

10.08 
9.58 

10.56 


Num- 
ber 
of 
mem- 
bers. 


8.96 


151 
63 
79 
16 

119 

24 

452 


Niun- 
ber 
re- 
ceiv- 
ing 
bene- 
fits. 


95 

68 

45 

7 

100 

24 


329 


Per 

cent 
re- 
ceiv- 
ing 
bene- 
fits. 


62.9 
92.1 
57.0 
43.8 
84.0 

100.0 


72.8 


Total 
benefits. 


$894.46 

676. 45 

476. 42 

91.19 

1,015.95 

266.58 


3,321.0  6 


Aver- 
age 
bene- 
fits 
per 
bene- 
fici- 
ary. 


$9.42 
9.94 
10.59 
13.03 
10.16 

11.11 


10.09 


a  Including  only  iron  and  steel  manufacturing  in  1903-4. 


CHAPTEB  VII.— WORKMEN 'S  INSURANCE   IN   ITALY.  1925 

Milan -Perhaps  the  most  ambitious  effort  in  the  line  of  unem- 
ployment relief  ,s  that  made  by  the  Milan  Humanitarian  Society. 
,  Lr  I  ^'i^r**^     institution  for  various  forms  of  social  betterment 

2S  ,  «Q9  1      ^  ^  L^"'^  "^  ^'°'^'"'  ^°'«^  ^""^  ^^^  died  on  Octobe; 
28  1892,  leaving  his  entire  fortune  of  over  10,000,000  lire  ($1,930,000) 
to  this  mstitution      Because  of  continued  htigatien  (see  the  Su;vey 
July  10,  1909,  vol  22,  p.  541),  the  operations  of  the  society  did  not 
begin  until  1900.  by  which  time  the  accrued  interest  had  LcreaLd 
the  endowment  up  to  nearly  13,000,000  lire   ($2,509,000).     TVhile 
the  scope  of  this  mstitution  is  very  broad,  including  technical  educa- 
tion, housing  reform,  employment  offices,  and  statistical  study  of 
abor  problems   one  of  the  main,  if  not  the  main  object  at  present 
IS  the  rehef  of  the  unemployed.     The  scheme  of  the  unemploved 
relief  or  msurance  adopted  by  this  organization  is  especiaUy  interest- 
ing because  It  follows  the  experience  of  the  well-known  Ghent  svstem 
«,Tief  \*r?.  ."P'''^  ^"^i'i'f  t«  l^bor  organizations  granting  such 

Si    .    V       ^^^  ^^^  f'^'"^''  '"^  ^d'l'*'""  t«  contributing  finan- 
cially to  the  support  of  the  unemployed,  aims  mainly  at  stimulating 

self-help  and  mutual  help  among  the  organized  workers  a.  a  means  J 
counteracting  the  harmful  effects  of  unemployment 
Tnuf't  ""^^Ployment  insurance  fund,  which  began  its  operations  on 
July  1,  1905  is  regulated  by  the  following  constitution: 

Constitution  of  the  Milan  Unemployment  Benefit  Fund. 

aaeociations,  with  participatiorand  c^Deradon  n?  Mif.^         '**'?-*°''  ^'^'"^ ^^'"S^ 

Humanitarian  Society,  a^Xany  oth^Sett^  w^  1°  ^,?tt'5'''-^  societies,  of  the 

Art.  2.  This  institution  aims  to^coordin^to  thrindivU.K^^  **  participate. 

s^f!.rdfieii:l'd^'£^Ti'^^^^^^^^^ 

anc^e  W  the  cooperative  ^:^'S^'^:^Z^^^:^:^  ^':i^ 

by'dSl se^S^iauSirdZ'ln^^S'stplv rfla^"'^^^'  ?^ ^'^ ^"^^  -"*<» 
suspensions  of  work,  independenTof  the  wnf  ^  ^thl      "i;  '"'^"^'■"'^l  ^-^e^.  and  other 

breaking  down  of  machinerrc^nflrlridons  etc  *'  ^"'^^''  "^  '''^"''^^  "'^  ^'^'^'^ 

whlc'h.-  besTd^^'tSplo^m^frelLrnS  '"  ^""^  "-«'"?i?°  «'*  associations, 
dence,  and  cooperation  '  P^"*  o^eraims  of  social  betterment,  pro^il 

th^PTOt^Y^'n\SoS  bvXL'tl^^^^^  'i'!i;™"'«  ••'<'  ™-<»''i<'»^  ^-go'ating 
.  ent  CToups  of  workere  belon^nt'ii  ,h^  membera  and  the  granting  of  subsidies  to  differ" 
of  wage  ^y«  fte  tZfbmtv  ^dtS^n^t^' r'^  consideration  of  the  «>nditions 
tions  must'be  approven^  the  Znc^^f  Jl^°*  unemployment.  But  these  condi- 
therefore,  present  <S  of  theS  Zs^?tnttLl^-  ""titut.on.  The  associations  must, 
the  members  of  ti^o  olZl'^^'^CT^'rc^TZiV^^]  "'  "^'^  ^'^^^^^^  -  "^^ 

fi4\\f  Jte''r;'rIXftiuhtL\?ct1"P^  '"  the  institution  with  their 
benefit  of  the  same  clS  of  workere  of  XZh»  ^ii^if '^^'^''  ^  designated  only  for  the 
consists.  workers  ol  whom  the  membership  of  the  cooperative  society 

l^he'dby  theUSL:!c^tioSll'ftd*ou?of  ^h"'"f^  ^  -'»"- 

of  the  amount  of  the  bittefiS   b^t  mn,f  w  aKT  '"""^^i  '^.  ^'^"'^  "t  50  per  cent 

and  shall  be  gmnted  ^r'^^'t.c^^l^'loZ'o^^^iXsT^^Z^^^^^^^  ^'  '^^^ 


1926 


EEPORT   OF   THE   COMMISSIONER  OF   LABOR. 


The  administrative  council  of  the  institution  shall  have  the  power  to  reduce  in  the 
course  of  the  year  the  rate  of  this  addition  in  accordance  with  the  gravity  and  ^ten- 
^  I^^TtJ?  ^^"'f?^'.-^'''*  also  according  to  the  finanrial  condition  of  the  institution. 
f>,f  kI;  fif  ^-  J^^W''^'''''  ^^^^  "^""^  contribute  any  additional  payments  whenever 
the  benefat  paid  to  the  unemployed  member  by  the  association  shall  exceed  1  50  lire 
{Z\f  per  cents)  per  day. 

of  Tb  addition  of  the  institution  to  the  benefits  paid  by  the  associations  shall  be  paid 
P^fi^^trll^^'^^  "^V"^^  ^^^^^  individuals  adherin/to  the  associationn,  after  pres 
of  these  aicounte''^"'^        with  statements  of  amounts  paid  out,  and  after  the  auditing 

heWina  t^Hl!o  f.T/^?^''^  ""^  the  associations  granting  unemployment  benefits  and 
belonging  to  the  institution  must  also  be  registered  in  some  employment  office 

ART.  10  rhe  associations  must  keep  accounts  of  their  membership  and  of  the  unem- 
Se^Sudon^       according  to  a  uniform  plan  determined  by  the  administration  of 

Art  11.  Those  members  who,  in  the  opinion  of  the  council,  do  not  belong  to  the  class 
o  workingmen,  those  who  have  deceived  or  tried  to  deceive  the  institution  under  the 

wJSV  nffl^'l^'IfT^^K''^'-'';.'''^''  ?^Xe  refused  employment  offered  by  the  employ- 
ment oflice,  shall  lose  the  right  to  obtain  any  benefits.  J  h' ^y 

consktin^o?^^  ^P^^^^io^  of  the  institutions  are  supervised  and  managed  by  a  councU 

(a)  The  president  of  the  Humanitarian  Society; 

(6)  Another  representative  of  the  Humanitarian  Society  as  chairman- 
c)  Two  representatives  of  the  trade  associations  belonging  to  the  institution; 
and  representative  of  the  cooperative  societies  contributing  to  the  institution; 

Finally,  a  representative  of  those  who  contribute  annually  at  least  5,000  lire  ($965) 
.    Ihe  representatives  of  the  trade  associations  and  cooperative  societies  are  elected 
m  annual  meetings  of  the  delegates  of  the  individual  associations  and  cooperative 
societies.     Each  association  is  entitled  to  one  vote.  ^wuperauve 

The  associations  having  more  than  100  members  have  one  vote  for  each  100  members 

ySr'^nd  ar'?re^l''1wr°'^    ^^""^  ''^^'^^'     ^^^  ''^'''''^  ^^^""^^  '^°'^'''  '"^  ^®^'^  ^^ 

om^"e£S^ihBf^^  P^^^^^^^  ^^^  ^^-  ^--'  t^-  headquarters, 

Art.  14.  The  institution  is  established  experimentally  for  one  year. 

The  organization  and  plan  of  this  form  of  unemployment  insurance 
appears  very  plainly  from  the  brief  constitution  quoted.  It  follows 
quite  closely  the  plan  of  the  so-called  Ghent  system.  It  began  opera- 
tion on  July  1,  1905. 

In  the  spring  of  1909  an  unemployment  benefit  institution  was 
organized  in  Brescia  by  the  local  branch  of  the  Milan  Humanitarian 
Society.  The  constitution  of  tliis  new  institution  follows  closely 
that  of  the  Milan  fund.  The  subsidy  given  by  it  to  the  unemi)loy- 
ment  benefits  furnished  by  the  trade  associations  is  determined  at 
50  centesimi  (10  cents)  per  day  for  not  exceeding  40  days.  It  may 
be  increased  to  75  and  90  centesimi  (17  cents  and  1,9  cents)  to  those 
persons  who  carry  membership  in  two  or  three  trade  associations 
granting  unemployment  benefits.  According  to  the  latest  informa- 
tion available  this  institution  has  not  yet  begun  its  operations  be- 
cause the  necessary  trade  association  unemployment  funds  have  not 
yet  been  organized. 

The  general  results  of  the  activity  of  the  unemployment  ins/i-- 
ance  fund  of  the  Milan  Humanitarian  Society  are  shown  in  ihe 
following  table  for  U  years,  from  July,  1905,  to  the  close  of  l{fOO. 
The  fund  began  operations  on  July  1,  1905,  with  27  labor  organiza- 
tions affihated  and  6,449  members.  By  the  end  of  the  year  the 
number  of  affihated  organizations  had  increased  to  33,   and  by^  the 


/ 


CHAPTER  Vir.— WORKMEN'S  INSURANCE  IN  ITALY.         192T 

(Source:  BoUettino  dell'  Ufficio  del  Lavoro,  April   1909  June   ico     q    ■  ..  r^ 

_  cupazione,  ColIoeamc'Ltl:  SdMn  •Muino,^!^]™'"*'^^*^'  *^"«'»«'  ^^^ 


Year. 


Num- 
ber of 
amii- 
ated 
organi- 
zations. 


Number 
of  mem- 
bers on 
Dec.  1. 


JMembers  receiv- 
ing benefits. 


1905,  July-December 

190«> 

1907....       

1908...  

1909....       


33 

8.363 

30 

8.913 

40 

11,944 

49 

12, 198 

49 

10,931 

Number 

of  days 

for  which 

benefits 

were 

paid. 


Amount  of  benefits  paid. 


12,317 
12. 242 
36, 046 
26.  309 
25,090 


By  unions. 


$2. 776. 12 
2. 920.  52 
7, 4S9. 49 
6.347.18 
6, 958. 83 


By  Human 
iiarian 
Society. 


$1,091.05 
1.124.76 
3. 408.  75 
2, 485.  •  8 
2.372.42 


Average  num- 
ber of  davs  for 
which  benefits 
were  paid. 


Total. 


$3,867.17 
4.045.28 

10.S9S.24 
8.832.86 
9,331.25 


Average  amount  of  benefits  paid. 


Average  amount  of  bene- 
fits paid  per  day. 


1905,  July- December 

1906 

1907 

1908 

1909 


67725°— VOL  2—11 


1928 


BEPOBT  OF  THE  COMMISSIONER  OF  LABOR. 


The  distribution  of  the  number  of  beneficiaries  and  of  days  for 
which  benefits  were  paid  is  given  in  the  next  table  for  1907  and  1908, 
by  causes  of  unemployment.  In  1908  dull  season  and  industrial 
crises  were  responsible  for  over  80  per  cent  of  all  days  of  unemjdoy- 
ment.  In  1907  more  than  half  of  the  unemjdoyment  was  caused  by 
lockouts  and  shutdowns  and  discharges  in  consequence  of  labor  dis- 
disputes. 

NUMBER  OF  PERSONS  COMPENSATED  AND  NUMBER  OF  DAYS  FOR  WHIC  H  BENEFITS 
WERE  PAID  BY  THE  MILAN  HUMANITARIAN  SOCIETY  IN  1907  AND  1908,  BY  CAUSES 
OF  UNEMPLOYMENT. 

[Source:  Bollettino  dell'  Ufflcio  del  Lavoro,  May.  1908,  and  April,  1909.1 


Number  receiv 
ing  benefits. 


Days  for  w'hich  benefits  v/ere  paid. 


Causes  of  uaemplojrment. 


1907. 


Dull  season 

Dismissal  because  of  application  of  new  wage  scales 

Lockouts  and  shutdowns 

Suspension  of  work  because  of  strike  of  other  work- 
men supplying  new  material 

Industrial  crises 

Discharge  subsequent  to  labor  disputes 

Closing  of  establishments  through  bankruptcy 

Suspension  of  operation  for  the  purpose  of  taking 
stock 

Total 


1908. 


1907. 


1908, 


0  652 

86 

458 

15 

(^) 
266 

(*) 


787 
63 

eo 

60 

57 
91 
17 


Number. 

Per 

cent  of 

total. 

Number. 

a  15,311 

1,344 

12,983 

42.01 

3.C» 

35.64 

20,308 
2.007 
1,594 

551 
6.237 

1.51 
"i7.'i2' 

878 

711 

COo 

9S 

(&) 

50 

Per 

cent  of 

total. 


77. 42 
7.63 
0.06 


1,477 


1,14.T      f36,426 


100.00 


5.34 

J.  70 

J.  30 

.36 

.19 


26,309 


100.00 


a  Including  industrial  crises,  closing  of  establishments  through  bankruptcy,  and  suspension  of  o:>eration 
for  the  purpose  of  taking  stock, 
ft  Included  \vith  dull  season, 
c  Including  a  duplication  of  380  days  due  to  benefits  being  paid  }*y  two  societies  to  the  same  persons. 

The  main  results  of  the  activity  of  the  Milan  unemployment  insur- 
ance funds  are  shown  in  the  following  table  by  months  of  the  year. 
The  table  is  interesting  mainly  in  showing  the  difficulty  of  drawing 
any  definite  conclusions  as  to  the  probable  unemployment  by  seasons 
of  the  year.  In  1905  the  greatest  amount  of  unemployment  happened 
in  Jul}^  August,  and  September;  in  1906,  in  July  and  August;  in  1907, 
in  August,  September,  and  December;  and  in  1908,  in  January. 

The  table  shows  that  the  number  of  unemployed  persons  receiving 
benefits  from  the  Humanitarian  Society  is  often  somewhat  smaller 
than  that  receiving  benefits  from  the  labor  organizations  themselves. 
Occasions  arise  when  the  subsidy  of  the  Humanitarian  Society  is 
denied  for  noncompliance  ^\^th  some  of  the  regulations. 

/■ 


/{ 


CHAPTER  VII. workmen's   INSURANCE  IN   ITALi*.  1929 

UNEMPLOYMENT    RELIEF    BY    THE    HUMANITARLA.N    SOCIETY    AND    THE    TRADE 
ASSOCIATIONS    OF  MILAN,   BY  MONTHS,   JULY,  lOK,   TO  AUGUST,   1909. 

[Source:  Bolbttino  dell'  U.Ticio  d?l  Lavoro     Some  of  the  totals  in  this  table  do  not  agree  with  the 
totals  in  the  following  table;  the  figures  are  given  as  shown  in  the  original  r^'port.j 


Year  and  month. 


1905. 

July 

Augusi 

September 

October 

Novenib?; 

Decsniber 


Total,  Gmonths. 
190G. 


JaTaarv 

Februa.-y 

March 

April 

May 

June 

July 

Austist 

September 

October 

November 

December 


Number  of  persons 
receiving  bonefits. 


From 

trade 

ossoria- 

tioas. 


Total. . 

i9o; 


January 

February . . 

March 

April 

May 

June 

July 

Augusc 

September. 

OetobDr 

November. 
December.. 


Total. 


190S. 


lanujiry... 
February . . 
March..:.. 

Apiil 

May 

Juno 

July 

August 

S»ptein;>ei-, 
Otiober... 
NovsnibLT. 
l^ecambcr. 


Total. 


173 

203 
22-1' 

124 
119 
138 


9.^4 


122 

82 

42 

63 

44 

Gl 

134 

IGl 

10'. 

84 

11.^ 

92 


1.100 


2,019 


405 
135 
118 
130 
1G7 
156 
201 
205 
234 
159 
193 
191 


2,300 


From  the 

Humani- 

tarifin 

Society. 


160 
18.5 
2<)3 
110 
107 
125 


896 


12-3 
81 
40 
4;^ 
41 

to 

1-24 

155 

1»7 

78 
10.> 


Number  of  days  for 
which  beiieSts 
wer.^  paid. 


By  trade 
associa- 
tions. 


2,393 
2,9i)2 
3,491 
1,4(36 
1 ,  304 
1.092 


By  the 
Humani- 
tarian 
Societv. 


2.124 
2.576 
2. 989 
1,388 
1.122 
1.437 


Amount  of  bfneflts 
paid  by  trade  as- 
sociations. I 


To  all  un- 
employed 
raemb'^rs. 


13.398 


11.636 


1,020 


74 

71 

78 

77 

63 

62 

198 

192 

131 

120 

133 

126 

163 

144 

357 

344 

374 

358 

2(i5 

242 

2S8 

274 

525 

498 

2. 508 


405 
135 

lis 

130 
155 
1.50 
201 
134 
216 
im 
150 
170 


,  1(0 


1.454 
908 
4.S6 

487 
497 

on 

1.493 
2.044 
1,463 
981 
1,804 
1,602 


1,418 

896 

388 

417 

388 

526 

1,361 

1.909 

1.354 

896 

1.490 

1.197 


5487 
761 
812 
315 
288 
407 


To  mem- 
bers ri^ 
ceiving 
benefits 

from  the 

Humani- 
t^irian 

Societv. 


S429 
644 

es8 

321 
243 

308 


.\mount 
of  bent*- 
fitspaid 

by  the 
H;miani- 

tarian 
Society. 


0  3.07 


2.693 


295 
156 
90 
119 
112 
129 
319 
444 
349 
232 
4S6 
^32 


295 
156 

90 
105 

99 
114 
305 
43d 
342 
223 
453 
25*3 


13.856   c  12.242 


3.113 


2.9-20 


858 
896 
744 
1.755 
1.527 
1,669 
1.973 
6.949 
8.109 
2,303 
2,468 
9,380 


822 

179 

990 

185 

732 

136 

l.{.i32 

419 

1,364 

342 

1,482 

3S9 

1.512 

406 

6.716 

1.096 

7.9-20 

1,147 

1.892 

553 

2.226 

552 

8.858 

2,549 

179 
185 
130 
412 
325 
ai7 
303 
1,045 
l,rt?4 
452 

im 

2,435 


38.631 


3tl,046 


7,953 


,4S'J 


5,227 

5.157 

2.030 

2,030 

1,334 

1.238 

1,501 

1.408 

2,506 

2.187 

1,775 

1.643 

2,471 

2.317 

2,720 

2.6% 

3,116 

2.731 

2,462 

2.  (MO 

1,996 

1.587 

.      2,533 

2.100 

29,671 

27.094 

1,274 
508 

399 
294 
596 
369 
503 
035 
774 
5.55 
£13 
Ci.^2 


1,274 
508 
3iJ0 
284 
519 
347 
417 
031 
69^ 
417 
402 
510 


.022  i      o.sas 


Total 

amount 

paid  to 

persons 

receiving 

b  neiiis 

bo'l"  from 

trid '  as- 

sociationi 

and  thi» 

Humara- 

tarian 

Society. 


$174 
229 
275 
128 
105 
133 


9B03 

873 
963 
44<9 
34S 

:oi 


1.044 


3.737 


127 

81 

36 

38 

37 

49 

125 

173 

120 

86 

140 

107 


422 

237 
126 
143 
136 
163 
400 
G12 
4ti8 
30J 

«wsf 

4O0 


1.125 


4.045 


<  i 
S5 
69 
155 
130 
136 
137 
635 
756 
175 
206 
848 


256 

270 

205 

567 

455 

433 

£00 

1.680 

1,850 

627 

712 

3.283 


3.403 


10.  S.^ 


4.^ 
l& 
117 
118 
191 
150 
209 
237 
243 
1S4 
151 


1,768 
097 
477 
402 
710 
437 
626 
838 
M2 
601 
55S 
700 


2,482 


8.800 


o  This  total  is  not  the  correct  sum  of  the  items;  the  tgures  are  given  as  shown  in  the  original  report. 


1930 


REPORT  OF   THE  COMMISSIONER  OF   LABOR. 


UNEMPLOYMENT    RELIEF    BY    THE    HUMANITARIAN    SOCIETY    AND    THE    TRADE 
ASSOCIATIONS  OF  MILAN,   BY  MONTHS,  JULY,  im,,  TO  AUGUST,  llWi^ConoludccL 


Year  and  month. 


1909. 

January 

February 

March 

April 

May 

June 

July 

'August 

September . . . . 

October 

November.... 
December 

Total... 


Number  of  persons 
receiving  benefits. 


From 
trade 
associa- 
tions. 


113 
118 
120 
147 
253 
178 
371 
177 
182 
200 
199 
155 


2,213 


From  the 
Humani- 
tarian 
Society. 


113 
118 
118 
146 
252 
175 
367 
175 
169 
185 
172 
148 


Number  of  days  for 
which  benefits 
were  paid. 


A  mount  of  benefits 
paid  by  trade  as- 
sociations. 


By  trade 
associa- 
tions. 


2,138 


1,663 
1,358 
1,448 
1,678 
3,506 
2,291 
3,961 
2,516 
2,7% 
2,118 
2,137 
1,285 


26,757 


By  the 
Humani- 
tarian 
Society. 


1,663 
1,358 
1,406 
1,631 
3,382 
2,212 
3,835 
2,354 
2,296 
1,859 
1,826 
1.108 


24,930 


To  aU  un- 
employed 
members. 


315 
305 
325 
353 
729 
609 
1,104 
948 
969 
714 
683 
333 


To  mem- 
bers re- 
ceiving 
benefits 

from  the 

Humani- 
tarian 

Society. 


315 
305 
319 
348 
715 
558 
1,078 
926 
860 
629 
615 
291 


A  mount 
of  bene- 
fits paid 
by  the 
Humani- 
tarian 
Society. 


145 
127 
138 
159 
321 
208 
347 
222 
221 
189 
173 
113 


7,387 


6,959 


2,363 


Total 
amount 
paid  to 
persons 
receiving 
?)enefits 
lx)th  from 
trade  as- 
sociations 
and  the 
Humani- 
tarian 
Society. 


400 

432 

457 

507 

1,036 

76C 

1.42.'5 

1, 148 

1,081 

818 

788 

404 


9,323 


XTNEMPLOYMENT  BENEFITS,  BY  TKADE  ASSOCIATIONS. 

In  the  tables  heretofore  given  the  membership  of  all  the  afliliated 
organizations  was  taken  as  a  whole.  The  importance  of  the  question 
of  dependence  of  employment  upon  the  trade  calls  for  additional 
information.  Data  concerning  the  num])er  of  cases  of  relief,  the 
number  of  days  for  which  benefits  were  paid,  and  the  amount  of 
benefits  paid  are  shown  for  the  years  1906  to  1908  separately  for  each 
labor  organization  affiliated  with  this  unemployment  insurance  sys- 
tem. For  purposes  of  obtaining  percentages,  the  mean  between  the 
membership  of  each  union  in  January  and  in  December  has  been 
used  for  1906  and  1907.  As  the  average  membership  for  the  year 
was  available  for  1908,  it  has  been  used  in  preference  to  the  mean 
membership. 

In  some  instances  the  number  of  cases  of  relief  seems  large,  even 
exceeding  the  mean  membership  in  one  occupation  in  1907.  This 
shows  that  some  members  received  benefits  more  than  once  durinsr 
the  year.  In  1906  the  number  of  cases  of  relief  to  printers  was  36.1 
per  cent  of  the  mean  membership,  and  for  the  compositors  the  per- 
centage was  29.5.  In  1907  the  number  of  cases  of  benefits  to  glaa^ 
polishers  and  workers  in  white  glass  was  192.6  per  cent  of  the  me^n 
membership.  The  next  highest  percentage,  89.6,  was  for  chisel^rs. 
In  1908  the  liighest  percentage,  35.4,  was  for  metal  forgers.  The 
compositors,  printers,  and  lithographers  show  comparai lively  high 
percentages  for  each  of  the  three  years. 


CHAPTER  VII. workmen's  INSURANCE   IN   ITALY.  1931 

UNEMPLOYMENT    RELIEF    BY   THE     HUMANITARIAN    SOCIETY    AND   THE    TR\DB 
ASSOCIATIONS  OF  MILAN,  BY  TRADE  ASSOCIATIONS,  1906,  1907,  AND  1908. 

^^^I^V  5°"f"*°^  ^^"'  Uffieio^^el  Lavoro,  April,  1907,  May,  1908,  and  April.  1909.    Some  of  the  totals  in 
otigut^re^rL]     ^^^  ^  ^^^  ^  ^^^  preceding  table.    The  fl^es  are  given  LshS^iTtS 


Trade  associations. 


1906. 


Bronze  workers 

Chiselers 

Compositors 

Blacksmiths 

Metal  casters 

Printers 

Instrument  makers 

Bookbinders(&) 

Lithographers 

Ironworkers 

Goldsmiths 

Mechanics 

Polishers  and  platers 

Workers  in  leather 

Newspaper  dealers  and 
distributers 

Dyers 

Metal  turners 

Office  employees 

Women  in  printing  in- 
dustry  

Ribbon  makers 

Workers  in  trimmings 

Type  foimders 

Hat  makers 

Glassworkers 

Basket  makers 

Typographical  union 

Bookbinders  (*>) 

Metal  cutters 

Brasiers 

Melal  forgers 

Saddlers 

Pharmaceutical  employees 

Workers  in  knit  goods 

Gilders 

Lace  workers 

Upholsterers 

Horseshoers 


Mem- 
ber- 
ship. 

(«) 


Cases  of  relief  by- 


Days  for  which  benefits 
were  paid  by — 


Trade  asso- 
ciations. 


Total. 


57 

66 
1,300 

54 
900 
977 

12 
323 
463 

70 
140 
108 
205 

82 


Num- 
ber 


3 
383 


26 
353 


108 

2e5 

1,075 

522 


166 

310 

18 

167 

75 

74 

78 

315 

120 

14 

31 

55 

150 

102 

150 

116 

30 

61 

31 


8,790 


14 
70 
1 
2 
7 
6 
15 


Per 
cent 
of 
mem- 
ber- 
ship. 


4.5 
29.5 


2.9 
36.1 


20 
42 
19 

6 
5 
1 
17 
6 


52 
5 


37 

7 


1.100 


4.3 
15.1 
1.4 
1.4 
6.5 
2.9 
18.3 


Hu- 

man- 

ita- 

rian 

Soci- 
ety. 


3 
370 


26 
323 


14 
70 
1 
2 
7 
6 
15 


Trade  associa- 
tions. 


Num- 
ber. 


17 
4,965 


156 
4,696 


7.5 
3.9 
3.6 

3.6 
1.6 
5.6 
10.2 
8.0 


16.5 
4.2 


24.7 
6.9 


10.0 


12.5 


20 
54 
19 

6 
6 
1 

17 
6 


50 
5 


37 

7 


cl,055 


144 

1,080 

6 

18 

119 

43 

126 


Aver- 
age 
per 

mem- 
ber. 


Aver 
age 
per 
bene- 
fici- 
ary. 


0.3 
3.8 


.2 

4.8 


184 
354 
496 

53 
52 
13 
147 
48 


662 
51 


302 
104 


20 


.4 
2.3 

.1 

.1 
1.1 

.2 
L5 


5.7 
13.0 


6.0 
13.3 


10.3 
15.4 

e.o 

9.0 

17.0 

7.2 

8.4 


Hu- 
mani- 
tarian 
Soci- 
ety. 


Amount  of  benefits  paid 
by-  *^ 


Trade 
associ- 
ations. 


Hu- 
mani- 
tarian 
Soci- 
ety. 


17 
4,503 


156 
4,040 


144 

1,080 

6 

18 

119 

43 

126 


$4.92 
1,331.18 


TotaL 


SI.  64        S6.56 
409.58'  1,740.76 


38.501 
770. 68i 


15.061 


.7;      9.2 

.3       8.4 

LO'    26.1 


.3 
.2 
.7 
.9 
.6 


8.8 
10  4 
13.0 

8.6 

.8 


2.1 
.4 


2.0 
1.0 


.7 


13,856| 


1.6 


12.7 
10.2 


8.2 
14.9 


184 
345 
496 

53 

52 

13 

147 

48 


644 
51 


302 

104 


37.64: 

208.44! 

1.16| 

5.21! 

16.28| 
8.30 

29.381 


S3  &6 


348.57]  1,119.25 


14.29 

104.22 

.58 

1.74 

10.87 

4.15 

1L78 


41.40 

74.80 

106.92 

4.32 
9.98 
2.70 
34.47 
2.70 


101.80 
4.92 


72.86 
10.03 


20 


1.93 


12.6^12,7112,920.52 


17.95 
32.81 
47.87 

4.32 
5.02 
L26 
14.18 
1.35 


5L93 

312. 66 

1.74 

6.95 

27.15 

12.45 

41.16 


31.  49 
4.92 


29.14 
10.04 


1.93 


1.124.76 


59.35 
107.61 
154.79 

8.64 
15.00 

3.96 
48.65 

4.05 


133.29 
9.84 


102.00 
20.07 


3.86 


4,045.28 


h  ?hi  \^  r"^  1907  the  mean  membership  is  given;  for  1908  the  average  for  the  year  is  used. 
The  two  hues  for  bookbmders  represent  two  different  organizations  ^^ 

r.J}^     *    ,^  ^  duplication  of  29  cases,  due  to  the  payment  of  benefits  by  three  different  organizations  of 
£i  thToriSnai  r^portf'^'''-       ^  ^""^^  ^  ""^^  '^^  "^""^^  '"^  °'  '^^  '^^''  ^^^  ^^^  are  /vSS  shot,  n 

d  Including  a  duplication  of  469  days  due  to  benefits  being  paid  by  the  typographical  union  the  com- 
positors' union,  and  the  printers'  union  to  the  same  persons.  «*P^«-ai  union,  me  com- 


1932 


REPORT  OF   THE  COMMISSIONER  OF   LABOR. 


UNEMPLOYMENT    RELIEF    BY  THE    HUMANITARL\N    SOCIETY   AND   THE    TRADl 
ASSOCIATIONS  OF  MILAN,  BY  TRADE  ASSOCIATIONS,  1906,  1907,  AND  1908-Continued. 


Trade  associations. 


1907. 


Bronze  workers 

Chiselers 

Compositors 

Blacksmiths 

Metal  casters , 

Printers 

Bookbinders(i>) 

Litliographers 

Ironworkers 

Goldsmiths 

Mechanics 

Polishers  and  platers 

Workers  in  leather 

Newspaper  dealers  and 
distributers 

Dyers 

Metal  turners 

Office  employees 

Women  In  printing  in- 
dustry  

Ribbon  makers 

Workers  in  trimmings 

Type  founders 

Hat  makers 

Glassworkers 

Basket  makers 

Typographical  union 

Bookbinders^') 

Metal  cutters.. 

Brasiers 

Metal  forgers 

Saddlers 

Chemical  workers 

Workers  in  knit  goods 

Gilders 

Upholsterers 

Gmss  decorators 

Employees  of  cooperative 
societies 

Horseshoers 

Comb  makers 

Photo  -  engravers 

Loom  turners , 

Glove  makers 

Glass  polishers 

Workers  in  white  glass 

Soap  and  perfume  makers. 

Helpers  in  printing  shoi)S. 

Stereotypers 


Total. 


Mem- 
ber- 
ship. 
(«) 


Cases  of  relief  by- 


Trade  asso- 
ciations. 


Num- 
ber. 


182 

77 

1,450 

35 

800 

1,015 

514 

546 

150 

120 

103 

208 

78 

111 
344 

858 
5991 

325' 

279| 

136| 

191 

99 

133 

88 

325| 

98 

14 

30 

70 

125 

123 

150 

162 

72' 

C38' 


121 

69 

576 


Per 
cent 
of 
mem- 
ber- 
ship. 


66.5 
89.6 
39.7 


79 

4(8 

31 

147 

5 

5 

7 

21 

9 

2 

6 

186 

20 

20 

109 

2 

9 

15 

3 


50 
12 


2 

2 

27 


C193 
100 
C40 
C80 

C290 

C169 
C30 

C200 
C72 
c88| 
C74 


1 
199 


443 


9.9 

46.1 

6.0 

2o.9 

3.3 

4.2 

6.8 

10.1 

11.5 

1.8 

1.7 

21.7 

3.3 

6.2 
39.1 

1.5 

4.7 
15.2 

2.3 


15.4 
12.2 


2.9 

1.6 

22.0 


dl.3 
d68.& 


2,649 


<n92.6 


d2.3 


Hu- 
man- 
ita- 
rian 
Soci- 
ety. 


Days  for  which  benefits 
were  p^id  by- 


Trade  associa- 
tions. 


Num- 
ber. 


121    1,987 

69    1,116 

532   6,716 


79 

399 

31 


965 
5,970 
248 
146;  2,036 

5 


21 
9 


84 
71 
90 
204 
65 


2'        72 

6l        67 

186j  1,587 

19       452 


20 

109 

2 

9 

15 
3 


49 
12 


2 

2 

27 


1 
199 


226 

585 

44 

56 

318 

29 


817 
117 


11 

54 

151 


18 


24 
2,997 


44311,430 


24 


f2, 533  38, 631 


Aver- 
age 
per 

mem- 
ber. 


10.9 

14.  f> 

4.6 


1.2 

6.9 
.5 

3.7 
.6 
.6 
.9 

1.0 
.8 

.6 

.2 

1.8 

.8 


2.1 
.3 
.3 

3-2 


Aver- 
age 
per 
bene- 
fici- 
ary. 


16.4 
16.2 
11.7 


12.2 

12.8 

8.0 

13.9 

16.8 

14.2 

12.9 

9.7 

7.2 

36.0 

11.2 

8.5 

22. 


Hu- 
mani- 
tarian 
Soci- 
ety. 


1,987 
1,116 
5,869 


Amount  of  benefits  paid 
by- 


Trade 
as.soci- 
ations. 


S565.49 

321.93 

1,532.5*1 


2.5 
1.2 


.2 

.4 

1.2 


1 


d.3 
dlO.3 


d49.7 
""d.3 


11. 3i 
6.4 

22.0 
6.2 

21.2] 
9.7 


16.3 
9.8 


6.6 

27.0 

6. 


965 

4,717 

248 

2,024 

84 

71 

90 

204 

65 

72 

67 

1,587 

397 

226 

685 

44 

66 

318 

29 


■ 


779 
117 


11 

64 

151 


18.  Oi 


18 


24.0- 
16.1 


25.8 


12.0) 


24 
2,997 


11,430 
24 


14.6736,426 


Hu- 
mani- 
tarian 
Soci- 
ety. 


Total. 


S191.70  J757.19 
107.  f9  429. 63 
536.06   2,0(.8.63 


258.43 

1,011.98 

67.10 

614. 63 

16.21 

8.5U 

17.37 

39.37 

14. 07 

13.90 

15.13 

423.91 

91.19 

20. 5o 
123. 82 

8.49 
16. 35 
62.79 

6.  GUI 


88.51 

434.55 

24.  Wl 

195. 90 

8.11 

6. 8.'> 

8.68 

19.69 

6.27 

6.94 

6.46 

152. 6« 

38.31 

20.46 

66.06 

4.25 

6.  OH 

20.84 

2.80 


103.91 
11.87 


1.93 
11.00 
20.26 


2.61) 


3.24 
817.84 


1,372.71 


4.0& 


7,489.49 


36.93 
11.29 


Loal 

6.21 

14.481 


L22 


1.16 
289.21 


1,103.00 
"2."  32 


346.94 

1,446.53 

91.10 

710.51 

24.  as 

15.44 
26.  Of 
69.06 
20.94 

20.84 

21.69 

676.59 

129.50 

41.01 
179.87 
12.74 
22.43 
73.63 
8.40 


140.84 
23.16 


2.99 
16.21 
34.74 


3.83 


4.40 

1,107.05 


2,475.71 
""6.'37 


3,408.7510,898.24 


a  For  1906  and  1907  the  mean  membership  is  given;  for  1908  the  average  for  the  year  is  used. 

^  The  two  lines  for  lx>okbinders  represent  two  different  organizations. 

c  Membership  at  end  of  year. 

d  Based  on  membership  at  end  of  year. 

e  Including  a  duplication  of  25  cases  due  to  benefits  being  paid  by  two  societies  to  the  same  persons. 

/  Including  a  duplication  of  380  days  due  to  benefits  being  paid  by  two  societies  to  the  same  persons. 


CHAPTER  VII. workmen's   INSURANCE   IN   ITALY.  1933 

UNEMPLOYMENT   RELIEF    BY   THE    HUMANITARIAN    SOCIETY   AND    THE    TR\DE 

ASSOCIATIONS  OF  MILAN,  BY  TRADE  ASSOCIATIONS,  1906.  1907,  AND  1908-Concluded. 


Trade  associations. 


1908. 

Printing  trades: 

Compositors 

Printers 

Bookbinders  ( c) 

Lithographers 

Women  m  the  print- 
ing industry 

Stereotj'pers 

Photo-engravers 

Typefounders 

Newspaper  emplovees 

Printing-shop  helpers. 

Printers'  Institute 

Bookbinders  (c) 

Metallurgy: 

Bronze  workers 

Blacksmiths 

Metal  founders 

Ironworkers 

Polishers  and  platers. 

Metal  turners 

Brasiers 

Metal  forgers 

Stone  turners 

Metal  boaters 

Industries  of  precision: 

Chiselers 

Workers  in  fine  me- 
chanical work 

Metal  cutters 

Gold))eaters 

Jewelers 

Textiles: 

Weavers 

•  Ribbon  makers 

Trimmings  makers. . . 

•  Dyers  and  stami)ers . . 
Upholsterers 

Glass: 

Glassworkers 

Glass  fitters 

Glass  decorators 

Leather: 

Workers  in  leather. . . . 

Glove  makers 

Saddlers 

Chemical  industry: 

Chemical  workers 

Soap  and  perfumery 

workers 

Various  industries: 

Hat  makers 

Basket  makers 

Comb  makers 

Gilders  and  vamishers 

Paper  hangers 

Carriage  makers 

Ofiice  employees,  etc.: 

Employees'  union 

Commercial  employ- 
ees  , 

Employees   of  coop- 
erative stores , 


Mem- 
ber- 
ship. 
(«) 


Cases  of  relief  by- 


Total. 


Trade  asso- 
ciations. 


Num- 
ber. 


1,484 

1,051 

616 

644 

415 

72 

63 

175 

122 

% 

320 

120 

237 

210 

650 

390 

284 

602 

24 

79 

267 

85 


87 

70 

17 

60 

111 

1,130 
402 
2191 

424 

70 

250 

1481 

38 

82 
105 
103 

160 

70 

131 

90; 

a& 

250 

12i 

6OI 

487 

160 

199 


Per 
cent 

of 

mem 

ber- 

ship. 


238 

200 

31 

92 

64 


24 


3 

62 
10 

49 


81 
9 


16.04 

19.03 

6.02 

16.91 

13.01 


Hu- 
mao- 
ita- 
rian 
Soci 
ety. 


Days  for  which  benefits 
were  paid  by— 


13.71 


3.13 

19.38 

8.33 

20.68 


14.73 
2. 31 
36J  12.68 
33!     6.57 


28   35.44 
56,  20.60 


18 


(*) 
(*) 
(6) 

(*) 

(*) 
(ft) 

(6) 
(») 

(^) 

(ft) 

(ft) 
(ft) 
(ft) 
(ft) 
(ft) 

(ft) 


20.69     (6) 


(ft) 
(ft) 
(ft) 


.90 


34     3.00 


11 

4 

4& 


2.74 

1.83 

11.56 


9 


12 

12 

2 


3.60 

.68 


(ft) 
(ft) 
(ft) 
(ft) 
(ft) 

(b) 
(ft) 


14.63     (6) 

11.43     (ft) 

1.94     (6) 


8     6.33 


15 


8 


12,64»:  1,20a 


1L45 


n.54 

.40 

3.23 


L85 


4.02 


9.54 


(ft) 
(ft) 

(ft) 

(ft) 

<^) 
(ft) 

(ft) 

(ft) 

(ft) 


Trad^  associa- 
tions. 


Num 
ber. 


9,929 

4,735 

968 

3,304 

1,321 


386 


Aver- 
age 
per 

mem- 
ber 


65 
833 

50i 

376 


2.081 

95 

391 

750 


138 
353 


222 


86 

764 
92 
49 

747 


246 

12 


214 

299 

66 

46 


600 


133 
18 
30 


294 


172 


6.6 
4.5 
L9 
6.1 

3.2 


2.2 


Aver- 
age 
per 

bene- 
fici- 
ary. 


34.9 

21.5 
3L2 
36.9 

24.5 


.7 

2.6 

.4 

L6 


3.8 

.2 

1.4 

1.6 


1.7 
L3 


10.0 


Hu- 
mani- 
tarian 
Soci- 
ety. 


Amount  of  benefits  paid 
by- 


Trade 
associ- 
ations. 


8,327  2,037.80 

4,3121     806.66 

9681     234.08 

2,954;     785.32 


Hu- 
mani- 
tarian 
Soci- 
ety. 


TotaL 


1,321     141.14 


73L55  2,769.-35 

388.  50j  1,195.16 

94. 091  34&  17 

285.06]  1,07a  38 

j 

127.48  268.  C2 


21. 

13.4 
6.0 

7.7 


I 


i^ 


385       92.  m      37.07;       129.23 


23.3 

10.6 
10.9 
22.7 


2.6 


.7 

.2 

.2 

L8 


4.9 
6.4 


65j  6.27 

833  166.07 

50;  7. 34 

I 

370!  103.74 


6.27 

42.78, 

5.40 

36.61 


12.54 

208.85 

12.74 

139.35 


1,885  647.24 

95  18. 33 

391 !  75.46 

750;  192. 03 


211.98 

9.17 

37.73 

70.64 


138       38. 98| 
353     101. 62 


12.3 


36.0 

22.5 

8.4 
12.3 
15.2 


1.0     27.2 
12.0 


2.6 

2.8 

.6 

.3 


3.8 


6.1 
"'."2 


.9 


(ft)     29,713       2.3 


222- 


36 

764 
92 
49 

747 


13.32 
34.06 


246 
12 


33.58, 


10.42 

181. 18 

10.  OS" 

9.55 

219.33 


2L43 


3.48 

73.731 

8.44 

4.73 

7218 


859.22 

27.50 

113. 19 

262-61 


62.30 
135.  C8 


17.81 
24. 9 
33.0 

6.8 


70.931 

2.31; 


23.06 
1.16 


33.3 


44.3 

18.0 
7.5 


32.7 


214 

299 
66 

46 


500 


133 

18 
30 


294 


21.5: 


172 


5S.58 
49.22 
19.11 

8.11 


55.01 


13.90 

264.91 
24.52 
14.28 

29L51 


93.99 
3.47 


64.94 


20.84 

24.39 

6.37 

4.44 


28.81 


25.671  1Z83 
2. 41  1.  22 
S.m        2.80 


62.63       28.37 


33.19 


16.60 


79.42 
73.61 
26.48 

12.66 


93.75 


38.50 
3.63 
8.69 


9a  90 


49.79 


:i' 


22. 5|  27,136  6,347. 18|2, 486. 68j  8,832.86 


a  For  1906  and  1907  the  mean  membership  is  given;  for  1908  the  average  for  the  j-ear  is  used 
»  X^ot  rex)oi  ted.  c  The  two  lines  for  bookbinders  represent  different  organisations. 


1934 


KEPOET  OF   THE   COMMISSIONER  OF   LABOR. 


PROPOSED  GOVERNMENTAL  UNEMPLOYMENT  INSTmANCE. 


On  June  16, 1910,  a  bill  was  introduced  in  the  Chamber  cf  Deputies 
by  the  minister  of  the  interior  for  the  organization  of  a  system  of  state 
insurance  against  unemployment,  on  the  Ghent  plan.  The  bill  pro- 
posed only  the  first  steps  in  that  direction,  through  an  appropriation 
of  100,000  lire  ($19,300)  to  be  used  in  subsidizing  workmen's  unem- 
ployment insurance  organizations. 

In  a  comprehensive  report  accompanying  this  bill  the  general 
problem  of  unemplo3Tnent  was  discussed  and  the  various  methods  of 
rehef  suggested  were  compared. 

The  bill,  which  is  very  brief,  proposes  the  appropriation  of  100,000 
lire  ($19,300)  for  the  fiscal  year  1910-11,  to  be  administered  by  the 
minister  of  agriculture,  industry,  and  commerce  for  the  purpose  of 
granting  subsidies  to  labor  organizations  which  grant  unemployment 
relief.  Only  the  following  few  requirements  are  specified  in  tlie  bill: 
(1)  That  the  unemployment  relief  granted  by  these  organizations  bo 
based  entirely,  or  at  least  partly,  upon  the  principle  of- saving,  i.  e., 
that  the  organizations  should  not  be  purely  charitable  and  should 
receive  a  part  or  the  whole  of  their  revenues  from  meml)ersliip  con- 
tributions. (2)  That  a  definite  length  of  membership  be  required 
before  relief  is  granted,  so  that  workmen  would  not  join  these  organi- 
zations only  at  the  time  when  relief  is  needed.  (3)  That  the  sub- 
sidized persons  be  able-bodied  workmen.  This,  according  to  tho 
memorandum  accompanying  the  bill,  is  intended  to  exclude  the  sick, 
the  injured,  the  aged,  the  invalid,  and  women  after  childbirth,  for 
all  of  which  groups  special  provision  either  exists  alrea<ly  or  is  con- 
templated, and  should  be  made  upon  very  different  principles.  (4) 
That  only  persons  unemployed  against  their  will  be  permitted  to  get 
relief;  this  is  to  exclude:  Strikers,  as  the  State  can  not  grant  strike 
benefits  under  the  principle  of  state  neutrality  in  industrial  conflicts; 
persons  voluntarily  leaving  their  employment  for  any  reasons  what- 
soever; shirkers,  who  for  any  reason  do  not  care  to  make  the  neces- 
sary effort  to  obtain  or  retain  employment,  or  persons  discharged  for 
some  fault.  (5)  Finally,  that  the  state  subsidy  be  not  granted  to 
persons  in  seasonal  trades  during  the  period  of  such  seasonal  unem- 
ployment. 

The  details  of  administration  of  this  act  are  not  prescribed  in  the 
bill,  but  left  to  an  administrative  regulation  to  be  issued  by  royal 
decree,  after  consultation  with  the  superior  coimcil  of  labor  and  the 
council  of  providence. 

The  bill  was  passed  by  the  Chamber  of  Deputies  ahnost  without 
discussion.  In  the  Senjite  it  was  referred  to  the  central  committee, 
which  brought  in  an  unfav^orable  report  on  July  7,  1910. (") 

a  Bollettino  dell'  Ufficio  del  Lavoro,  Vol.  XV,  January,  lUll. 


'4 
\ 


CHAPTER  VII. — workmen's  INSUKANCE  IN   ITALY.  1935 

RAILROAD  PENSION  AND  MUTUAL  AID  INSTITUTIONS. 

INTaODtJCTION. 

The  most  important  example  of  compulsory  old-age  and  invalidity 
msurance  in  Italy  is  furnished  by  the  State  Raiboad  Employees' 
Pension  and  Aid  System  (/Z  servizio  delle  pensioni  e  del  sussedi),  now 
regidated  by  the  law  of  July  9,  1908,  and  the  royal  decree  of  April  22, 
1909,  codifying  this  law,  together  with  various  preceding  decrees- 
But  though  the  legislation  above  mentioned  is  of  recent  origin, 
various  provisions  and  institutions  for  pensions  and  mutual  aid  have 
existed  in  the  Italian  railroads  for  nearly  50  years.  The  present  sys- 
tem is  a  direct  outgrowth  of  these  earlier  beginnings.  It  follows  these 
to  a  very  great  extent,  and  can  not  be  understood  without  a  historical 
account  of  their  origin  and  development. 

The  growth  of  the  Italian  railroad  system  did  not  assume  any  con- 
siderable proportion  until  toward  the  end  of  the  eighties,  as  appears 
from  the  following  statement: 

Miles. 
December  31,  1871 ^ 3  9^0 

December  31,  1880 ]  5'  4x4 

December  31,  1890 s'  170 

December  31,  1900 9'  gyo 

June  30,  1907 ............[]  lo!  711 

Since  1885  a  very  large  proportion  of  the  Italian  railroad  mileage 
has  been  owned  by  the  State,  as  is  shown  by  the  following  data. 
referring  to  June  30,  1907: 

Railroads  owned  by —  uoss 

The  State g  054 

Private  companies 2  352 

Jointly  by  the  State  and  private  companies 105 

Total X0,711 

While  the  Italian  railroad  mileage  equaled  only  4.5  per  cent  of  the 
American  system  on  the  same  date,  the  personnel  of  the  Italian 
service  is  larger  than  the  above  proportion  of  mileage  would  indicate. 
Unfortunately,  for  the  entu-e  Italian  railroad  system,  no  data  later 
than  for  1903  are  available,  but  for  the  state-operated  railroads, 
the  number  of  employees  on  June  30,  1906,  was  118,815,  and  on  June 
30,  1907,  134,611,  so  that  the  total  number  of  employees  must  exceed 
150,000.  The  total  number  of  emplo^^ees  for  1891  to  1903,  and  the 
total  and  average  remuneration,  including  the  entire  contribution 
by  the  railroads  for  the  benefit  of  the  employees,  are  shown  in  the 
table  following: 

For  the  year  1903  detailed  information  is  given  for  the  three  main 
railroad  systems  and  for  otlier  railroads  existing  in  that  year.  This 
shov/s  that  three  large  railroad  systems,  which  included  in  1903 
7,960  miles,  or  less  than  75  per  cent,  claimed  over  90  per  cent  of  the 


1936 


EEPORT  OF   THE  COMMISSIOl^  ER  OF  LABOR. 


employees.  The  salaries  were  considerably  higher  on  these  three 
roads  than  for  the  smaller  roads,  and  the  total  contributions  for  the 
benefit  of  the  employees  of  the  smaller  roads  were  very  small,  since 
these  smaller  roads  do  not  have  any  organized  provident  institutions. 

NUMBER    OF    EMPLOYEES,    SALARIES,    AND    CONTRIBUTIONS    OF    RAILROADS    TO 

BENEFIT  INSTITUTIONS,  1891  TO  1903. 

[Source:  Annuario  Statistico  Italiano,  1905-1907.    Vol.  II.] 


Year. 


Number 
of  em- 
ployees. 


1891. 
1892. 
1893. 
1894. 
1895. 
1890. 
1897. 
1898. 
1899. 
1900. 
1901. 
1902. 
1903- 


Saliwies  paid. 


Amount. 


Mediterranean    rail- 
road   

Adriatic  railroad 

Sicilian  railroad 


Total.. 
All  other. 


98,180 

96,573 

96,873 

96,924 

93,550 

96,801 

101,065 

101,110 

101,871 

ia5,372 

108,690 

111,271 


52,500 

44,437 

6,460 


Aver- 
age per 

em- 
ployee. 


Contributions  of  railroads 
to  benefit  institutions. 


Total  salaries  and 
contril  lutions  to 
benefit  institu- 
tions. 


$•22,262,387 
21,845,473 
21,907,168 
22,054,087 
22,454,024 
22,816,100 
23, 529, 483 
23,452,256 
24,020,649 
24,726,268 
25,522,854 
26,548,146 


13,338,735 

11,06?, 298 
1,432,119 


103,397 
9,297 


$226.75 
226.21 
226.14 
227.54 
240.02 
235.  70 
232.81 
231.  95 
235.79 
234.66 
234.  82 
238.59 


254. 07 
249. 39 

221.  69 


Amoimt. 


25,853,152 
1,710,631 


Grand  total,  1903 . . . 


112,694 


27,563,783 


$813,468 
833,544 
839.152 
828,713 
849.  .'iS? 
839, 318 
872,808 
866,735 
86.5,695 

1,007.209 
99<1,422 

1,340,459 


617,048 
715,;i09 

78,682 


Per 
cent  of 
salary. 


Aver- 
age per 

em- 
ployee. 


2.50.04 
184.00 


244.  59 


1,411.039 

40,582 


3.65 
3.82 
3.83 
3.76 
3.78 
3.68 
3.71 
3.69 
3.60 
4.07 
3.90 
5.05 


4.63 
6.45 
5.49 


1,451,621 


5.46 
2.37 


$8.29 
8.63 
8.66 
8.55 
9.08 
8.67 
8.64 
8.57 
8.50 
9.56 
9.17 

12.05 


11.75 
16.10 
12.18 


Amount. 


$23,075,865 
22,679,017 
22,746,320 
2^2, 882, 800 
23,303,561 
2:3,655,418 
24,402,291 
24,318,991 
24,886,344 
25,733,477 
26,519,276 
27,888,605 


13,965,783 

11,797,607 

1,510,801 


Aver- 
age per 

em- 
ployee. 


13.65 
4.37 


5.27 


12.88 


27,264,191 
1,751,213 


29,015, <04 


$235.  04 
234.84 
234.80 
236  09 
249  10 
244.  37 
241.45 
240  52 
244.29 
244.22 
243.99 
25a  64 


266.  82 
265.49 
233.  87 


263.68 
188.36 


257.47 


Since  1905  the  Itahan  Government  has  operated  not  only  all  the 
railroads  it  owns,  but  also  some  which  are  the  property  of  private 
owners.  Of  the  entire  railroad  net  of  10,711  miles  on  June  30,  1907, 
8,699  miles,  or  over  four-fifths,  were  operated  by  the  State  and  only 
2,012  miles  by  private  companies. 

ORGANIZATION    OF   PROVIDENT   INSTITUTIONS. 

In  1885,  before  the  nationalization  of  most  Itahan  railroads  took 
place,  there  existed  in  Italy  four  large  railroad  systems:  The  Upper 
Itahan  (Ferrovie  Alta  Italia),  the  Soutliern  {Ferrovie  Meridionali), 
the  Roman  (Ferrovie  Eomane),  and  the  Calabrian  SiciUan  {Fen^ovie 
(Mlahro-Sicuh) . 


t 


I 


t 


CHAPTER  VII. workmen's  INSURANCE  IN   ITALY.  1937 

Within  the  20  years,  1860  to  1880,  pension  funds  and  mutual  aid 
associations  were  organized  for  each  one  of  these  four  railroad  systems 

as  follows : 

DATE    OF    ORGANIZATION    OF    RAILROAD     PENSION     FUNDS    AND    MUTUAL  AID 

SOCIETIES. 

{Furnislxed  by  the  director  of  the  Office  of  Social  Insurance,  Rome.] 


Pension  funds. 


Alta  Italia. . . . 
Meridionali. . . 

Romane 

C^abro-Sicule 


Date  of 
organization. 


Mutual  aid  societies. 


Jan.  1,1862 

July  1,1869 

Jan.  1,1871 

Jan.  1,1880 


Meridionali... 
Alta  Italia. . .. 

Romane 

Calabro-Sicule 


Date  of 
organization. 


July  1,1  W9 

Jan.  1,1870 

Jan.  1,1879 

Feb.  1,1880 


While  there  were  certain  differences  between  the  respective  funds 
of  the  different  railroads,  such  as  relating  to  the  amount  of  contribu- 
tions, pensions,  subsidies,  conditions  of  membership,  etc.,  yet  these 
two  groups  of  funds  belonged  to  two  well-defined  types.  The  purpose 
of  the  pension  funds  w^as  to  grant  pensions  (annuities)  to  the  em- 
ployees for  old-age  and  ordinary  invalidity,  exceptional  (increased) 
pensions  for  invaUdity  due  to  some  injury  sustained  in  service,  pen- 
sions to  widows  and  orphans,  and  lump-sum  benefits  to  the  members 
or  their  families  in  case  all  the  requirements  for  pensions  were  not 
complied  with. 

The  mutual  aid  society  rather  belonged  to  the  type  of  sick  benefit 
funds.  Their  purpose  included  medical  care  and  treatment,  cost  of 
medicines  and  appHances,  sick  benefits,  funeral  benefits,  but  also 
invaUdity  pensions  in  case  of  complete  disability,  and  small  lump- 
sum death  benefits.  The  two  different  forms  of  mutual  provision 
were  shaped  to  the  needs  of  the  two  classes  of  employees.  The 
liigher  grades  of  employees  held  membership  in  the  pension  funds, 
while  those  of  the  lower  grades  were  inscribed  in  the  mutual  aid 
societies,  in  which  both  contributions  and  benefits  were  lower,  but 
which  also  provided  a  system  of  sick  insurance,  for  which  a  greater 
need  is  felt  among  the  lower  grades  of  employees. 

The  funds  of  the  Upper  Italian  Railway  presented  an  important 
exception  to  the  rule  in  that  most  of  its  employees  belonged  both  to 
the  pension  fund  and  to  the  mutual  benefit  society. 

In  all  funds  and  societies  membership  was  compulsor3"  for  all  per- 
manently employed,  and  all  these  funds  and  societies  were  subsidized 
by  the  railroad  companies  to  a  considerable  extent. 

In  August,  1875,  the  upper  Italian  railroad  system,  the  largest  of 
the  four,  was  purchased  by  the  Government,  and  as  the  movement 
for  the  government  ownership  of  the  railroads  gained  headway  dur- 
ing the  following  10  years,  the  Itahan  Government  acquired  owner- 
ship of  most  Italian  railroads  by  the  law  of  April  27,  1885.  The 
entire  network  of  government  railroads  was  divided  into  tliree  sys- 


1938 


REPORT  OF   THE   COMMISSIONS' ER  OF  LABOR. 


terns,  the  Mediterranean  and  the  Adriatic  systems  on  the  mainland, 
and  the  Sicihan  system  on  the  island,  and  these  three  systems  wer« 
leased  for  operation  to  three  private  corporations  for  6()  years  with 
reserved  right  to  cancel  the  leases  after  20  years. 

REORGANIZATION   OF   PROVIDENT    INSTITUTIONS. 

In  accordance  with  thus  reorganization  of  ( he  railroads,  a  correspond- 
ing  reorganization  of  the  pension  funds  and  benefit  societies  was 
thought  necessary  and  was  ordered  by  the  law  of  April  27   1,885  (") 
which  required  a  pension  fund  and  a  mutual  benefit  society  for  each 
of  the  three  new  operating  companies,  and  uniform  constitutions  and 
by-laws  for  these  funds  and  societies.     The  reorganization  was  not 
effected  without  some  delay,  provisional  uniform  constitutions  going 
mto  effect  on  January  1,  1890.     The  essential  feature  of  both  the 
pension  and  the  mutual  benefit  funds  was  their  mutual  character 
combined  with  the  absence  of  strict  actuarial  rules.    The  contribu- 
tions made  by  and  for  the  many  members  were  paid  into  a  common 
fund,  from  wluch  payments  of  pensions  and  benefits  were  made,  and 
the  amounts  of  pensions  and  benefits  were  dependent  upon  the  length 
of  service  and  the  salary  toward  the  end  of  t  he  service  rather  than  the 
amounts  paid  m  by  the  member.     Under  such  circumstances  diffi- 
culties were  bound  to  arise  as  soon  as  obligations  began  to  mature. 
Ihe  balance  sheets  began  to  show  large  deficits  and  a  law  was 
passed  by  the  ParUament  and  approved  on  August  15,  1897  which 
ordered  a  reorganization  of  the  funds.f)     This  act  ordered  that  the 
activity  of  the  existing  pension  funds  and  mutual  benefit  societies  be 
limited  to  persons  in  service  on  December  31,  1896,  an.l  that  for 
employees  entering  the  railroad  service  since  January  1,  1897   new 
provident  institutions  be  organized  not  later  than  January  1   'l898 
ay  this  act  the  Government  was  also  ordered  to  introduce,  within  six 
months  a  bill  mto  Pariiament  for  the  better  regulation  of  the  existing 
railroad  pension  funds  and  mutual  benefit  societies. 

Meanwhile,  to  counteract  the  effect  of  the  deficits  of  the  pension 
funds  and  the  mutual  benefit  societies,  the  Government  was  forced  to 
establish  by  this  act  a  small  surtax  upon  passenger  and  freight  rates 
for  tlie  benefit  of  the  funds,  as  follows:  For  through  trains,  5  per  cent 
upon  passenger  tickets  for  distances  over  20  but  under  30  kilometers 
(over  12.4  but  under  18.6  miles),  and  10  per  cent  for  distances  of  30 
kilometers  (18.6  miles)  and  over,  and  for  mixed  and  accommodation 
trains  1  per  cent  for  all  distances  over  20  miles,  and  for  the  freight 

"  Raccolta  Uffieiale  delle  Legsi  c  dei  Decreti  del  E.^.no  d'  Italia  im''^7l 
^  ^^Raocolta  Uffieiale  delle  Leggi  e  dei  Decreti  de^Regno  d'iklL    1897,  vol.  3. 


CHAPTER  VII.— WORKMEN 'S   INSURANCE   IN   ITALY.  1939 

rate  a  surcharge  of  10  centesimi  (1.9  cents)  per  ton  for  each  loading 
or  unloading.  These  provisions  of  the  law  were  ordered  to  go  kito 
effect  three  months  after  publication  (August  26,  1897)  for  internal 
communication  and  commerce,  and  five  months  after  publication  for 
international  communication  and  commerce,  to  remain  in  force  only 
until  December  31,  1898;  but  to  be  abolished  after  sLx  months  it 
within  that  time  the  Government  should  fail  to  introduce  a  bill  for  the 
regulation  of  the  existing  pension  institutions.  It  was  found  neces- 
sary subsequently  to  extend  the  action  of  this  special  surtax  by 
repeated  enactments  to  March  31,  1900.(°) 

The  law  of  March  29,  1900,0  which  established  definite  legislation 
concerning  the  old  as  well  as  the  new  provident  institutions,  substi- 
tuted other  more  or  less  permanent  sources  of  revenue  for  the  coverinor 
of  old  deficits.  The  conditions  of  the  act  of  1897  were  complied  with'' 
and  on  March  29,  1900,  the  law  creating  the  new  provident  institu- 
tions, establishmg  certain  new  regulations  for  the  existing  pension 
funds  and  mutual  benefit  societies,  and  providing  for  new  sources  of 
revenue  to  cover  old  deficits,  was  finally  approved  by  the  Crown 

The  mmister  of  public  works  was  ordered  to  ascertain,  witlun  one 
year,  the  amounts  of  deficits  of  the  pension  funds  and  miitual  benefit 
societies  of  the  four  large  railroad  systems  on  June  30,  1885,  according 
to  all  obligations  assumed  and  also  the  deficits  of  the  existing  three 
funds  and  societies  on  the  date  of  the  adoption  of  the  new  constitu- 
tions the  old  deficits  to  be  made  good  by  the  State,  while  the  new 
deficits  were  to  be  met  by  the  operating  societies  according  to  the  law 
of  August  15,  1897.  To  meet  these  ohl  deficits  of  June  30,  1885  the 
foUowmg  new  taxes  were  created  by  the  law  for  the  government 'raU- 
roads  operated  by  the  three  corporations.  An  increase  of  the  surtax 
upon  fast  freight  rates  from  13  to  16  per  cent,  and  upon  slow  freight 

M    ',  Ton  n    ^-  P""  ''°*-     '^^^  *''-^  ^  "^^  ""-^^^^d  t°  ^«  into  «ff«ct  on 
Alay  1 , 1 900  (for  international  trade  five  montlis  later) .     The  proceeds 

were  required  to  be  deposited  with  the  State  Loan  and  Deposit  Bank 
to  be  distributed  among  the  existing  funds  and  societies  according 
to  the  same  rules  wliich  were  applicable  to  the  redistribution  of  the 
assets  of  the  old  pension  funds  and  mutual  benefit  societies  amon- 
tlie  new  ones  organized  in  1885.  " 

The  new  regulations  for  pension  funds  and  mutual  benefit  societies 
will  be  discussed  more  fully  in  connection  with  a  detailed  analvsis 
of  the  constitutions.  Briefly,  they  conferred  the  right  to  a  pension 
a^he  age  of  60  and  after  30  years  of  membership  for  sedentary 

"  Raccolta  Uffieiale  delle  Leggi  e  dei  De<rcti  del  Regno  d' Italia    1898    vol    <l 
3;p  fois     '••  '''''  '"'•  -''  "■  ''''-'  '"'••  '"''•  ''''■  2'  P-  ''''•   >^M     1899   voi: 
^  6^Raccolta  Uffieiale  delle   Leggi  e  dei  Docreti  del   Regno  d' Italia,  1900,  vol.  1. 


1940 


REPORT   OF   THE   COMMISSIONER   OF   LABOR. 


occupations,  and  at  the  age  of  55,  after  25  years  of  membership,  for 
active  occupations;  invalidity  pensions  after  10  years  of  membership, 
this  qualification  being  waived  in  case  of  invaUdity  due  to  injury; 
and  regulated  the  pensions  of  widows  and  orphans.  Concerning  the 
mutual  benefit  societies,  the  main  provisions  which  the  law  estab- 
lished were  the  prohibition  of  pensions  to  survivors  of  members  and 
the  prohibition  of  any  sick  benefits  during  the  first  five  days  of  illness. 
The  organization  of  a  commission,  including  representatives  of  the 
Government,  the  railroads,  and  the  members  of  these  institutions, 
was  ordered  for  the  preparation  of  new  constitutions,  to  be  uniform 
for  all  pension  funds  and  for  all  mutual  benefit  societies,  this  com- 
mission to  determine  the  necessary  revenues  to  correspond  to  the 
assumed  obligations.  The  law  also  requiro<l  that  at  the  expiration 
of  a  period  of  the  contract  for  operation  of  the  railways  a  technical 
balance  be  struck  and  the  ascertained  amount  of  deficit  be  charged 
to  the  operating  society. 

Kegulations  for  the  new  provident  institutions  form  the  main  part 
of  the  law  of  March  29,  1900.     Such  institutions  were  ordered  to  be 
organized  within  six  months  after  the  promulgation  of  the  law,  to 
include  all  einployees  who  entered  railway  service  after  January  1, 
1897.     The  essential  difference  between  the  new  provident  inijtitu- 
tions  and  the  old  funds  and  societies  is  the  introduction  of  the  sys- 
tem of  individual  accounts.     Two  sections  were  organized  in  each 
provident  institution,  one  corresponding  to  the  pension  fund  and  the 
other  to  the  mutual  benefit  society.     The  membership  in  the  first 
section  was  compulsory  to  employees  receiving  annual  or  monthly 
salaries;  in  the  second  section,  to  employees  paid  a  daily  wage.     The 
sources  of  revenue — i.  e.,  the  contributions  of   the   members    and 
of  the  railroad  companies  and  the  subsidiar}  sources — were  practically 
the  same  for  the  two  sections,  but  the  main  revenues  were  credited 
to  individual  accounts,  which  were  to  form  the  basis  of  the  pensions 
or  lump  sum-benefits,  wliile  the  other  revenues  were  paid  into  a  col- 
lective fund  and  were  to  be  used  for  special  increased  pensions,  etc. 
The  second  section,  similar  to  the  mutual  benefit  society,  also  renders 
medical  and  pharmaceutical  service  and  grants  sick  benefits  to  its 
members.     The  constitutions  of  these  provident  institutions  were 
approved  by  the  royal  decree  of  January  31,  1901. 

The  constitutions  of  all  these  three  sets  of  institutions  were  modi- 
fied several  times  during  the  last  decade,  though  the  modifications 
were  slight.  As  the  laws  of  1897  and  11M)0,  besides  requiring  the 
organization  of  the  new  provident  institutions,  also  established  cer- 
tain new  conditions  of  administration  for  the  old  existmg  institutions, 
namely,  the  participation  of  the  members  in  the  administration 
hitherto  entirely  left  to  the  railroad  companies,  and  also  a  certain 


CHAPTER  VIL— WORKMEN'S  INSURANCE   IN  ITALY.  1^41 

degree  of  governmental  control,  new  constitutions  embod>dn<.  these 
changes  were  approved  by  the  royal  decree  of  August  2   10^^ 
th    T.  1      ^T""^"  operation  of  the  railroads  pix>ved  ui;satisfactorv 
the  Itahan  Government  decided  to  take  advant^age  of  the  twenty-^e^ 
dause  m  the  lease,  aiid  the  operation  of  the  main  raihx>ad  sUt^^ 

Tl^'^'t '"  '""V^  '"^'^  ^  conformance  with  the  law  olpS 
22,  190o  ^ew  constitutions  embodying  only  minor  changes  we^ 
approved  by  royal  decree  of  March  17,  1907, Vor  the  JZonfunZ 
ZlrByt^rlf-'^  as  weU  as  for  tl.  neJ^J^^^l^ 

tlJV«?r  t'^^^T'^^  "moreover,  that  in  view  of  the  consolidation  of 
the  railroads  under  the  unified  administration  by  the  State  the^ 
was  no  necessity  for  three  separate  institutions  of'^each  oite  ^ 
gi^ups,  and  one  week  after  the  new  constitutions  were  approved  7^ 
aw  of  March  24,  1907,  ordered  their  consolidation  into  one  i2s  oo 
fund  one  mutual  benefit  society,  and  one  provident  i^tSon 
Constitutions  of  these  three  unified  institutioL  wei^  ap^ved T; 
the  royal  decree  of  May  23,  1907.  approved  by 

The  entire  sy  stem  was  radicaUy  changed  by  the  law  of  July  9  1908 
which  amied  to  reduce  the  differences  of  treatment  of  e^loSS 
of  different  groups.  The  law  pr^cribed  a  unified  systeHf  L^ 
^omng,  which  was  worked  out  in  a  codification  of  the  kw^dth  rnL 
of  the  provisions  m  the  constitutions  of  the  thi^  corolidX! 
mstitutions,  published  by  royal  decree  of  April  22,1^9.  T^ 
^  ti^is  law  the  three  institutions  ceased  to  exist  on  DeceX  31 
1908,  and  the  new  system  was  introduced  on  January  1,  190^  ' 

STATE  RAILEOAD  PENSION  FUND. 

pn^dnliontfn''  "  w'""*  '"'P.'"'**''*  "^  '^'  thi^e  because  the 
Eu  „f  ft  '*^°^'""^'^t'«'^  ^««  <^ioseW  followed  in  ekbomting  the 
deta  s  of  the  existmg  pension  system,  in  which  the  membership  ?f  «U 
the  three  mstitutions  was  merged.  ^ 

The  purpose  and  scope  of  the^pension  fund  was  the  grantin-  of  old- 
age  and  mvahd,t.v  pensions  to  its  members,  pensions^to  wilws  and 

orphansofdeceasedmembers,lump-sum  benefits  tomembez^orSows 
ana  orphans  m  cases  in  which  a  right  to  a  pension  had  noTbern 
acquired,  and  in  addition  the  fund  assumed  'the  adnlistrTt In  of 
accident  insurance  in  compliance  with  the  general  laws  ^vcmii^ 
such  insurance.  t,"^frning 

The  fund  was  specially  designed  for  the  employees  of  the  state  rail 
way  system;  within  that  system  is  included  the  altual  operat  n!  f^r^ 
and  the  clerical  force,  but  not  the  working  force  of  the  rEa^?!!  "T 

Membership  in  the  fund  was  restricted  to  such  persons  J  S 
membership  in  one  of  the  three  pension  funds  on  December  31   1896 


1942 


REPORT  OF  THE  COMMISSIONER  OF  LABOR. 


including,  as  was  explained  above,  mainly  salaried  em])loyees  and 
such  persons  who  were  on  that  'date  members  of  a  mutual  benefit 
society  and  later  became  entitled  to  membership  in  the  pension  fund 
by  promotion  to  a  higher  position. 

The  pension  fund  took  care  of  ordinary  superannuation,  as  well  as 
of  ordinary  invalidity  at  an  early  age,  providing  special  benefits  for 
invalidity  due  to  occupational  diseases  or  to  miasmatic  fevers;  it 
granted  pensions  to  survivors  in  case  of  death  of  either  a  member  or  a 
pensioner. 

Regular  superannuation  pensions  were  payable  to  members  who 
retired  from  the  service,  either  by  their  own  request  or  by  the  decision 
of  the  administration,  after  attaining  60  years  of  age  and  after  30 
years  of  membership  in  the  fund,  in  case  of  sedentary  occupations, 
or  after  attaining  55  years  of  age  and  after  25  years  of  membership  in 
case  of  so-called  active  occupations,  whi<*h  include  in  general  the 
train  service,  yard  service,  and  station  service.  Employees  of  either 
group  may  demand  a  pension  at  the  age  of  55  and  after  25  years  of 
membership,  provided  they  have  had  15  years  of  actual  service. 

Invalidity  pensions  were  payable  at  any  age,  when  such  invalidity 
had  been  established,  provided  it  was  preceded  by  10  years  of  mem- 
bership in  the  fund.  This  condition  was  waived  when  invalidity  was 
due  to  an  injury  or  other  lesion  acquired  through  the  service,  or  to 
some  miasmatic  fever,  caught  in  consequence  of  the  service  in  an 
infected  locality. 

If  members  of  10  years  standing  were  separated  from  the  service  by 
the  railroad  administration  without  any  fault  of  their  own,  they  may 
be  permitted  by  the  administration  of  the  fund  to  retain  their  mem- 
bership in  the  fund,  contributing  according  to  the  last  salary,  the  rail- 
road making  the  regular  8  per  cent  contribution.  In  such  cases 
families  retain  the  same  rights  as  if  the  person  had  been  in  the  s(irvice. 

In  addition  to  the  pensions  to  members,  pensions  were  paid  to 
widows  and  children  of  deceased  members  or  pensioners  as  explained 
below. 

BENEFITS. 

As  was  pointed  out  above,  the  chief  characteristic  of  tliese  pension 
funds  was  the  absence  of  any  strict  dependence  between  a  member's 
accumulated  contributions  and  his  pensions. 

Normal  pensions,  which  may  be  termed  ])lain  superannuation  pen- 
sions, were  liquidated  on  a  basis  of  3  per  cent  of  the  accumulated 
earnings  of  the  members  from  whom  deductions  were  made,  to  which 
are  added  one-twelfth  of  each  increase  in  salary  during  the  time. 
The  actual  annual  pension  was  equal  to  nine-tenths  of  this  computed 
amount,  with  a  minimum  of  300  lire  ($57.90)  and  a  maximum  of 
8,000  lire  ($1,544).     This,  in  case  of  a  complete  25  years'  membership, 


CHAPTER  VII.— workmen's   INSURANCE   IN   ITAiY.  1943 

would  give  a  pension  of  over  75  per  cent  of  the  average  annual  salary 
In  ca^e  of  premature  invahdity  due  to  some  injury  or  disease  received 
m  the  service,  or  to  a  miasmatic  fever,  the  pension  fund  was  even 
more  hberal.  In  such  cases  the  pension  was  computed  on  a  basis  of 
25year^of  membership,  no  matter  how  long  or  short  it  actually  was 
and  for  such  purposes  the  last  year's  salary  was  assumed  for  all 
missing  years. 

The  amount  of  pensions  to  widows  and  orphans  depended  upon  the 
amount  of  the  pension  which  the  deceased  member  was  receiving,  or 
to  which  he  would  have  been  entitled  if  he  had  left  the  service  on  the 
day  of  his  death. 

The  amounts  of  these  pensions  were  proportionately  very  hi^h 
namely  50  per  cent  of  the  original  pension  if  the  widow  alone^r- 
vived;  65  per  cent  if  she  had  any  mmor  children;  if  in  addition 
mmor  children  of  the  deceased  by  a  previous  marriage  survived 
the  65  per  cent  was  divided  among  all  the  survivors,  giving  the 
widow  two  shares,  and  not  less  than  25  per  cent.  The  widow's 
pension  was  paid  until  remarriage,  and  the  children's  pension  until 
they  were  of  age,  or  in  case  of  female  children  until  marriage,  if  that 
took  place  before  they  became  of  age. 

If  a  member  of  the  fund  was  forced  to  give  up  his  position,  either 
because  of  invalidity  or  of  the  abolition  of  his  position  before  he  had 
acquired  the  right  to  a  pension,  he  received  a  benefit  in  the  nature 
of  one  payment  equal  to  3  per  cent  of  his  total  salary.  A  propor- 
tionate amount  according  to  the  pension  regulations  was  granted  to 
the  widow  and  chddren  of  a  deceased  member  who  died  before 
acquiring  the  right  to  a  pension.  If  minor  children,  but  no  widow 
survived,  they  received  50  per  cent  of  the  computed  amount  divided 
equally  among  all  those  surviving  or  still  entitled  to  a  pension  because 

1        \  Tr^^'     ^^  ^""^^  ^^"  ^^^^  ^^^^  remained  he  received  25 
per  cent  of  the  computed  amount. 

Thus,  with  a  few  minor  exceptions,  the  pension  fund  provided  very 
SlSsTf  tt^^^^^^^^^  -'-''''  ^^^  superannuation  age  anj 

on!  rtVeMT-f  ?'  ^T'^"'  '^'  P'^^^"^  ^^^^^^  ^^«  ^  contributory 
one  (the  contributions  being  very  high  as  will  appear  in  the  following 

section)  It  seemed  to  be  somewhat  of  a  drawback  that  the  peS 

nghts  were  los     altogether  by  resignation  or  dismissal  from     he 

service,  except  m  the  cases  of  persons  in  the  employ  of  raLaS 

subsequently  acquired  by  the  State,  who  lost  their  positiL  at  the  t^ 

tlZn:^1Z^^^^  ^'^^  ''''''  ^^'  -^^  -^^^^  -^-  --^-hip  in 

wit^ft  It  ""^  ^^'   r^^^  ^^  f  P"^'^^^  ^^"^^"^^  ^^  resignation  carried 
With  It  a  correspondmg  total  loss  to  the  widow  and  cWldren,  while  in 

67725°— VOL  2-11 29 


1944 


KEPOBT  OF  THE   COMMISSIONER  OF   LABOR. 


i' 


ik»» 


case  of  dismissal  the  wife  and  minor  children  were  treated  .under  the 
same  rules  as  in  case  of  death  of  the  employee. 

While  all  invahdity,  whether  or  not  due  to  industrial  accidents, 
gave  the  right  to  a  pension,  a  certain  number  of  the  employees 
insured  in  the  fund  come  under  the  provisions  of  the  accident  com- 
pensation law,  and  therefore  special  provisions  were  included  in  the 
constitution  for  the  purpose  of  adjusting  these  two  rights  and  prevent- 
ing double  compensation  for  accidents.  In  general  thesp  provisions 
may  be  summarized  as  follows:  That  in  so  far  as  the  railroad  admin- 
istration had  not  otherwise  provided  for  tlieir  accident  insurance,  the 
pension  fund  acted  as  the  agent  of  the  railroad  administration  for 
payment  of  compensation ;  of  the  two  amounts,  that  due  to  him  as  a 
member  of  the  pension  fund  and  that  due  under  the  accident  com- 
pensation law,  the  larger  was  paid  to  the  injured  employee  or  to  his 
survivors,  the  distribution  being  made  according  to  the  provisions 
of  the  accident  law;  on  the  other  hand  the  railroad  administration 
was  required  to  pay  to  the  pension  fund  tlie  amount  of  compensation 
due  under  the  accident  law. 

SOUIICES   OF  INCOME. 

All  of  the  assets  of  the  three  pension  funds  were  transferred  to  the 
State  Railroad  Pension  Fund.  The  cunent  revenues  of  the  fund 
may  be  divided  into  three  main  groups:  {a)  The  periodical  contribu- 
tions of  the  members;  (&)  the  periodical  contributions  of  the  railroad 
administration  as  an  employer;  and  (c)  a  special  source  of  income 
created  by  the  law  of  March  29,  1900.  The  contributions  paid  by  the 
private  operating  companies  before  the  assumption  of  the  railroad 
business  by  the  Government  were  then  made  by  the  State,  but  as 
before  from  the  operating  accoimts. 

In  addition,  donations  and  legacies  might  be  received  by  the  fund, 
and  the  income  from  investments  of  the  funds  on  hand  were  added 
to  the  revenue. 

Under  the  constitutions  of  January  1,  1890,  for  the  three  indi- 
vidual pension  funds  monthly  deductions  of  4.5  per  cent  were 
made  from  the  salaries  and  other  accessory  payments  made  to  the 
employees.  By  the  constitution  of  1902  these  were  increased  to 
5.5  per  cent  on  October  21,  1902.  In  case  of  an  increase  of  the 
annual  salary,  one-twelfth  of  the  increase  was  retained  during  the 
first  month  after  the  increase  went  into  effect.  In  other  words, 
the  actual  increase  of  the  salary  was  retained  for  one  month. 

If  the  salary  was  reduced  because  of  sus])ension,  leave,  sickness,  or 
transfer  to  a  waiting  list,  the  deductions  were  made  as  if  no  such 
decrease  of  salary  had  taken  place.  If  the  salary  was  entirely  dis- 
continued for  a  tinae,  the  employee  must  make  the  deferred  payments 
on  return  to  the  active  service. 


. 


CHAPTER  VU. WORKMEIS-^'S  IXSUEANCE   IN   ITALY.  1945 

From  January  1,  1890,  until  October  21,  1902,  the  railroad  admin- 
istration paid  to  the  pension  fund  5  per  cent,  and  since  that  date  8 
per  cent,  of  the  salaries-  subject  to  the  deductions,  and  in  case  of  a 
promotion  one-twelfth  of  the  increase  in  the  annual  salary. 

In  case  of  temporary  reduction  or  discontinuance  of  the  salary  the 
administration  met  its  obligations  at  the  same  time  that  the  emploj^ee 
did. 

A  special  source  of  income  was  created  for  the  fund  by  the  law  of 
March  29,  1900,  act  3,  in  turning  into  the  fund  the  proceeds  of  the 
sale  of  tickets  of  admission  to  raihoad  stations. 

ADMINISTRATION. 

The  pension  fund  was  intrusted  to  an  administrative  committee 
of  12  members,  of  whom  6  were  nominated  by  the  state  railroad 
administration  and  3  were  selected  by  the  members  in  active 
service.  Of  these  9  members  all  but  one  of  the  administration's 
representatives  must  be  employees  in  active  service.  The  other  3 
members  were  required  to  be  representatives  of  other  governmental 
departments,  one  of  the  Ministry  of  Agriculture,  Industry,  and 
Commerce  and  the  other  two  financial  experts  from  the  l^Iinistry 
of  the  Treasury.  Several  other  high  officials  were  mentioned  as  con- 
sultative members  of  the  committee. 

The  committee  elected  its  own  president,  vice-president,  and  sec- 
retary, who  were  not  to  be  the  above-mentioned  representatives  of 
government  departments.  Various  provisions  were  contained  in  the 
constitution  concerning  the  investment  of  the  funds  and  the  auditing 
and  reporting  of  the  financial  affairs.  The  entire  cost  of  the  admin- 
istration was  assumed  by  the  railroad  administration. 

STATISTICS. 

MEMBERSHip.—The  movement  in  the  membership  and  the  number 
of  pensioners  in  all  the  three  funds  is  shown  in  the  following  table. 
The  rapid  decline  in  the  membership  since  1897  is  easily  explained 
by  the  organization  of  the  new  provident  institutes.^  But  even 
before  that  the  membersliip  appeared  to  be  decreasing,  though,  as 
was  shown  in  the  table  on  page  1936,  the  number  of  employees  of 
the  ItaUan  railroads  was  growing.  But  it  seems  to  have  been  the 
policy  to  increase  the  number  of  temporary  appointees  rather  than 
of  permanent  employees.  Thus  while  the  number  of  permanent 
employees  has  actually  decreased  within  the  decade  1891  to  1901 
from  89,723  to  88,995,  the  number  of  temporary  employees  increased 
from  8,457  to  19,695. 


f 


1946 


KEPOET  OF   THE  COMMISSIONER  OF   LABOR. 


With  the  practical  closing  of  the  pension  funds  to  new  members,  the 
proportion  of  pensioners  to  members  rapidly  increased.  In  1890 
there  were  16.5  pensioners  for  each  100  members,  and  in  1907,  67.5 
pensioners  per  100. 

AVERAGE    ANNUAL    NUMBER   OF    MEMBERS  AND    PENSIONERS    IN    THE    THREE 

RAILROAD  PENSION  FUNDS. 

[Ssurce:  Ferrovie  dello  Stato,  Rapporto  sulle  OperazionI  e  suite  Stato  Economico  delle  Cessate  Casse 

Pensioni  per  Tanno  1907.) 


Adriatic  fund. 

Mediterranean  fimd. 

Sicilian  fund. 

Total  of  the  funds. 

Year. 

Average 
number 
of  mem- 
bers. 

Average 
number 
of  pen- 
sioners. 

Average 
number 
of  mem- 
bers. 

Average 
number 
of  pen- 
sioners. 

Average 
number 
of  mem- 
bers. 

Average 
number 
of  pen- 
sioners. 

Average 
number 
of  mem- 
bers. 

Average 
number 
of  pen- 
sioners. 

1890 

13.964 
13.927 
13,601 
13,286 
13,069 
12. 754 
12, 494 
12,341 
12,196 
11,9.37 
11,669 
11,368 
10,986 
10,569 
10,155 
9,762 
9,447 
9,240 

2,598 
2,997 
3,462 
3,817 
4,118 
4,438 
4,701 
4,959 
5,196 
5,442 
5,706 
5,951 
6,203 
6,453 
6,695 
6,924 
7,058 
7,123 

22,304 
22,506 
22,405 
22,205 
22,008 
21.895 
21,705 
21,503 
21,310 
20,902 
20,348 
19,843 
19,3.53 
18,859 
18,309 
17,753 
17,244 
16,820 

3.481 
3,883 
4,387 
4,809 
5,145 
5,489 
5,905 
6,318 
6,701 
7,155 
7,626 
8,070 
8.487 
8.870 
9,293 
9,618 
9.865 
10,099 

851 
844 
890 
915 
941 
954 
972 
951 
933 
907 
890 
875 
881 
900 
892 
889 
861 
861 

34 
40 
49 
55 

71 
90 

103 
136 
153 
184 
200 
218 
230 
260 
275 
282 
291 
293 

37.119 
37.277 
36.^96 
36,406 
36,018 
36.603 
36,171 
34, 79.5 
34.439 
33, 746 
32,907 
32.086 
31,220 
30,328 
29.356 
28,404 
27,552 
26,921 
26,321 

6,113 

6,920 

7,898 

8,681 

9,334 

10,017 

10,709 

11,413 

1891 

1892 

1893 

1894 

1895 

1896 

1897 

1898 

12,050 
12,781 
13,532 
14,239 
14,920 
15,583 
16. 263 

1899 

1900 

1901 

1902 

1903 

1904 

1905 

16,824 
17,214 

1906 

1907(a) 

1907  (fc)  ...... 

17.515 
17,764 

o  First  six  months. 


t>  Last  six  months:  united  fund. 


A  study  of  the  reports  concerning  the  movement  of  membership 
of  the  pension  funds  furnishes  very  valuable  material  concerning 
the  death  rate  and  the  disabihty  and  retirement  rates  of  railroad 
employees.  In  the  following  tables  these  rates  are  computed  for  the 
entire  membership  as  well  as  for  the  main  groups.  Perhaps  the 
most  interesting  feature  brought  out  is  the  small  number  of  deaths 
or  retirements  due  to  accidents.  Thus,  for  tlie  ten  years  1800  to  1899, 
the  total  number  of  retirements  due  to  accidents  was,  for  the  two 
larger  funds,  183,  and  the  total  number  of  fatal  accidents  204,  or 
18.3  and  20.4  per  annum,  respectively.  With  an  average  membership 
of  35,000  members,  this  gives  a  rate  of  one  accidental  invaUdity  per 
1,913  employees,  and  one  fatal  accident  to  1,716  employees.  The 
general  rate  of  retirements  and  deaths  naturally  increases,  in  view  of 
the  discontinuance  of  new  admissions  in  1S97,  but  not  so  rapidly  as 
one  would  expect.  To  some  extent  this  prohibition  of  new  admis- 
sions was  limited  by  the  rule  permitting  transfers  of  members  of  the 
mutual  benefit  societies  by  promotion  from  a  daily  wage  to  a  monthly 
salary.  During  1890  to  1894  the  average  rate  of  retirement  for  old 
age  and  disability  was  2  per  cent,  or  20  per  tliousand;  for  1895  to  1899, 
2.14  per  cent,  or  21.4  per  thousand;  for  1902  to  1906,  23.6  per  thousand; 


CHAPTER  VII. — workmen's  INSURANCE  IN   ITALY.         1947 


and  in  1907,  36.5  per  thousand.  The  average  death  rate  in  1890  to 
1894  was  9  per  thousand;  in  1895  to  1899,  8.6  per  thousand;  and  in 
1902  to  1906,  9.7  per  thousand. 

The  percentages  of  resignations  and  dismissals  are  small,  and  have 
been  growing  very  much  smaller.  As  the  constitution  provided  no 
repayments  for  members  who  resigned  or  were  dismissed  for  cause, 
the  increased  value  of  the  acquired  rights  to  a  pension  evidently  had 
the  effect  of  counteracting  the  tendency  both  for  resignations  on  the 
part  of  the  employee  and  dismissals  by  liis  superiors. 

MOVEMENT  OF  MEMBERSHIP  IN  THE  ADRIATIC,  MEDITERRANEAN,  AND  SICILI\N 

PENSION  FUNDS,  1890  TO  1907. 

ISource:  The  annual  reports  of  the  funds.    From  1890  to  1899  the  Adriatic  and  Mediterranean  funds  onlT 

are  included.]  ' 


Number  of  members — 


Year. 


1890... 
1891 .. . 
1892... 
1893 . . . 
1894... 
1895... 
1896... 
1897... 
1898... 
1899... 
1902... 
19a3... 
1904... 
1905... 
1906. . . 
1907(c) 
1907 (d) 


Members  lost  because  of— 


Disability. 


In  Jan- 
uary. 


36,006 
36,529 
36,337 
35.676 
35,307 
34,846 
34,451 
33,946 
33,742 
33.271 
31,669 
30,764 
29.890 
28,847 
27,965 
27,167 
<26, 677 


Ad- 
mit- 
ted 
dur- 
ing 
year. 


1,697 
1,232 
688 
731 
594 
732 
614 
842 
676 
313 
149 
232 
107 
88 
61 
50 
62 


Total. 


37.703 
37, 761 
37,025 
36,407 
35,901 
35,578 
35,065 
34.788 
34,418 
33,539 
31,818 
30.996 
29.979 
28,935 
28,026 
27,217 
26, 739 


Due 
to 
old 
age 
and 
inva- 
lid- 
ity. 


616 

856 

891 

605 

651 

677 

725 

695 

712 

821 

353 

439 

(«) 

(«) 
(a) 

(«) 
(«) 


Due 

to 

acci- 
dent. 


To- 
tal. 


25 
18 
22 
25 
10 
17 
11 
10 
20 
25 
20 
17 
(«) 
(«) 
(«) 
(«) 
(«) 


641 
874 
913 
630 
661 
694 
736 
705 
732 
846 
716 
794 
805 
680 
534 
373 
612 


Per 
cent. 


Death. 


Nat- 
ural. 


306 
316 
302 
311 
297 
316 
276 
252 
288 
259 
180 
167 
(«) 
(«) 
(«) 
(«) 
(«) 


Acci- 
den- 
tal. 


26 

24 

15 

31 

11 

20 

20 

16 

20 

21 

12 

11 

(«) 
(a) 

(«) 
(«) 


To- 


Resigna- 

tion  or 

dismissal. 


Per  Nura-  Per- 


tal.  cent.    ber.   cent. 


332 
340 
317 
342 
308 
336 
296 
268 
308 
280 
304 
300 
278 
280 
298 
164 
140 


0.9 

.9 

.9 

.9 

.9 

.9 

.8 

.8 

.9 

.8 

1.0 

1.0 

.9 

1.0 

1.1 


{ 


201 

210 

123 

128 

86 

97 

87 

73 

107 

51 

34 

30 

39 

10 

27 

3 

21 


as 

.6 
.3 
.4 
.2 
.3 
.2 
.2 
.3 
.2 
.1 
.1 
.1 
(6) 

(») 

.1 


a  Not  reported  separately. 

f>  Less  than  one- tenth  of'l  per  cent. 

c  First  six  months. 


d  Last  six  months. 
<  lu  July. 


The  same  data  are  given  m  the  following  table  for  each  branch  of 
the  service,  for  the  ten-year  period  1890  to  1899,  only  the  two  large 
funds  being  included.  In  both  funds  the  highest  retirement  rate  Is 
found  in  the  groups  of  maintenance-of-way  and  station  service,  and  the 
lowest  in  the  office  force.  The  rates  of  retirement  are  much  higher  for 
the  Adriatic  fund,  which  had  a  membership  of  a  much  higher  average 
age.  The  higher  i*etirement  rates  for  the  maintenance-of-way  and  sta- 
tion service  is  partly  due  to  a  higher  average  age  of  these  groups,  rail- 
road employees  being  transferred  to  these  easier  occupations  when  they 


1948 


KEPORT  OF  THE  COMMISSIONER  OF  LABOR. 


are  considered  because  of  their  age  unfit  for  the  more  strenuous  duties 
of  the  active  train  service.  Thus,  in  1890  in  the  Adriatic  fund  there 
were  among  the  office  employees  only  15.7  per  cent  50  years  of  age 
and  over ;  among  the  engineers  and  firemen,  17.5  per  cent ;  in  the  train 
service,  18.7  per  cent;  in  the  station  service,  20.2  per  cent;  and  in  the 
main tenance-of -way,  34.2  per  cent. 

AVERAGE  MEMBEHSHIP  FOR  10-YEAR  PERIOD  1890  TO  1899  IN  THE  MEDITERRANEAN 
AND  ADRIATIC  PENSION  FUNDS,  BY  BRANCH  OF  THE  SERVICE. 

[Source:  The  annual  reports  of  the  funds.] 


Mem- 
ber- 
ship. 

Members  lost  because  of— 

Disability. 

Death. 

Resigna- 
tion or 
dismissal. 

Fund  and  branch  of  the  service. 

Due 
to 
old 
age 
and 
inva- 
lid- 
ity. 

Due 
to 
acci- 
dent. 

To- 
tal. 

Per 
cent. 

1.7 
1.7 
2.5 
2.0 
1.4 

Nat- 
ural. 

Acci- 
den- 
tal. 

To- 
tal. 

Per 

(«nt. 

0.8 
.8 
.8 
.8 
.9 

Num- 
ber. 

2 
6 
4 

28 
24 

Per 
cent. 

Mediterranean  fund: 

E  ngineers  and  firemen 

Train  service 

2,276 
2,120 
3,696 
6,793 

7,724 

33 

34 

91 

131 

110 

5 
2 
2 
5 
1 

38 

36 

93 

136 

111 

17 
15 
26 
52 
72 

2 
3 
3 
5 
1 

19 
18 
29 
57 
73 

0.09 

.28 

Maintenance  of  way 

Station  service 

.11 
.41 

Office  force 

.31 

Total 

22,609 

399 

15 

414 

1.8 

182 

14 

196 

.9 

64 

.28 

Adriatic  fund: 

E  ngineers  and  firemen 

Train  service 

1,306 
1,061 
1,980 
2,4«1 
6,522 

27 
27 
98 
84 
92 

2 
3 
1 

1 

29 
30 
99 

85 
92 

2.2 
2.8 
5.0 
3.4 
1.4 

11 

7 

14 

22 
54 

1 
3 
2 
2 

1 

12 
10 
16 
24 
55 

.9 
.9 
.8 
1.0 
.8 

1 
3 
1 

16 
32 

.77 
.28 

Maintenance  of  way 

Station  service 

.50 

.04 

Office  force 

.48 

Total 

13, 3.56 

1 

328 

7 

335 

2.5 

108 

9 

117 

.9 

53 

.40 

Salaries. — For  a  better  appreciation  of  the  data  concerning  the 
pensions  paid  by  these  funds,  it  is  necessary  to  give  some  information 
concerning  the  earnings  of  the  Italian  railroad  employees.  In  the 
following  tables  the  average  salaries  have  been  computed  from  the 
annual  reports  of  the  Adriatic  and  Mediterranean  funds,  as  far  as 
available,  namely  for  1890  to  1899,  and  1890  to  1903,  respectively. 
The  average  earnings  have  increased  during  this  period  from  $314  to 
S369  in  the  Adriatic  fund,  and  from  $278  to  $339  in  the  Mediterra- 
nean fund.  Tliese  averages  are  considerably  higher  than  for  the  entire 
railroad  personnel,  asshownin  the  table  on  f)age  1936,  and  are  explained 
by  the  fact  that  the  pension  funds  included  mainly  the  higher  paid 
employees.  The  discontinuance  of  new  admissions  in  1897,  except 
by  transfer  from  the  mutual  benefit  societies,  in  itself  is  responsible 
for  a  considerable  increase  in  the  average  salar}^.  As  a  matter  of 
fact,  the  greatest  increase  in  the  average  salary  is  noticeable  in  the 


\ 


\ 


CHAPTER  VII. workmen's  INSURANCE  IN   ITALY.  1949 

class  of  office  employees  where  the  highest  salaries  are  paid;  while  in 
some  of  the  other  groups  there  was  little  or  no  increase. 

The  average  remuneration  of  these  employees  in  the  Adriatic  fund 
during  the  last  five  years  for  which  information  is  available  (1895  to 
1899)  was  as  follows:  Engineers  and  fireman,  $410;  train  service,  $281 ; 
maintenance  of  way,  $185;  station  service,  $204;  and  in  office  service, 
$450.  In  the  Mediterranean  fund  data  are  available  for  a  later  period, 
1900  to  1903,  and  though  more  recent  are  somewhat  lower,  namely: 
Engineers  and  firemen,  $399;  train  service,  $276;  maintenance  of  way, 
$175;  station  service,  $192;  and  office  employees,  $477. 

AVERAGE  ANNUAL  SALARIES  OF  MEMBERS  OF  THE  MEDITERRANEAN  PENSION 
FUND,  1890  TO  1903,  AND  OF  THE  ADRIATIC  PENSION  FUND,  1890  TO  1899,  BY  BR\NCH 
OF  SERVICE. 

[Source:  The  annual  reports  of  the  funds.] 


Engineers  and  fire- 
men. 

Maintenance  of  way. 

Train  service. 

Fund  and  year. 

Member- 
ship. 

Average 

annual 

salary. 

MemT>er- 
shlp. 

Average 

annual 

salary. 

Member- 
ship. 

Average 
annual 
salary. 

Mediterranean  fund: 

1890 

2,104 
2,131 
2,152 
2,154 
2,155 
2,190 
2,252 
2,293 
2,369 
2,351 
2,363 
2,372 
2,341 
2,329 

2,139 
2,291 
2,351 

1,009 
1,006 
980 
1,274 
1,336 
1,443 
1,461 
1,468 
1,462 
1,460 

1,121 
1,459 

$376 
377 
376 
377 
380 
377 
379 
378 
374 
377 
384 
388 
403 
420 

377 
377 
399 

443 
445 
449 
409 
407 
406 
406 
407 
412 
417 

431 
410 

4,154 
3,985 
3,857 
3,717 
3,618 
3,493 
3,399 
3,272 
3,151 
3,031 
2,885 
2,739 
2,653 
2,532 

3,8(i6 
3,269 
2,702 

2,385 
2,253 
2,032 
1,967 
1,897 
1,800 
1,713 
1,583 
1,5.35 
1,409 

2,107 

1,{>08 

$157 
157 
159 
160 
159 
160 
161 
160 
164 
168 
172 
173 
175 
179 

158 
163 
175 

176 
178 
179 
179 
180 
181 
182 
183 
186 
191 

178 

185 

2,053 
2,042 
2,049 
2,054 
2,062 
2,096 
2,075 
2,087 
2,033 
1,987 
1,923 
1,876 
1,815 
1,755 

2.056 
2,056 
1,842 

1,094 

1,063 

1,026 

1,007 

975 

943 

926 

1,040 

1,087 

1,110 

1,033 
1,021 

$251 

1891 

1892 

253 
232 

1893.   . 

1894 

253 
2S3 

1895 

1893 

219 
2S3 

1897 

1898 

255 

1899 

256 

1900 

262 

1901 

265 

266 

1902 

1903 

285 
268 

2fa 
2S5 
276 

2T8 
275 

Average: 

1890  to  1894 

1895  to  1899 

1900  to  1903 

Adriatic  fund: 

1890 

1891 

1892 

1893 

27o 

1894 

287 

1895. 

2S3 

1893 

284 

1897 

288 
279 

1898 

1899 

275 
27» 

Average: 

1890  to  1894 

1895  to  1899 

27» 
2Si 

1950 


EEPORT  OF   THE   COMMISSIONEE  OF  LABOR. 


"^y^fTSt^^  "^^^^^^  ^^^"^^^^^  ^^   MEMBERS  OF    THE    MEDITERRANEAN  PENSION 

nv^?«v?pl'  T't'l''.''^  ^^^  ADRIATIC  PENSION  FUND,  1890  to  1.119,  BY  BRANCH 
ur  oiiiKViL/iii — Concluded. 


Fund  and  year. 


Mediterranean  fund: 

1890 

1891 

1892 

1893 

1894 

1895 

1896 

1897 

1898 

1899 

1900 

1901 

1932 

1903 

Average: 

1893  to  1894 

1895  to  1839 

1900  to  1^33 

Adriatic  fund: 

1890 

1891 

1892 

1893 

1894 

1895 

189.) 

1897 

1898 

1899 

Average: 

1890  to  1834 

1895  to  1899 


Station  service. 


Memljer- 
ship. 


Average 

annual 

salary. 


6,768 
6,690 
6,591 
6,460 
6,483 
6,508 
6,368 
6,302 
6,288 
6,075 
5,886 
5,721 
5,574 
6,373 

6,599 
6,304 
5,638 

2,981 
2,833 
2,687 
2,551 
2,284 
2,161 
2,048 
1,967 
1,855 
1,790 

2,673 
1,964 


J178 
181 
179 
179 
179 
179 
179 
180 
180 
182 
185 

•  187 
197 
200 

179 
180 
192 

192 
192 
200 
196 
197 
199 
200 
210 
205 
206 

195 
204 


Office  employees,  etc. 


Mt^mber- 
ship. 


7,478 
7,607 
7,705 
7,671 
7,619 
7,542 
7,48) 
7,473 
7,373 
7,166 
7,029 
6,892 
6,722 
6,624 

7,616 
7,408 
6,817 

6,503 
6,695 
6,595 
6,452 
6,394 
6,275 
6,218 
6,0&3 
5,9&3 
5,839 

6,528 
6,080 


Average 

aimual 

salary. 


Total. 


S415 
415 
408 
404 
416 
419 
425 
427 
444 
444 
455 
465 
488 
498 

412 
432 

477 

408 
407 
412 
431 
429 
436 
445 
448 
456 
466 

417 
450 


M«'nil>er- 
ship. 


22,557 
22,455 
22,354 
22,056 
21,960 
21,829 
21,580 
21,427 
21, 194 
20,610 
20,080 
19,600 
19, 105 
18,613 

22,276 
21,328 
19,350 

13,972 
13,882 
13,320 
13,251 
12,886 
12,622 
12,366 
12, 141 
11,922 
11,608 

13,462 
12, 132 


Average 

annual 

salary. 


S378 
281 

280 
2lM) 
385 

286 
289 
2U2 
295 
300 
308 
315 
3:10 
339 

281 
292 
323 

314 
318 
385 
385 
33S 
344 
352 
3ri6 

3m 

3<)9 

31*6 
356 


Pensions.— In  the  following  two  tables  is  shown  the  activity  of  the 
pension  funds  in  the  distribution  of  pensions.  The  first  table  gives 
the  total  number  of  current  pensions  at  the  end  of  each  y(iar,  while  the 
second  table  gives  the  number  of  new  pensions  granted  during  eacii 
year.  Because  of  the  great  difficulty  in  obtaining  material  the  tables 
are  not  as  complete  as  they  should  be. 

No  data  were  available  for  the  Sicihan  fund  prior  to  1901,  and 
therefore  totals  for  all  the  three  funds  could  not  be  obtained  for  the 
earher  years;  and  for  the  other  two  funds  the  data  are  incomplete 
for  a  number  of  years,  mainly  as  far  as  the  i)ensions  to  ori)lian  families 
are  concerned.  The  data  presented  are  nevertheless  sufficient  to 
indicate  the  general  results. 

The  increase  in  the  amount  of  pensions  is  better  demonstrated  in 
the  second  table,  showing  the  average  amounts  of  pensions  granted 
during  the  years  specified.  The  averages  fluctuate  mainly  because 
of  the  diiference  in  the  occupation  of  the  employees  pensioned,  as  the 
differences  in  the  annual  salaries  of  the  different  classes  of  employees* 
are  considerable.  The  pensions  of  the  widows  include  those  with  and 
without  minor  children,  and  for  a  few  years  the  data  were  given  sep- 


/' 

I 


CHAPTER  VII.— WORKMEN 'S  INSURANCE  IN   ITALY.  1951 

arately  for  these  groups;  but  as  the  total  amounts  given  to  the  minor 
children  are  not  very  great  the  averages  are  affected  but  shghtly  by 
combining  all  the  widows  into  one  group.  The  averages  for  members 
fluctuate  from  year  to  year  between  $180  and  $300,  seldom  fallin*' 
outside  of  these  hmits.  If  the  means  of  five  annual  averages  are  con- 
sidered, then  the  increase  from  1890-1894  to  1903-1907  for  the 
Adriatic  fund  is  from  $198  to  $257,  and  for  the  Mediterranean  fund 
from  $188  to  $235. 

To  appreciate  the  actual  purchasing  value  of  these  pensions  in 
Italy,  it  IS  necessary  to  keep  in  mind  not  only  the  general  level  of 
prices  and  the  standard  of  fiving,  but  also  the  wages  paid. 

Roughly  the  widow's  average  pension  equals  about  one-half  of  the 
employee's  average  pension.  Taking  the  mean  of  the  averages  for 
all  the  funds  for  pensions  granted  each  year,  1902  to  1907  the 
employee's  pension  equals  $241,  the  widow's  pension,  $123,  or  51 
per  cent,  while  the  average  pension  of  a  family  of  minor  orphans 
equals  $53  per  annum,  or  about  22  per  cent  of  the  employee's  pension 

V\Tien  the  entire  number  of  current  pensions  is  considered  the 
average  amount  appears  to  be  much  smaller  and  less  subject  to  fluc- 
tuations, though  the  tendency  to  a  higher  average  pension  is  unmis- 
takable. In  the  Mediterranean  fund  the  average  current  pension 
for  1889  to  1893  was  $160,  and  for  1903  to  1907,  $192;  in  the  Adriatic 
fund  the  increase  was  from  $172  to  $206.  The  difference  between 
the  average  amount  of  the  current  pension  and  that  of  the  pension 
granted  is  easily  accounted  for  by  the  survival  of  many  very  low  pen- 
sions granted  many  years  ago  when  the  wages  of  the  Itahan  railroad 
employees  were  very  much  lower  than  they  are  now. 


1952 


REPORT   OF   THE  COMMISSIONER  OF  LABOR. 

NUMBER,  AMOUNT,  AND  AVERAGE  OF  PENSIONS  PAID  EACH 

[Source:   The  annual 


CHAPTER  VII.— WORKMEN 'S  INSURANCE  IN   ITALY.         1953 


Fund  and  year. 


Pensions  paid  to- 


Mediterranean  fund: 

1889 

1890 

1891 

1892 

1893 

1894 

1895 

1896 

1897 

1898 

1899 

1900 

1901 

1902 

1903 

1904 

1905 

1906 

1907(c) 

Adriatic  fund: 

1889 

1890 

1891 

1892 

1893 

1894 

1895 

1896 

1897 

1898 

1899 

1900 

1901 

1902 

1903 

1904 

1905 

190G 

1907(c) 

Sicilian  fund: 

1901 

1902 

1903 

1904 

1905 

1906 

1907(c) 

Total  funds: 

1901 

1902 

1903 

1904 

1905 

1900 

1907(c) 

1907(d) 


Number. 


1,583 
1,770 
2,138 
2,471 
2,664 
2,824 
3,029 
3,322 
3,551 
3,794 
4,112 
4,357 
4,614 
4,801 
5,006 
5,218 
5,274 
5,356 
5,491 

1,103 
1,356 
1,640 
2,058 
2,215 
2,434 
2,623 
2,816 
2,9€0 
3,104 
3,246 

(«) 

3,497 

3,628 

3,731 

3,852 

3,955 

3.918 

3,956 

109 
114 
132 
135 
140 
134 
133 

8,220 
8,543 
8,869 
9,205 
9,369 
9,408 
9,580 
9,728 


Members. 


Amount. 


$2.13,098 
2t«,  657 
341,142 
430,685 
4151,252 
4X4,911 
529,804 
696,660 
648,401 
704,637 
7«4, ;93 
824, 150 
»13,409 
»»4,337 
949,582 
9)19,558 
l,ai6,563 
1,0.13, 365 
1,0J«9,202 

179,835 
227,590 
2«0,061 
3r.2, 136 
402, 631 
4.'iO,  826 
495,341 
543,108 
&V9,709 
696,925 
623,128 

685,075 
7)8,861 
738, 9^3 
769.995 
826, 445 
826, 516 
840,398 

24,390 
27,266 
33,017 
35,852 
37,827 
36,867 
36,872 

1,572,874 
1,650,464 
1,721,582 
1,795,405 
1,870,835 
1.896,748 
l,9<i6,472 
2,022,274 


Average. 


a  Not  reported. 

6  Not  including  pensions  to  minor  children  of  widows,  wliich  in  1901  amounted  to  $18,870. 


$147 
152 
160 
170 
169 
172 
175 
180 
183 
186 
191 
189 
187 
188 
190 
190 
191 
193 
198 

163 
168 
171 
175 
182 
185 
189 
193 
192 
192 
192 


(«) 


196 
198 
198 
200 
209 
211 
212 

224 
239 
250 
266 
270 
275 
277 

191 
193 
194 
195 
199 
202 
21^5 
208 


I 


YEAR,  18S9  TO  1907,  BY  FUNDS  AND  CLASSES  OF  PENSIONS, 
reports  of  the  funds.] 


Widows  (with  and  without  minor 
children). 


Number. 


1,619 
1,706 
1,850 
1,984 
2,150 
2,279 
2,444 
2,594 
2,738 
2,884 
3,088 
3,261 
3,465 
3,651 
3,839 
4,052 
4,202 
4,384 
4,435 

1,212 
1,301 
1,410 
1,503 
1,591 
1,688 
1,800 
1,898 
1,982 
2,070 
2,180 
(«) 
2,407 
2,545 
2,674 
2,817 
2,918 
3,019 
3,041 

105 
113 
125 

137 
141 
155 
161 

5,977 
6,309 
6,638 
7,006 
7,261 
7,558 
7,637 
7,730 


Amount. 


$134, 181 

143,815 

158,750 

(«) 
(a) 

(v 

(«) 
(a) 

>  288, 770 
»  315, 652 
358. 928 
382, 015 
402, 713 
426,268 
445,638 
465, 729 
472,566 

93,  468 
102, 628 
114,471 
124, 257 
129,963 
140,355 
154, 766 
166,314 
176, 744 
188, 142 
201, 634 

(«) 

249, 931 
268,068 
284, 605 
301,075 
315,  .329 
329,830 
334, 735 

11,201 
12,260 
14,001 
15,  .328 
15, 707 
19, 522 
20,054 

620,060 
662,343 
701,319 
742,671 
776,674 
815,081 
827, 355 
840, 051 


c  First  6  months. 


14,582 
15,246 
15,894 
16,617 
17,024 
17,395 
17,636 
17,893 


35,958 
39,739 
47,231 
51,394 
53,575 
5«i,  465 
57,002 

2,210,595 
2,331,32(3 
2, 440, 5[^ 
2,556,909 
2, 665,  so; 
2,732,371 
2,814,285 
2,883,212 


<»Last6montlis;  united  fund. 


156 
157 
157 
158 
164 
164 
•165 

165 
173 
182 
187 
190 
194 
193 

152 
153 
154 
154 
157 
157 
160 
161 


, 


1954 


REPORT  OF   THE  COMMISSIONER  OF  LABOR. 

NUMBER,  AMOUNT,  AND  AVERA(;E  OF  NEW  PENSIONS  GRANTED 

[Soiirce:  The  annual 


Fund  and  year. 


Adratic  fund: 
1890 


1891. 
1892. 
1893. 
1894. 
1895. 
1896. 
1897. 
1898. 
1899. 
1900- 
1901. 
1902. 
1903. 
1904. 
1905. 
1906. 


Pensions  granted  to— 


Number. 


1907  (ft) 

Mediterranean  fund: 
1890 


1891 

1892 

1893 

1894 

1895 

1896 

1897 

1898 

1899 

1900 

1901 

1902 

1903 

1904 

1905 

1906 

1907(6).. 
Sicilian  fund: 

1902 

1903 

1904 

1905 

1906 

1907 

Total  funds: 

1902 

1903 

1904 

1905 

1906 

1907(6)... 

1907(c)... 


310 
382 
507 
261 
342 
313 
310 
281 
285 
299 


333 
313 
335 
314 
172 
131 

297 
468 
453 
338 
314 
362 
438 
397 
442 
533 
466 
494 
383 
458 
463 
390 
350 
316 

11 

22 

12 

8 

7 

1 

727 
793 
810 
712 
529 
448 
397 


a  Not  reported. 


b  First  six  months. 


Memlters. 


Amoimt. 


166,903 
66,935 
98,008 
57,446 
73,416 
69,343 
70,484 
5.J,625 
56,344 
56,392 

76,051 
67,641 
80,352 
101,253 
44,730 
32,290 

64,231 
87,566 

104,712 
67,143 
62,126 
72,310 
98,038 
83,546 
02,905 

123, 470 
84,096 
87,604 
76,614 
95,974 
m,  131 
86,621 
82,489 
93,705 

4,165 
6,910 
4,382 
2,423 
1,789 
442 

155,830 
170,525 
180,865 
190,297 
129,008 
126,437 
110,765 


Average. 


1180 
180 
193 
220 
215 
222 
227 
191 
194 
189 


n 


225 
216 
240 
322 
260 
246 

183 

187 
231 
169 
198 
200 
224 
210 
210 
232 
180 
177 
200 
210 
208 
222 
236 
297 

379 
314 
365 
303 
256 
442 

214 
215 
223 
267 
244 
282 
279 


CHAPTER  VII.— WORKMEN  's  INSURANCE   IN   ITALY.         1955 

EACH  YEAR,  1890  TO  1907,  BY  FUNDS  AND  CLASSES  OF  PENSIONS, 
reports  of  the  funds.] 


Pensions  granted  to— 


Widows  (with  and  without  minor 
children). 


Number. 


121 
148 
137 
146 
153 
166 
142 
146 
154 
174 

(«) 

(«) 
195 
207 
224 
209 
203 
88 

138 

197 

192 

207 

174 

230 

220 

208 

259 

251 

274 

306 

261 

282 

331 

334 

358 

122 

9 
12 
12 

4 
29 

6 

465 
501 
567 
547 
590 
216 
204 


Amount. 


$12,071 
15, 153 
13,207 
16,556 
14,207 
19,411 
16,623 
16, 776 
16, 728 
18,586 

(«) 

(«) 
24,626 
26, 707 
28,557 
25,466 
26,393 
12,015 

14,394 
20,171 
20,050 
20,521 
17,850 
24,503 
21,761 
23,479 
26, 150 
29,406 
35,527 
33,940 
32,995 
30, 816 
38,243 
38, 746 
42,216 
14,986 

1,252 
1,851 
1,328 

452 
4,851 

742 

58,873 
59,374 
68, 128 
64,664 
73,460 
27, 743 
27,020 


5,687 

2n 

8.8tK2 

253 

5,710 

238 

2.875 

240 

6,676 

180 

1,184 

160 

217,936 

174 

232,866 

173 

253,605 

174 

258,426 

196 

207,856 

172 

155,675 

Sit 

139, 693 

209 

c  Last  six  months;  united  fund. 


1956 


EEPOKT  or  THE  COMMISSIONER  OF  LABOE. 


The  following  table,  showing  the  number  and  amounts  of  pensions  by 
the  five  branches  of  the  service,  further  illustrates  the  v(5ry  high  level 
of  pensions  both  to  the  members  and  to  the  widows.  Unfortunately 
it  was  possible  to  bring  the  data  down  only  to  1899  for  the  Adriatic 
fund  and  to  1903  for  the  Mediterranean  fund,  lat«r  data  not  being 
available.  But  the  fluctuations  are  not  very  great,  nor  could  there 
be  any  radical  change,  since  the  provisions  of  the  constitution  regu- 
lating pensions  have  not  undergone  any  important  changes  since  1890, 
while  the  rates  of  contributions  from  both  sides  have  btien  increased 
to  meet  the  cost  of  the  pensions. 

The  average  amount  of  the  pensions  fluctuated  for  engineers  and 
firemen  roughly  between  $200  and  $300,  for  the  train  service  person- 
nel between  $150  and  $200,  for  the  trackmen  and  otlier  persons 
employed  in  the  maintenance  of  way  between  $100  and  $120,  for  the 
station  and  yard  service  between  $115  and  $125,  and  among  the 
ofiice  force,  this  class  containing  the  highest  paid  employees,  between 
$300  and  $400.  The  widows'  average  pensions  are  equal  to  about 
half  the  average  pensions  of  the  members. 

NUMBER    AND    AVERAGE    PENSIONS    GRANTED    I'ACH    YEAR    TO    MEMBERS    AND 
THEIR  WIDOWS  BY  THE  ADRIATIC  AND  THE  MEDITERRANEAN  PENSION  FUND8 
1880  TO  1903,  BY  BRANCH  OF  THE  SERVICE. 

[Source:  The  annual  reports  of  the  funds,] 


Pensions  granted  each  year  to — 

Fund  and  year. 

Engineers 

and 
firemen. 

Train 

service 

employees. 

Mainte- 
nance- 
of-way 
employees. 

station 

service 

emjrfoyees. 

Ofllce 

employees, 

etc. 

Total 

Num- 
ber. 

Aver- 
age. 

Num- 
ber. 

Aver- 
age. 

Num- 
ber. 

Aver- 
age. 

Num- 
ber. 

Aver- 
age. 

Nnm- 
ber. 

Aver- 
age. 

Num- 
ber. 

Aver- 
age. 

MEMBERS. 

Adriatic  fund: 

1890 

27 
30 
30 
36 
26 
22 
25 
21 
31 
23 

155 
127 

24 
40 
29 
38 
33 
34 
31 
44 
35 
69 
37 

•250 
223 
239 
274 
211 
275 
294 
303 
273 
254 

254 

278 

241 

264 
229 
241 
266 
269 
245 
231 
228 
284 
258 

17 
21 
30 
17 
28 
31 
32 
25 
37 
23 

113 
148 

21 
40 
31 
29 
42 
32 
45 
23 
49 
40 
47 

$193 
179 
212 
185 
187 
182 
177 
176 
181 
180 

193 
179 

205 
162 
183 
159 
187 
179 
172 
144 
183 
187 
188 

123 

125 

212 

42 

53 

83 

82 

85 

80 

104 

555 
434 

G3 

116 

89 

110 

76 

98 

68 

106 

83 

107 

113 

S105 
104 
106 
115 
112 
112 
104 
123 
119 
103 

106 
112 

110 
111 

no 

96 

104 
106 
102 
115 
110 

im 

107 

70 

100 

113 

82 

114 

75 

69 

77 

65 

76 

479 
302 

119 
171 
108 
100 
85 
124 
160 
126 
167 
180 
172 

$121 
123 
121 
114 
126 
117 
125 
115 
117 
118 

121 
118 

119 
123 
115 
115 
114 
118 
116 
117 
112 
115 
108 

73 
100 
122 

84 
121 
102 

1(¥) 

$336 
329 
3% 
361 
350 
388 

one 

310 
382 
507 
261 
342 
313 
310 
281 
285 
299 

1.802 
1,488 

300 
468 
406 
370 
316 
379 
424 
420 
445 
645 
477 

$1W 
180 
l'J3 
220 
215 
222 
2'J7 
191 
194 
189 

196 
205 

181 
187 
226 
181 
193 
196 
209 
222 
190 
2W 
184 

1891 

1892 

1893 

1894 

1895 

1896 

1897 

73  1     323 

TO          OOTk 

1898 

1899 

C8 

500 
417 

73 

101 

149 

93 

80 

91 

120 

121 

111 

149 

108 

374 

357 
304 

317 
363 
385 
334 
3.36 
378 
399 
436 
360 
447 
357 

Total— 

1890  to  1894 

1895  to  1899 

Mediterranean  fund: 

1890 

1891 

1892 

1S93 

1894 

1895 

1896 

1897 

1898 

1899 

1900 

CHAPTEE  VII. WOEKMEN's  INSURANCE  m  ITALY.  1057 

NUMBER  AND    AVERAGE    PENSIONS    GRANTED   EACH    YEAR    TO    MFICRPRR    av-« 
THEIR  WIDOWS  BY  THE  ADRIATIC  AND  THE  MEDITERRANEa\  pExSoN  FU^^^ 

1890  TO  1903,  BY  BRANCH  OF  THE  SERVICE-C^ncluded.  i'E^SION  Ft  NDS. 


Fund  and  year. 


MEMBERS— Concluded. 

Mediterranean  fund— Con. 

1901 

1902 

1903 

Total— 

1890  to  1894 

1895  to  1899 

I«00tol903 


WIDOWS,  (a) 


Adriatic  fund: 

1890 

1891 

1892 

1893 

1894 , 

1895 

1896 

1897 

1898 

1899 

Total— 
1890  to  1894. 
1895  to  1899. 
Mediterranean  fund: 

1890 

1891 

1892 

1893 

1394 : 

1895 

189ti 

1897 

1898 

1899 

1900 

1901 

1902 

i9a3 

Total— 
1890  to  1894., 
1895  to  1899.. 
1900  to  1903.. 


Pensions  granted  each  year  to— 


Engineers 

and 
firemen. 


Num- AveX' 
ber.  j  age. 


Train 

service 

employees. 


Mainte- 

nance- 

of-way 

employees. 


44 

36 


164 
213 
183 


10 

9 

11 

14 

6 

7 
8 

7 
4 
5 

50 
31 

11 
11 
13 
11 
10 
11 
12 
13 
28 
14 
15 
20 
14 
11 

56 
78 
60 


$240 
307 
302 

250 
256 
279 


124 
127 
132 
105 
153 
111 
114 
126 
126 
101 

124 
115 

107 
151 
114 
136 
90 
153 
127 
122 
106 
124 
105 
119 
117 
125 

120 
122 
116 


Num- 
ber. 


55 
36 
49 

163 
189 

187 


10 
8 
8 
7 
6 

11 
4 
6 
3 
6 

39 
30 

17 
18 
13 
10 

6 
13 
13 

9 
12 
13 
12 
12  , 
14 
16 

64 
fO 
54 


.\.ver-:Num 
age.  ber. 


$172 
170 
204 

177 
176 

184 


79 
98 
83 
90 
47 
66 
73 
68 
62 
81 

81 
70 

93 
90 
78 
71 
85 
68 
64 
69 
65 
80 
73 
72 
91 
74 

85 
69 
78 


Station  Office 

service     |  employees, 
employees.  etc. 


Aver-  Num- 
age.     ber. 


121 

75 

110 

454 

462 
419 


33 
29 
36 
13 
18 
17 
8 
12 
10 
11 

129 
58 

26 
37 
27 
23 
14 
22 
26 
11 
25 
14 
20 
19 
12 
IQ 

127 

98 
70 


$103 
110 
133 

106 
108 
113 


63 
54 
64 
47 
45 
57 
58 
62 
56 
55 

57 

57 

71 
60 
56 
55 
50 
53 
61 
55 
57 
51 
68 
59 
56 
48 

59 

56 
58 


165 
135 
142 

583 
757 
614 


33 
49 
40 
15 
25 
18 
12 
10 
20 
9 

162 
69 

42 
60 
32 
33 
24 
44 
42 
36 
33 
31 
32 
46 
34 
44 

191 
186 
15C 


Aver-  Xum- 
age.  ber. 


$116 
116 
127 

118 
115 
117 


77 
65 
68 
53 
53 
48 
65 
56 
61 
62 

65 
58 

67 

63 

51 

51 

57 

58 

54 

55 

57  , 

57 

57 

64 

51 

50 

m 

56 
56 


106 
91 
89 

496 
592 
394 


32 
53 
42 
39 
28 
27 
30 
39 
42 
41 

194 
179 

42 
71 
39 
50 
45 
46 
40 
41 
40 
45 
59 
48 
66 
48 

247 
212 
221 


Total. 


Aver-  Num-  Aver- 
age, ber.  I  age. 


$333 
359 
355 

353 
408 
351 


1C9 
160 
145 
150 
112 
146 
134 
136 
136 
125 

151 
132 

166 
153 
157 
128 
130 
160 
169 
137 
134 
152 
188 
164 
168 
14S 

149 
151 
168 


491 
373 
456 

1.860 
2.213 
1,797 


118 
148 
137 
88 
83 
80 
62 
74 
79 
72 

574 
367 

138 
197 
124 
127 
9» 
136 
133 
110 
138 
117 
138 
145 
140 
138 

685 
634 
561 


$177 
196 
207 

1»4 

211 
191 


102 

102 

96 

110 

78 

91 

104 

101 

103 

101 

99 
100 

104 

102 

95 

91 

90 

100 

97 

95 

90 

103 

121 

105 

117 

08 

99 

97 

100 


o  Not  including  widows  of  pensioners  since  1893. 

The  relation  between  the  average  pension  and  the  average  salarv, 
by  branches  of  the  service,  is  clearly  brought  out  in  the  foUowi^ 
table.  Five-year  averages  have  been  used  so  as  to  eUminate  acci- 
dental annual  variations.  The  members'  pensions  amount  to  about 
60  to  70  per  cent  of  the  wages,  and  the  ividows'  pensions  about  30  to 
35  per  cent.  The  pensions  are  proportionately  highest  among  the 
oliice  employees  where  longer  service  is  possible  before  invaUditv 
occurs.  "^ 


-J 


1958 


KEPORT  OF  THE  COMMISSIONER  OP  LABOR. 


PROPORTION  BETWEEN  SALARIES  AND    PENSIONS   OF   ADRIATIC   AND   MEDITER. 
RANEAN  PENSION  FUNDS,  BY  BRANCHES  OF  THE  SERVICE,  1890  TO  1903. 

(Computed  from  preceding  tables.] 


Engineers  and  firemen. 

Train  nervlce. 

Aver- 
age 
sal- 
ary. 

Average  pension  granted 
to— 

Aver- 
age 
sal- 
ary. 

Average  pension  granted 
to— 

Fund  and  year  group. 

Members. 

Widows. 

Members. 

Widows. 

Amt 

Per 
cent 
of  sal- 
ary. 

Amt. 

Per 
cent 
of  sal- 
ary. 

Amt. 

I»er 
cent 
of  sal- 
ary. 

Amt. 

Per 
cent 
of  sal- 
ary. 

Adriatic  fund: 

1890  to  1894 

$431 
410 

377 
377 
399 

$254 
278 

250 
256 
279 

58.9 
67.8 

66.3 
67.9 
69.9 

$124 
115 

120 
122 
116 

28.8 
28.0 

31.8 
32. 4 
29.1 

$279 
281 

252 
255 
276 

$193 
179 

177 
176 
184 

C9.2 

c:<.  7 

70.2 
(i9.0 

m.7 

$81 
70 

85 
69 
78 

1895  to  1899 

29.0 

Mediterranean  fund: 

1890  to  1894 

24.9 

1895  to  1899 

33.7 

1900tol903 

27.1 

28.3 

Maintenance  of  way. 

Station  service. 

Adriatic  fund: 

1890  to  1894 

1895  to  1899 

$178 
185 

158 
lti3 
175 

1105 
112 

106 
108 
113 

59.0 
60.5 

67.1 
66.3 
64.6 

$57 
57 

59 
56 
58 

32.0 
30.8 

37.3 
34.4 
33.1 

$195 
204 

179 
180 
192 

$121 
118 

118 
115 
117 

62.1 
57.8 

65.9 
63.9 
60.9 

$65 
58 

59 

56 
56 

33.3 

Mediterranean  fund: 

1890  to  1894 

28.4 

1895  to  1899 

33.0 

1900  to  1903 

31.1 

29.2 

Office  force. 

All  occupations. 

Adriatic  fund: 

1890  to  1894 

$417 
450 

412 
432 
476 

$353 
364 

353 
408 
351 

84.6 
80.9 

85.7 
94.4 

73.7 

$151 
132 

149 
151 
168 

36.2 
29.3 

36.2 
36.0 
36.3 

$326 
356 

281 
292 
323 

$196 
205 

194 
211 
191 

ra.i 

57.6 

69.0 
72.3 
69.1 

199 
100 

99 

97 
109 

1895  to  1899 

30.4 

Mediterranean  fund: 

1890  to  1894 

28.1 

1895  to  1899 

35.2 

1900  to  1903 

33.2 

33.8 

Finances.— A  general  review  of  the  finances  of  the  three  pension 
funds  since  their  organization  in  1890  is  given  in  the  following  table. 
Then-  combined  assets  in  1890  were  $15,841,525,  and  in  1907  when  the 
three  funds  were  united  the  assets  amounted  to  over  twenty-two 
million  dollars.  Nevertheless,  a  more  careful  analysis  shows  that 
their  finances  were  not  in  a  satisfactory  condition.  The  annual  excess 
of  income  over  expenditures  rapidly  decreased  except  for  the  small 
Sicilian  fund.  The  Adriatic  fund  had  a  deficit  annually  since  1900, 
wliich  the  very  much  increased  revenues  of  1902  (i.  e.,  the  increase  of 
members'  contributions  from  4.5  to  5.5  per  cent  of  the  salary,  and  of  the 
railroad  contributions  from  5  to  8  per  cent)  succeeded  in  reducing  only 
for  a  time,  but  could  not  altogether  obliterate.  The  Mediterranean 
pension  fund  also  showed  a  deficit  in  1901,  and  while  the  increased 
revenues  of  1902  succeeded  in  creating  a  surplus,  it  rapidly  declined 
during  the  following  years.     As  the  number  of  pensioners  rapidly 


CHAPTER  VII.— WORKMEN 'S   INSURANCE  IN   ITALY.         1959 

grew,  the  expenditures  mcreased  Yer>^  much  faster  than  the  income- 
thus  the  combined  revenues  in  1907  ($2,827,439)  show  an  increase  of 

S^no^o..^!^  ^^'  ''""^  7^'  ^^^'^  ^^  ^^^^'  ^^^  ^^^  expenditures 
i^^,809,9d7)  are  more  than  four  times  as  great  as  those  for  1890 

Of  course,  as  the  admission  of  new  members  was  practically  discon- 
tinued in  1897,  the  pension  funds  were  winding  up  their  affairs,  but 
the  computation  of  the  actual  obligations  repeatedly  indicated  that 
the  funds  were  not  solvent. 

FINANCES  OF  THE  ADRIATIC,  MEDITERRANEAN,  AND  SICILIAN  PENSION  FUNDS 

1890  TO  1907.  "  ' 

[Source:  The  annual  reports  of  the  funds.] 


Year. 


Income. 


1890. 
1891. 
1892. 
1893. 
1894. 
1895. 
1896. 
1897. 
1898. 
1899. 
1900. 
1901. 
1902.. 
1903., 


1904 

1905 

1906 

1907  («>).... 
1907(c) 


■| 


$1,909,181 
1,954,609 
1,968,871 
3,021,310 
1,994,996 
1,995,528 
2,038,856 
2,089,741 
2,103,058 
2,132,529 
2,160,622 
2, 127, 123 
2,271,512 
2,662,908 
2, 639, 712 
2,599,843 
2,774,611 
1 ,  429, 406 
1,398,033 


Expendi- 
tures. 


$694, 974 
851,864 
1,041,785 
1,179.658 
1,281,915 
1,413.310 
1,560,400 
1,675,604 
1,783,306 
1,927,454 
2,054,405 
2,179,066 
2,300,282 
2,415,397 
2,517.570 
2, 598, 827 
2. 753, 202 
1.362,330 
1,447,607 


Surplus. 


Deficit. 


$1,214,207 
1, 102, 745 
927.086 
841,652 
713,081 
582,218 
478,456 
414, 137 
319, 752 
205,075 
100,217 


247,511 

122.142 

1,016 

21,409 

07,076 


$51,943 
28.770 


49,574 


Assets  at  end 
of  year. 


$15,841,525 
16,944.2?0 
17,871,356 
18,713,008 
19,426,069 
20,008,307 

0  20,702.104 
21,116.241 
21,435.993 
21,641.068 
21,747.285 
21,695.342 
21, 666, 572 
21,914.083 
22,036,225 
22,037.241 
22,058,650 
22. 125. 726 
22,076,152 


In"tKi?r^'e4a  ""''  '^"'' ''"'  ^'''  ^°  ''''  ^'^  ^b-  ^^"^J"«  ^  1S96;  the  figures  are  given  as  shown 
b  First  six  months. 
e  Last  six  months;  united  fund. 

In  the  following  table  the  income  and  expenditures  of  the  three 

Cr°.  w^'-^"'  '^'",!?  f""-  ^^^  period  since  their  reorganization  in 
iM2  until  their  consohdation  into  one  pension  fund  in  1907 

The  total  income  for  1906  amounted  to  $2,774,61 1,  and  for  the  first 
SIX  months  of  1907  to  $1,429,406.  The  regular  raih-oad  contributions 
represented  the  largest  item  in  these  two  years,  being  in  1906  $978  560 
or  35.3  per  cent  of  the  total.  Adding  to  this  the  income  from  the 
proceeds  of  the  sale  of  tickets  of  admission  to  stations,  $90,993  or 
3.3  per  cent,  the  total  share  of  the  raih-oads  was  38.6  per  cent  Income 
from  interest  and  mvestments  in  some  years  even  exceeded  the  rail- 
road contributions;  in  1906  it  amounted  to  35.2  per  cent  of  the  total 
inus  the  employees  themselves  contributed  only  one-fourth  ('>5  1 
per  cent)  of  the  total  revenues  of  the  funds. 

A  decided  increase  in  the  revenues  is  noticeable  in  1902  as  compared 
with  the  pr«.eding  years.     This  is  caused  by  the  increase  of  the  con- 
tnbutions  of  both  tlie  members  and  the  raikoads,  as  pointed  out  in 
67725°— VOL  2—11 30 


1960 


EEPOET  OF   THE  COMMISSIONER  OF  LABOR. 


the  history  of  the  funds.  The  members'  contributions  were  4  5  per 
cent  of  then-  salaries  until  October  20,  1902,  and  5.5  per  cent  since 
that  date.  Thus  for  the  larger  part  of  the  year  the  smaller  contri- 
bution was  exacted.  On  the  same  date  the  railroads'  contribution 
changed  from  5  per  cent  to  8  per  cent  of  the  salaries;  thus  the  m(>m- 
bers'  contribution  increased  by  22.2  per  cent,  and  that  of  the  railroads 
by  60  per  cent.  As  a  result,  the  share  of  the  members'  contributions 
to  the  total  revenue  increased  from  25.()  per  cent  in  1902  to  26.4  per 
cent  m  1903,  while  that  of  the  raikoads  increased  from  29.3  per  cent 
to  34.8  per  cent. 

In  the  expenditures  of  the  pension  funds  the  main  item  naturally 
consists  of  members'  pensions,  followed  by  widows'  pensions,  the 
latter  including  the  shares  of  minor  children  whose  mothers  are  living 
Pensions  to  orphans  do  not  represent  a  very  large  amount,  and  lump- 
sum benefits  are  insignificant,  notwithstanding  numerous  provisions 
m  the  constitutions  of  the  funds  concerning  such  benefits.  The  vast 
majority  of  the  members  of  the  pension  funds  evidently  earn  pen- 
sions. The  proportion  between  the  amounts  paid  out  to  members 
and  to  widows  remains  fairly  uniform.  In  1902  the  amount  paid  to 
widows  was  about  40  per  cent,  and  in  1906  about  42  i>er  cent  of  the 
amount  paid  to  members.  This  proportion  indicates  tliat  the  Italian 
railroad  pension  funds  are  much  more  than  merely  old-age  and 
mvahdity  pension  funds,  since  they  protect  thousands  of  families  of 
deceased  employees  and  pensioners. 

INCOME  AND  EXPENDITURES  OF  THE  PENSION  Fl  NDS,  BY  SOURCE  OF  INCOME  AND 

ITEM  OF  EXPENDITURE,  1902  TO  1907. 

[Source:  The  annual  reports  of  t  le  funds.] 

INCOME. 


Fund,  source  of  inoome,  and 
Item  of  expenditure. 

1902. 

1903. 

1904. 

1905. 

1333. 

1907.  (a) 

Adriatic  fund: 

Members*  contributions. . . 
Railroad's  contributions . . 
Interest,  etc 

$224,190 
254.110 
348,710 

30,618 

13,937 
191 

$266,716 
366,552 
351,640 

28,952 

5,625 

$269,704 
362. 888 
350,400 

28,514 

6,239 

$256,755 
354,435 
348,633 

24,571 

4,881 

$270,883 
876,111 
W2,673 

37,845 

8,770 

$151,938 

209,:{34 

Sale  of  tickets  of  admi,s,sion 
to  stations 

162,061 

Accident  compen.sations, 

excess  of  receipts. . . 
All  otter ;; 

12,H39 

6,117 
6,355 

Total 

871,756 

1,019,485 

1,017,745 

989,275 

1,056,282 

647,  (i44 

Mediterranean  fund: 

Members'  contributions. .. 
Railroad's  contributions  .. 
Interest,  etc 

-336,540 

388,990 
529,538 

39,647 

15,169 
5,002 

411,184 
525,315 
542,627 

39,413 

9,234 

4,989 

378, 418 
535,643 
527,613 

42,220 

11,105 
10,320 

368,306 
526,095 
534,943 

43,131 

20,714 
11,270 

398,894 

6(>3,828 

^   538,902 

51,987 

10,937 
8,679 

224,297 
309,  H45 

Sale  of  tickets  of  admission 
to  stations 

262,357 

Accident  compensations, 

excess  of  receipts 

Another 

11,807 
7,341 

3,846 

TotAl 

1,314,886 

1,532,762 

1,511,.J19 

1,504,519 

1,673,287 

819,493 

o  For  first  6  months  only. 


CHAPTER  VII.— WOKKMEN  *S   INSURANCE   IN   ITALY.  1961 

INCOME  AND  EXPENDITURES  OF  THE  PENSION  FUNDS,  BY  SOURCE  OF  INXOME  4.XD 

ITEM  OF  EXPENDITURE,  1902  to  1907lconcluded  ^ 

INCOME— Concluded . 


Fund,  source  of  income,  and 
it«m  of  expenditure. 


Sicilian  fund: 

Members'  contributions. . 
Railroad's  contributions. , 

Interest,  etc 

Sale  of  tickets  of  adinission 

to  stations 

Accident   com])ensations, 

excess  of  receipts , 

All  other 


1902. 


1903. 


Total. 


Total  funds: 

Members'  contributions. . . 
Railroads'  contributiems. . . 

Interest,  etc 

Sale  of  tickets  of  adinission 

to  stations 

Accident   comiyensations, 

excess  of  receipts . . 
Another 


$20,511 
22,263 
38,525 

1,825 
*'i,"746" 


84,870 


1904. 


$25,177 
34,155 
40,397 

1,387 

153 

9,392 


110,661 


$24,017 
34.319 
42,430 

1,305 

284 
8,293 


1905. 


1900. 


581,241 
665,363 
916,772 

72,091 

29,106 
6,939 


703,077 
926,022 
934,604 

69,752 

15,012 
14,381 


110,648 


$25,738 
34.917 
44,217 

1,172 

5 


$27,742 
38,621 
75,693 

1,161 

"i,"825' 


106,049 


145,042 


Grandtotal |    2,271,512 


2,662,908 


672,139 
932,850 
920,443 

72,039 

17,628 
24,613 


2,639,712 


650,859 
915. 447 
927,793 

68,874 

25,600 
11,270 


2,599,843 


697,519 
978, 5«:0 
977,328 

90,993 

19,707 
10,504 


2,774,611 


1907.« 


$16.2gr 
22.306 
22.760 

eas 


218 


62.269 


392.522 
541. 4S5 
447,178 

25,244 

13,458 
9.419 


1,429,406 


EXPENDITUBES. 

Adriatic  fund: 
Pensions  to — 

Members 

$707,979 

258.796 

8,595 

$734,101         $753,190 

275,153           298.115 

8,318              8,681 

$794,567 

296,700 

7,819 

$859,951 

330. 779 

8,013 

Widows 

$414,042 

Orphans 

164.337 

3,901 

Total  pensions..   . 

975,370 

1,017,572  i     1,059,986 

1,099,086       1.198,743 

582.280 

iiUmp-sum  benefits . . . 
All  other  expenditures. 

1,352 
5,645 

327 
15,200 

286 

4,418 

1,756 
1,519 

802 
195 

531 

Total  expenditures.. 

982,367 

1,033,099 

1,064,690 

1,102,361 

1.199,740 

582.811 

Mediterranean  fund: 
Pensions  to — 

Members 

890,897 

376,681 

9,582 

933.384 

972,356 

993,440 

437,794 

11,418 

1,018.006 

457,223 

11,608 

Widows 

516.285 

Orphans 

iiy4,y24  1       41/, /M 

9,929  '          11,280 

228,918 

5,977 

Total  pensions 

Lump-sum  l^enefits. . . 
All  other  expenditures. 

1,277,100 

1,338,237  1     1,401,400 

1,442,652 

1.486,837 

751,180 

3,086 

1,280 

1,122 
377 

898 
160 

1,274 
10,288 

601 

105 

Total  expenditures. . 

Sicilian  fund: 
Pensions  to— 

Members 

1,280.246 

1,339,517 

1.402,899 

1,443,710 

1,498,399 

751.886 

(ft) 
(ft) 
(ft) 

(ft) 
(ft) 
(ft) 

37.210 
15,202 

118 

37,054 

17,965 

41 

Widows 

17.961 

Orphans 

9,6:)2 

20 

Total  pensions 

37.G(.9 

42,274 

49,855 

62,530 

55,050 

27,633 

All  other  expenditures. 

160 
347 

126' 

218 
8 

is" 

Total  expenditures . . 

Total  funds: 

Pensions  to — 

Members 

37,6C9 

42,781 

49,981 

52,756 

1,825,217 

749.696 

19,355 

55,063 

27,633 

c 1,598, 876 

c 635. 477 

« 18, 177 

cl, 607,485 

c 670, 077 

c 18, 247 

c 1,725,546 

c 715, 879 

c 19, 961 

1,915.011 

805,957 

19,662 

Widows 

948.308 

Orphans 

402,887 

- 

0,888 

Total  pensions 

T  __                               . 

2,290,199 

2,398,083 

2,511,243 

2,594,268 

2,740,630 

1.361,093 

l^ump-stira  benefits 
All  other  expenditures! 

4,438 
5,645 

1,767 
15,547 

1,408 
4,921 

2,872 
1,687 

2,076 
10,496 

1,132 
106 

Total  expenditures.. 

2,300,282 

2,415,397 

2,517,570 

2,598,827 

2,753,202 

1.362,330 

»  *  irst  6  months  only,    b  Not  .«>- 

larif^elxT  1-OT-./1 

T^t\^             e>  XT.«.4. 

i_     1..  J*             ^, 

SicUian  fund,  not  separately  reported. 


1962 


REPORT   OF   THE   COMMISSIONER  OF   LABOR. 
STATE   RAILBOAD   MTTTTTAL   BENEFIT   SOCIETY. 


Tins  institution  was  primarily  a  compulsory  sickness  insurance  so- 
ciety and  only  secondarily  an  old-age  pension  fund  at  the  same  tim(3. 
Gradually,  however,  the  old-age  benefits  became  the  most  important 
funetion,  and  eventually  widows'  and  orplians'  pensions  were  added. 
Ihe  history  of  the  origin  and  various  changes  of  the  individujd 
mutual  benefit  societies  and  their  consoHdation  into  one  organization 
has  been  given  hereinbefore. 

The  purpose  and  scope  of  this  society  embraces  medical  and  sani- 
tary service,  sick  benefits,  invalidity  pensions,  or  lump-sum  subsidies 
where  the  right  of  pension  has  not  yet  been  acquired,  and,  in  addition, 
similarly  to  the  pension  fund,  it  assumed  the  administration  of  acci- 
dent compensation  to  its  members.  Since  1905  it  has  also  granted 
pensions  to  widows  and  orphans. 

Membership  in  this  fund  was  compulsory,  and  included  all  persons 
who  held  membership  in  one  of  the  three  mutual  benefit  societies  on 
December  31,  1896.  This  included  mainly  the  employees  of  lower 
grades;  but  as  in  the  original  constitution  of  the  Mutual  Benefit 
Society  of  the  Alta  Italia  Railroad,  employees  were  permitted  to  hold 
membership  in  both  organizations.  Many  of  the  emplovees  retained 
membership  in  both  the  pension  fund  and  the  mutual  benefit  so- 
ciety.  These  evidently  did  not  need  any  of  the  invalidity  and  old- 
age  pensions  of  the  mutual  benefit  society.  The  membership  was 
therefore  divided  into  two  groups,  ^^ordinary,''  who  hdd  member- 
ship  m  the  mutual  benefit  society  only,  and  '^aggregate''  members 
{compaHedpanti  aggregati)  holding  membership  in  both  organizations. 

The  activity  of  this  institution  was  many  sided,  as  explained  above! ' 
It  embraced  insurance  against  sickness,  accidents,  old  age  and  inva^ 
hdity,  ^^r\\}l  some  provisions  for  the  orphans  and  widows,  not  so  exten- 
sive by  far  as  in  the  ci.se  of  pension  funds. 

BENEFITS. 

A  free  medical  service  was  kept  up  and  supported  by  ihe  mutual 
benefit  society  m  conjunction  with  the  second  section  of  the  new 
provident  institute,  both  societies  contributing  their  respective 
shares  of  the  net  cost  in  proportion  to  the  total  annual  salaries  of  the 
respective  memberships.  The  constitution  of  1907  further  pro- 
vided that  as  soon  as  this  amount  becomes  greater  for  the  second 
section  of  the  new  provident  institute  the  management  shaU  be 
transferred  to  it. 

Some  features  of  this  medical  service  were  free  to  all  employees 
of  the  railroads,  whether  holding  membership  in  either  of  the  two 
organizations  or  not.  These  free  functions  included  (1)  the  deter- 
mmation  of  the  fact  of  illness;  (2)  the  furnishing  and  maintenance 


CHAPTER  VII. workmen's   INSURANCE   IN    ITALY.  1963 

in  repair  of  orthopedic  apparatus  (this,  however,  was  limited  to 
results  of  injuries  in  the  course  of  service,  as  far  as  nonmembers 
are  concerned);  (3)  the  supply  of  antifebriles  in  recognized  cases  of 
malaria;  and  (4)  the  maintenance  of  life-saving  appliances  and 
furnishing  of  emergency  first  aid.  The  cost  of  the  last  two  functions, 
and  also  of  the  first  two  as  far  as  applied  to  nonmembers,  was  reim- 
bursed to  the  mutual  benefit  society  by  the  railroad  administration. 
Medical  Aid  to  Members.— The  medical  care  of  the  members  of 
the  mutual  benefit  society  and  of  the  second  section  of  the  provident 
institute  was  not  limited  to  the  few  functions  enumerated  above. 
It  included  all  medical  and  surgical  aid,  medicines  or  their  cost, 
hospital  treatment  when  necessary,  and  other  special  treatment 
during  illness  or  convalescence  (but  not  including  the  cost  of  boarding 
and  lodging),  the  cost  of  transportation  of  the  sick  or  injured  mem- 
bers to  their  homes  or  to  the  hospital,  and,  finally,  funeral  benefits, 
calculated  at  5  per  cent  of  annual  wages,  but  not  below  30  lire 
($5.79). 

Sick  Benefits. — The  above  numerous  forms  of  medical  and  surgi- 
cal or  pharmaceutical  aid  were  granted  to  all  members  of  the  mutual 
benefit  society  as  well  as  to  those  of  the  second  section  of  the  provi- 
dent institute.  The  sick  benefits,  as  compensation  for  wages  lost, 
were  paid  only  to  the  ''ordinary"  members,  when  because  of  illness 
no  wages  were  paid.  The  sick  benefits  amounted  to  two-thirds  of 
the  daily  wage  beginning  with  the  fourth  day  of  illness  and  for  not 
over  180  days  in  any  one  calendar  year.  No  sick  benefits  were  paid 
in  case  of  ilhiess,  due  to  disorderly  conduct,  vice,  fights,  or  in  work 
outside  of  the  railroad  service,  or  when  the  sick  member  declined  to 
enter  a  hospital  when  directed  or  to  subject  himself  to  the  orders  of 
the  physicians  of  the  society. 

Old-age  and  Invalidity  Pensions.— These  may  be  described 
under  two  headings,  pensions  and  lump-sum  payments.  Old-age 
and  invalidity  pensions  were  primarily  intended  for  the  ''ordinary" 
menibers,  the  "aggregate"  members  receiving  very  little  outside  of 
medical  treatment  and  other  similar  benefits. 

The  constitution  of  the  society  did  not  provide  for  any  straight 
old-age  pensions,  but  only  for  "continuous  disability  benefits." 
This  means  that  the  society  did  not  recognize  any  standard  retire- 
ment age;  but  as  the  benefits  were  continuous  they  may  be  classified 
with  pensions,,  and  as  they  were  paid  for  disability  they  seem 
necessarily  to  include  disability  arising  from  old  age.  The  require- 
ment of  15  years  of  membersliip  as  a  condition  of  granting  such 
benefits  brings  them  still  nearer  to  old-age  pensions. 

After  15  years  of  membership,  if  forced  to  give  up  his  employment 
because  of  proven  disability  (invalidity)  the  male  employee  holding 
membership  in  the  society  received  a  continuous  benefit  (or  pension) 


1964 


BEPOBT  or  THE  COMMISSIONEE  OF  LABOB. 


IjCMP-SUM    BENEFrrs    to    Membfkq       Tf    .  '        1 

relieved  of  his  position  hecluT^TT{^-l  u  .""^  ""iployee  was 
bership  in  tlie  societv Ln      J  n^«J'^t>'  before  15  years  of  mem- 

the  last  three  veai3  LrlZht  f  T'^^  *'^""'  ^^'"'y  during 
of  two  montls'7y  aecrdinrt:  Irr"'^"^^^^  "'"\^  "^^--^ 
disabihty  was  due  iTinSn   reSvlw  ^'"■'^'  '°°""*  '"^^'-     " 

this  benefit  was  increase"  b7o7e-fStithr^'"'  '""  ^^f^*"'^' 
average  annual  salary  '  ^'^^'  *  mimnium  of  half  the 

siol' werja'nt^dTf  ^'T^^^T''''  "'"'^'^^^  ^^^^^^  or  pon- 

the  last   3    veara  )JTjh  .       *''^  ^^^'^S**  ^"""^  «alary  of 

length,  buUra'^JirU'rt'tV^'^^^^^^^ 

ZeCliZeTrirjvtii  r- ^^-  -^^^^^ 

.ght.  as  a^:uS;L:itf  st^ro^r.^^  ^^*^  ^- 
ber"x"x  d^fjrrr;e^r  Thr  ^^"  -- 

sum  benefit  computedTccordin!  t  T  '^'^*'?'^>ty'  received  a  lump- 
tbe  amount  paidt  Mnrb;te^lltT:r  ^'  '^-^  ^^^'^  ^^^^^ 

pen^tlnTrrtu^anetTsLLtJ'^  ^  P-^  ^-  ^He 

benefit  societies  c^frpro^^tf™  "''^''*^^^^  ""/  '^'  '""*"'J 
orphans  of  deceased  menfCor  JinSoronW  *'"  r^'^'^' 
the  law  of  April  22  1905  fArt  21  w!  i  ?  V  ®  societies.  But 
roads  by  the  Governmen  n!'  . '  f'f"'**J^g  ^^^^  operation  of  rail- 
beginning  with  July  nQosiTl^tli^  ^r*"''  ^^^^-^-on 

members  who  die  or  wl  th         .       !        *''"'  ^**  "'P''*""  "^  ^^^^^ 
wno  die  or  leave  the  railroad  service  after  June  30,  1905 


CHAPTER  VII.— WORKMEN 'S  INSURANCE  IN   ITALY.  1965 

No  rights  were  acquired  by  tliis  amendment  by  the  sur%-ivors  of 
deceased  members  who  died  before  July  1,  1905,  or  who  died  subse- 
quently but  had  been  separated  from  the  service  before  July  1,  1905 

The  widow's  right  was  subject  to  the  condition  that  she  had  not 
been  legally  separated  from  her  husband  through  any  fault  of  hers. 
Furthermore,  both  her  rights  and  those  of  her  children  were  condi- 
tioned upon  the  foUowing:  That  her  marriage  had  taken  place  at 
least  two  years  before  the  day  of  the  member's  death  or  dismissal 
from  service,  Mid  that  it  was  solemnized  before  the  husband  was  50 
years  old.  This  latter  condition  was  waived,  however,  if  the  death 
was  due  to  malaria  or  injury.  All  minor  children,  whether  legitimate 
illegitimate,  adopted,  etc.,  provided  they  were  unmarried,  were 
entitled  to  share  in  the  pension. 

These  conditions,  appUcable  to  widows  and  children,  were  waived 
in  case  of  marriages  solemnized  before  July  1,  1905.     The  widows' 
pensions  were  to  run  until  death  or  remaniage,  and  the  children's 
pensions  untU  reaching  majority,  or  m  case  of  the  giils,  until  marriage 
if  preceding  such  majority.  ' 

The  pension  which  the  deceased  member  had  been  actually  receiv- 
mg  before  death,  or  if  he  died  in  active  service,  that  to  which  he  would 
have  been  entitled  if  he  had  been  forced  to  resign  because  of  invaUdity 
on  the  day  of  his  death,  was  taken  as  a  basis  of  these  ^\idows'  and 
orphans' pensions. 

Of  the  actual  or  computed  amount  of  the  member's  pension  the 
widow  received  50  per  cent  if  she  alone  survived,  and  if  minor  chil- 
dren also  survived  she  received  65  per  cent  in  all.  If  children  alone 
survived  they  received  50  per  cent  equally  distributed,  with  a  new 
redistribution  eveiy  time  one  of  them  became  of  age.  If  only  one 
minor  child  survived  he  received  25  per  cent. 

If  in  addition  to  the  widow  and  her  children  other  minor  children 
of  the  deceased  by  a  previous  marriage  survived,  the  65  per  cent  was 
distributed  in  equal  shares  among  all  these  survivors,  the  widow 
receiving  two  shares,  and  in  no  case  less  than  25  per  cent. 

These  pensions  or  continuous  payments  to  the  widow  and  chUdren 
were  evidently  the  exception,  for  they  were  due  only  to  the  widow  or 
children  of  such  members  as  were  receiving  or  were  entitled  to  pen- 
sions at  the  time  of  death,  and  moreover,  only  if  the  grantin.'  of  the 
pension  or  the  death  in  service  had  taken  place  since  July  1  1905 
If  the  husband  died  in  active  service  before  15  years  of  memberehip 
or  If  he  died  as  a  pensioner,  said  pension  havmg  been  granted  to  him[ 
before  July  1,  1905,  the  family  received  only  a  smaU  lump-sum  bene- 
nt.  If  he  died  m  service  this  lump  sum  amounted  to  one-twentieth 
of  the  average  annual  salary  of  the  last  three  years  of  service  for 
each  year  of  membership  m  the  society,  with  a  mhiimum  of  two 
months   pay  and  a  maximum  of  one  year's  pay  according  to  such 


1966 


EEPOET  OF  THE  COMMISSIONER  OF  LABOR. 


disease  which  are  compensated  under  special  laws  or  regulations 

If  a  member  who  was  reUeved  from  the  servicp  ZH  ■' ■ 

a  pension  died  and  his  family  was^t  entltC^  ?  ^     'f^'^'^^ 

f "Sf  :t^^t  ittir -bS  :E 

of  recogmzed  mistake  in  a  disciplinary  .lismis^      B,,,  X^       , 

♦k„  „       -i     .  •  "t*    .  *  **^'  *i<»  who  were  not  memb(!rs  of  anv  nf 
the  providen   mstitut  ons  and  were  not  insured  in  some  o the   way 
The  proyisions  regulating  this  branch  of  the  societv^.,  nrnt-.      ^* 

pTsSi^dt'^'Th  T-  ^°  •:  ^""^™^  thVr/^::Lrof7h: 

pS-t^^tyislt  tHl^^al^^^^^^^  came 

benefit    society  the  payments  as  regulaterbTthl Tw    mlT 
received  the  payments  due  to  them  as  member  and  if  T.,';,  *! 


CHAPTER  VII.— workmen's   INSURANCE   IN   ITALY.         1967 

tion  due  under  the  law,  the  cost  of  medical  treatment,  etc.  ^Mien 
pensions  instead  of  lump-sum  payments  were  due  under  the  accident 
law,  the  capital  necessary  was  transferred  to  the  National  Old-  \ge 
and  InvaHdity  Insurance  Institution,  by  which  the  annuities  were 
paid. 

SOURCES   OF   INCOME. 

Notwithstanding  the  important  extension  of  benefits  by  the  law 
of  AprU  22,  1905,  granting  widows  and  orphans'  pensions,  the  general 
scale  of  benefits  paid  by  the  mutual  benefit  society  was  somewhat 
lower  than  that  of  the  pension  fund.  On  the  other  hand,  the  cost  of 
medical  service  and  sick  benefits  was  a  charge  which  the  pension  fund 
was  not  called  upon  to  meet.  The  sources  of  revenue  of  the  mutual 
benefit  society  were  numerous,  as  is  seen  from  the  following  list* 

1.  Assets  transferred  to  the  society  at  the  time  of  its  organization 
or  to  be  transferred  to  it  in  conformance  with  the  law  of  March  '>9 
1900  (surtax  upon  rates.)  ' 

2.  The  deductions  from  the  members'  pay. 

3.  Contributions  from  the  railroad  administration. 

4.  Income  from  fines  and  penalties  imposed  upon  the  railroad 
personnel. 

5.  The  net  proceeds  of  the  sale  of  unclaimed  articles  found  any- 
where on  the  railroad  premises. 

6  The  net  proceeds  from  the  sale  of  railroad  tariffs  and  time- 
tables. 

7.  The  unclaimed  overcharges  on  freight. 

8.  Excess  sums  found  in  the  cash  accounts  of  stations 

9    Donations  and  legacies  without  special  designation  of  purpose. 

10.  All  other  revenue  which  may  be  assigned  to  the  society 

11.  Income  for  the  investment  of  the  funds 

Members'  CoNTRiBUTiONS.-Most  of  these  sources  of  revenue  were 
mdehnite  contingent  upon  many  other  conditions;  but  the  contribu- 
tions of  the  employees  and  employers  were  strictly  established  by  the 
constitution.  J      ^ 

The  ordinary  members  contributed  untU  October  21,  190'>  3  per 
cent  and  since  that  date  3i  per  cent  of  their  salaries  and  other  emolu- 
ments for  contract  work,  overtime,  etc.  As  in  the  case  of  the  pension 
funds,  these  contributions  were  partly  offset  bv  an  annual  redistribu- 
tion among  those  members  who  are  subject  to  the  accident  law  of 
one-half  of  the  reimbursements  from  the  raUroad  administration  to 
the  society  for  payments  under  the  accident  insurance.  The  reason 
for  such  redistribution  is  patent.  As  the  mutual  benefit  society  out 
of  Its  own  funds  compensated  for  invahdity  due  to  accidents  those  of 
Its  members  who  were  not  protected  by  the  accident  law  and  was 


.  / 


1968 


EEPOBT   OF   THE  COMMISSIONEB  OF   LABOR. 


reimbursed  when  granting  accident  compensations  to  persons  so 
protected,  it  is  evident  that  a  portion  of  its  revenues  was  expended 
in  a  form  of  benefits,  payable  only  to  those  of  its  members  not  other- 
wise provided  for,  and  if  their  contributions  were  equal  to  those  of 
the  members  protected  by  the  accident  law,  then  in  view  of  tlie 
mutual  character  of  the  society,  one  class  of  members  would  l)e 
contributing  for  the  benefit  of  the  other  class.  The  amount  so  dis- 
tributed was  very  slight  however. 

The  ''aggregate''  members,  whose  rights  to  benefit  were  rather 
limited,  paid  only  1  per  cent  of  their  salary. 

Employers'  Contribution.— The  regidar  contributions  of  the 
railroad  administration  were  increased  twice  since  their  reorganiza- 
tion in  1890.  Up  to  October  21,  1902,  they  amounted  to  3  per  cent, 
or  were  equal  to  those  of  the  employees.  From  October  21,  1902,  to 
December  31,  1905,  they  were  4.2  per  cent,  and  since  January  1,  1900, 
they  became  very  heavy,  amounting  to  8.15  per  cent  of  the  annual 
wages  of  the  ''ordinary"  members.  It  contributed  nothing  on 
account  of  the  "aggregate"  members.  This  contribution  was  in- 
creased since  the  nationalization  of  the  railroad  business,  when  pen- 
sions to  widows  and  orphans  were  introduced,  thus  considerably  re- 
ducing the  difference  between  the  respective  benefits  of  the  better 
paid  members  of  the  pension  fund  and  the  lower  paid  members  of  the 
mutual  benefit  society. 

administration. 

The  rules  for  administration  of  the  mutual  benefit  society  were 
practically  identical  with  those  of  the  pension  fund. 


STATISTICS. 

Membership.— The  movement  of  the  membership  of  the  three 
mutual  benefit  societies  is  shown  in  the  following  table.  The  decrease 
in  membership  was  even  more  rapid  than  in  the  case  of  the  pension 
funds,  for  a  large  proportion  of  the  members  were  employees  of  the 
lower  grades,  in  which  changes  are  more  frequent  and  tenure  of 
service  less  secure.  As  was  explamed  above,  there  were  two  grades 
of  membership,  "ordinary"  and  "aggregate,"  the  latter  holding  mem- 
bership in  the  pension  fund  at  the  same  tune.  The  total  average 
annual  membership  decreased  from  60,851  to  36,789,  or  nearly  40  per 
cent.  The  greatest  reduction  was  in  the  number  of  "aggregate" 
members,  which  was  reduced  to  less  than  one-half,  decreasing  from 
the  time  of  the  first  reorganization  of  the  society  in  1890.  The 
number  of  "ordinary"  members  began  to  decrease  in  1896,  when 
admission  of  new  members  was  discontinued.  The  decrease  of  mem- 
bers proceeded  from  two  reasons,  not  only  because  of  se})aration  from 


CHAPTER  VIL— workmen's   INSURANCE   IN    ITALY.  1969 

the  service,  through  death,  invalidity,  resignation,  dismissal  or  any 
other  reason,  but  also  by  promotion  from  a  daily  wage  to  a  monthly 
salary  which  carried  with  it  a  transfer  from  membership  in  the 
mutual  benefit  society  to  that  in  the  pension  fund. 

AVERAGE  ANNUAL   MEMBERSHIP   OF   THE    THREE    MUTUAL   BENEFIT   SOCIETIES 

1890  TO  1907.  '^'xxr.o, 

[Source:  The  annual  reports  of  the  societies.] 


Adriatic  society. 

Mediterranean  society. 

Sicilian 
society. 

Total. 

Year. 

"Ordi- 
nary" 
mem- 
bers. 

"Aggre- 
gate" 

mem- 
bers. 

Total 
mem- 
ber- 
ship. 

"Ordi- 
nary" 
mem- 
bers. 

"Aggre- 
gate" 
mem- 
bers. 

Total 
mem- 
ber- 
ship. 

"Ordi- 
nary" 
mem- 
bers. 

"Ordi- 
nary" 
mem- 
bers. 

"Aggre- 
gate" 

mem- 
bers. 

Total 
mem- 
ber- 
ship. 

1890 

1891 

1892 

1893 

1894 

1895 

1896 

1897 

1898 

1899 

1900 

1901 

1902 

1903 

1904 

1905 

1906 

1907(a).... 
1907(b)... 
1907 

20,801 
21,091 
21,418 
20,603 
19, 788 
19, 128 
18,605 
17,950 
17,161 
16,465 
15,744 
15,083 
14,525 
13,981 
13,513 
13, 136 
12,829 
12,602 

5.713 
5,508 
5,148 
4,841 
4,611 
4,369 
4,135 
3,906 
3,681 
3,456 
3,255 
3,057 
2,824 
2,588 
2,356 
2,168 
2,014 
1,909 

26,514 
27,199 
26,506 
25,444 
24,399 
23,497 
22,740 
21,856 
20,842 
19,921 
18,999 
18, 140 
17,349 
16.509 
15,869 
15,301 
14,853 
14,511 

18,060 
18,061 
18,103 
18,549 
18,936 
19,442 
20,263 
20,301 
19,329 
18,540 
17,923 
17,110 
16,409 
15.878 
15,322 
14,839 
14,404 
14,060 

13,792 

13,399 

13,002 

12,636 

12,193 

11,734 

11,349 

10,970 

10,574 

10,144 

9,690 

9,218 

8,768 

8.360 

7,921 

7,512 

7,171 

6,942 

31,852 

31,460 

31,105 

31.185 

31,129 

31,176 

31.612 

31,277 

29,903 

28.684 

27,613 

26,328 

25.177 

24,238 

23.243 

22.351 

21.575 

21,002 

2,485 
2,459 
2.405 
2,405 
2,444 
2,605 
2.751 
2,743 
2,632 
2,491 
2,347 
2,230 
2,139 
2,039 
1,946 
1,887 
1.845 
1,808 

41,346 

42,211 

41,936 

41,557 

41,168 

41,175 

41,619 

40,994 

39,122 

37,496 

36.014 

34.423 

33,073 

31.898 

30.781 

29,862 

29.078 

28,470 

27,9C0 

28. 210 

19,505 

18,907 

18,150 

17.477 

16.804 

16,103 

15,484 

14,882 

14,255 

13,600 

12,945 

12.275 

11,592 

10.948 

10.277 

9.6S0 

9.195 

8.851 

8,478 

8,579 

00.851 

61.118 

60,076 

59,034 

67,9?2 

57,278 

57.103 

55.876 

53.377 

51,096 

48.959 

46.698 

44.665 

42.846 

41,058 

39.542 

38.273 

37.321 

36.438 

36.789 





a  First  six  months. 

The  number  of  employees  separated  from  the  service  throu.'h  dis- 
abihty,  death,  resignation  or  cUsmissal  is  shown  for  the  mutual 
beneht  societies  as  far  as  data  were  available  in  the  following  table 
Ihe  rate  of  retirement  is  somewhat  lower  than  that  of  the  member- 
ship of  the  pension  funds,  because  there  is  no  provision  for  regular 
o  d-age  retirement  and  because  of  the  transfer  of  large  numbers  of 
older  men  to  the  pension  funds.  The  death  rate  does  not  appear 
to  be  much  greater  than  for  the  pension  fund  membership 


I 


1970 


REPORT   OF   THE  COMMISSIONER  OF   LABOR. 


MOVEMENT  OF  MEMBERSHIP  IN  THE  MUTUAL  BENEFIT  SOCIETIEH,  1902  TO  1907. 

[Source:  The  annual  reports  of  the  societies.] 


Number  of  members — 


Members  lost  because  of— 


Society  and  year. 


1902... 
1903... 
1904... 
1905... 
1906... 
1907(6) 
1907(c) 


In  Jan- 
uary. 


33,604 
32,505 
31,373 
30,292 
29,434 
28, 721 
d28,321 


Ad- 
mit- 
ted 
dur- 
ing 
year. 


Resignation 
or  dismissal. 


14 

10 

3 

8 
2 


Total. 


33,618 
32,515 
31,376 
30,300 
29, 436 
28,721 
28,324 


a  Not  separately  reported.        5  First  six  months.        c  Last  six  months;  united  society.        d  I„  July 


Salaries.— For  the  proper  appreciation  of  the  data  concernincr  the 
pensions  granted  it  is  necessary  to  get  a  clear  idea  as  to  the  average 
salaries  paid,  and  such  data  would  be  meaningless  unless  given  by 
separate  occupational  groups.  Such  data  are  presented  in  the  fol- 
lowing table,  as  far  as  available,  namely,  for  the  Adriatic  fund  for 
1890  to  1903  and  for  the  Mediterranean  fund  for  1890  to  1901  In 
the  original  reports  of  the  Adriatic  fund  the  wages  were  stated  by 
the  day  for  1890  to  1892,  and  in  the  subsequent  years  they  were 
stated  m  computed  annual  amounts  on  the  assumption  of  340  work- 
ing days  per  annum.  The  same  method  of  computation  was  there- 
fore used  for  the  earher  three  years  as  well. 

The  average  earnings  of  the  entire  membership  of  these  societies 
are  only  about  one-half  of  that  of  the  members  of  the  pension  funds 
This  IS  partly  due  to  the  inclusion  of  the  female  employees  in  the 
track  service  who  are  paid  a  mere  pittance  of  about  $33^  to  $35  per 
annum.     But  the  differences  are  considerable  even  if  separate  groups 
are  considered,"  which  clearly  indicates   that  the  lower-paid  portion 
of  the  personnel  held  membership  in  the  mutual  benefit  societies 
Some  increase  in  the  average  salary  has  been  noticeable,  but  not  so 
great  as  m  case  of  those  who  belonged  to  the  pension  funds.     There 
is  practically  none  as  far  as  the  ^lediterranean  society  is  concerned 
for  the  years  1890  to  1901,  and  the  increase  in  the  Adriatic  society 
seems  to  be  due  mainly  to  the  rapid  decrease  in  the  number  of  em- 
ployees of  some  low-paid  groups.     As  the  promotion  of  an  employee 
to  a  higher  group  was  followed  by  his  transfer  to  the  pension  fund, 
this  explains  the  slow  rate  of  increase  of  the  average  salary. 


CHAPTER  VII. workmen's   INSURANCE   IN   ITALY.  1971 

MEMBERS  OF  THE  MUTUAL  BENEFIT  SOCIETIES  AND  THEIR    WERAGE    VXVT-AT 
WAGES,  1890  TO  1903,  BY  BRANCH  OF  THE  SERVICE  ^^^-^^AL 

[Source:  The  annual  reports  of  the  societies.] 


Society  and  year. 


Adriatic  Society: 

1890 

1891 

1892 ■" 

1893 

1894 

1895 

1896 

1897 

1898 

1899 .'  ■ "  ■ 

1900 

1901 

1902 

1903 .." 

Mediterranean  Society: 

1890 

1891 

1892...- 

1893 

1894 

1895 

1896 

1897 

1898 ■ 

1899 

1900 

1901 


Society  and  year. 


Engineers  and 
nrenxen. 


Mem- 
bers. 


705 
771 
812 
508 
450 
343 
334 
275 
225 
175 
112 
106 
109 
107 

310 
283 
358 
357 
356 
345 
337 
364 
333 
421 
468 
505 


Aver- 
age an- 
nual 
wages. 


Train  service. 


Mem- 
bers. 


1177 
177 
177 
177 
179 
184 
185 
192 
198 
207 
230 
239 
243 
246 

189 
185 
175 
175 
177 
176 
177 
177 
175 
173 
172 
169 


893 
893 

887 


929 
952 
958 
785 
701 
027 
536 
480 
436 
418 

376 
319 
315 
322 
325 
366 
440 
501 
598 
706 
842 
823 


Aver- 
age an- 
nual 
wages. 


S140 
143 
145 
148 
149 
151 
154 
156 
159 
163 
169 
176 
182 
187 

146 
147 
148 
148 
145 
144 
141 
141 
140 
140 
141 
141 


Maintenance  of 
way  (males). 


Mem- 
bers. 


Aver- 
age an- 
nual 
wages. 


station  service. 


Mem- 
bers. 


Adriatic  Society: 

1890 

1891 

1892 

1893 ------- 

1894 

1895 

1896 

1897 

1898 

1899 

1900 

1901 

1902 

1903 .".■.'!.'.""|        4'99i 

Mediterranean  Society:  ' 

1890 

1891 

1892 ■; 

1893 

1894 

1895 

1896 

1897 

1898 

1899 

1900 


7,195 
7,417 
7,214 
6,960 
6,641 
6,408 
6,254 
6,099 
5,902 
5,717 
5,520 
5,352 
5,175 


Aver- 
age an- 
nual 
wages. 


Office  employees, 
etc. 


Mem- 
bers. 


6,680 
6,525 
6,347 
6,395 
6,206 
6,257 
6,531 
6,031 
5,427 
4,981 

1901 :;:;:;::::::     ifm 


S138 
138 
139 
142 
144 
146 
148 
151 
153 
156 
158 
161 
166 
160 

138 
138 
137 
138 
138 
138 
138 
139 
140 
143 
145 
144 


Aver- 
age an- 
nual 
wages. 


246 

238 

236 

250 

269 

267 

276 

273 

282 

274 

270 

285 

291 

288 

389 
330 
301 
260 
258 
221 
306 
200 
128 
130 
140 
175 


$182 
184 
184 
185 
184 
183 
187 
188 
189 
194 
196 
202 
211 
215 

196 
202 
202 
201 
208 
216 
208 
229 
252 
249 
245 
259 


7,904 

$108 

7,795 

108 

7,476 

109 

7,2^ 

110 

7,055 

111 

6,904 

111 

6,787 

112 

6,440 

113 

6,206 

114 

5,975 

115 

5.772 

116 

5,536 

118 

5,333 

123 

5,066 

125 

4.496 

111 

4.583 

111 

5,078 

109 

5.454 

108 

5,^48 

107 

6.195 

107 

6.498 

106 

6.331 

107 

6,159 

107 

6.039 

108 

5.883 

111 

5,666 

112 

Shop  employees. 


Mem- 
bers. 


4,006 

4,070 

3,992 

3,818 

3,697 

3,589 

3,461 

3,348 

3,248 

3,137 

2,963 

2,845 

2,743 

2,669 

4.805 
4,655 
4,627 
4,536 
4,573 
4,635 
4,951 
4,796 
4,614 
4,513 
4,321 
4,012 


Aver- 
age an- 
nual 
wages. 


$191 
191 
192 
194 
195 
197 
198 
200 
202 
204 
207 
210 
220 
223 

203 
202 
200 
200 
208 
209 
207 
210 
212 
216 
217 
220 


Maintenance  of 
way  (females). 


Mem- 
bers. 


Aver- 
age an- 
nual 
wages. 


663 
579 
453 
428 
398 
354 
322 
289 
250 
213 
194 
172 
149 
135 

1,202 
1.168 
1.317 
1,431 
1.550 
1.750 
1,095 
1,622 
1,554 
1,476 
1.389 
1,299 


S32 
32 
33 
33 
32 
33 
33 
33 
33 
34 
34 
34 
34 
34 

35 
34 
34 
34 
34 
33 
33 
33 
33 
33 
33 
33 


Total. 


Mem- 
bers. 


Aver- 
age an- 
nual 
wages. 


21,612 
21.763 
21,070 
20,137 
19,439 
18,817 
18,392 
17,509 
16,814 
16,118 
15,367 
14, 776 
14,236 
13,674 

18.258 
17,863 
18,343 
18,755 
19,116 
19, 769 
20,758 
19,845 
18,813 
18,266 
17.580 
16,649 


$135 
137 
138 
140 
141 
143 
144 
146 
148 
150 
152 
155 
161 
164 

144 
143 
140 
138 
139 
137 
138 
139 
140 
142 
144 
145 


1972 


BEPOET  OF  THE  COMMISSIONEE  OF  LABOR. 


^Statistics  of  SiCKNEss.-During  the  period   1891   to   1900  the 

cernmg  the  cause  of  chsabihty,  data  wJ.ich  give  a  rare  and  valuahl^ 
opportuBity  to  compare  the  sickness  rates  and  the  naturTof  dfsea  t 

reliable  s  ckness  statistics  by  occupations  in  this  country  that  the 
presentation  of  these  data  is  thought  to  be  useful  ^' 

pres"  Sed  on"r^.*r'  '^'  f  *'^  '^''  ^""^  '"^  ^  ^^^'^ed  because 
presented  on  a  different  classification  of  diseases.  As  the  num- 
bers upon  which  the  rates  are  based  are  not  very  large  (abo^t 
30  000  employees  for  each  year),  and  fo,  each  separate  group  vey 
much  smaller  It  was  thought  preferable  to  combine  the  data  L  Ihe 

Dmecl  data.  The  total  membership  for  the  nine  vears  is-  F,>r 
engmeer.  and  firemen,  16,027;  train  service,  16,620;  mltenance  o 

pZesT ;  l^'Zr''  «^'^«^=  --^"-e  'of  way  (femaHm! 
ployees),  16  370,  station  service,  97,853;  office  force,  etc.,  6,367-  shoD 

SnThT'-orr'  *?*''S^!f'««^-  ^  "-  table  the  .liff^e t' 
tween  the  ordmary"  and  "aggregate"  members  is  disregarded  and 
all  sickness  is  mcluded,  whether  compensa  ted  or  not. 

Ihe  variations  from  year  to  year  are  not  disclosed  in  these  table. 
Such  variations  may  be  due  to  purely  local  or  temporal^  causefan  i 
are  not  important,  but  rather  form  a  disturbing  elemenUn  the  stud  v 
of  sickness  rates,  except  as  they  might  ii.dicai  a  tendency  toward 
an  increase  or  decrease.  ^"ueQcy  toward 

SERVICE.  ^^^   ^^^^  YEARS   1892  TO   1900,   BY  BRANCH  OF 

_ [Computed  from  the  annual  reports  of  the  societies.] 


Causes  of  disability. 


EngintHTs  and  firemen. 


Cases  of  disability. 


Nuinl)er. 


DISEASES. 


Per  cent 
of  total. 


Infectious  diseases. . 

Malaria "' 

General  tuberculosis 

Syphilis 

Diseases  of— 

Metabolism 

Nervous  system 

Respiratory  system. .'..'.." 

Circulatory  system 

Genito-urinary  system! 

Digestive  svstem .. . 

Organs  of  locomoti<m 

Theskin...  

Affecting  sight .* "' 

Affecting  hearing 

Hernia 


Total. 


9,668 
2,805 

eo 

218 

152 

2.071 

3.110 

778 

453 

10.085 

5,205 

3,922 

1,331 

147 

98 


22.2 

6.5 

.1 

.5 

.3 
4.8 
7.2 
1.8 
1.0 
2a2 
12.0 
9.0 

ai 

.3 
.2 


Average 

per  1») 

members 


Days  of  di»jj>ility. 


Number. 


Per  cent 
of  total. 


6a3 

17.5 

.4 

1.4 

.9 

12.9 

19.4 

4.9 

28 

62.9 

32.5 

24  5 

&3 

.9 

.6 


77,149 
32,635 

3,259 
4,568 

1,837 
24,170 
43,256 
11,899 

7,096 
73,271 
59.820 
52,318 
14,212 

1,588 

1,890 


16.7 

7.1 

.7 

1.0 

.4 

5.2 

9.4 

2.6 

1.5 

15.9 

12.9 

11.3 

3.1 

.3 

.4 


Average 
per  ease. 


8.0 
11.6 
543 
21.0 

12.1 
11.7 
13.9 
15.3 
15.7 
7.3 
11.5 
13.3 
10.7 

las 

19.3 


Average 

per  100 

members. 


481.4 

203. « 

20.3 

28.5 

11.5 
150.8 
269.9 
74  2 
44  3 
457.  4 
373.2 
326.4 

8a7 

9.9 
11.8 


CHAPTER  VII.— WOfiKMEN 'S   INSURANCE   IN   ITALY.  1973 

CAUSES  OF  DISABILITY  OF  THE  MEMBERS  OF  THE  MFmTFi^u  axttt  .  x^  r. 


Engineers  and  firemen. 


Days  of  disability. 


1  . 

Per  cent  i  Average  ■  -'^^'^rage 
of  total.  '  per  case       P^*"  ^^0 
members. 


Not  in  service 
In  service 


Infectious  diseases 

Malaria 

General  tuberculosis 

Syphilis 

Diseases  of — 

Metabolism 

Nervous  system 

Respiratory  system 

Circulatory  system 

Genito-urinary  system.! .' .' 
Digestive  system . . . 
Organs  of  locomotion 
Theskin... 

Affecting  sight 

Affecting  hearing. . . 

Hernia 


ACaDENTS, 


Not  In  service 
In  service. . «. . 


Grand  total 31,954 


DISEASES. 


Infectious  diseases 

Malaria 

General  tubercidosis 

Syphilis '" 

Diseases  of— 

Metabolism 

Nervous  system ..... 

Respiratory  system . . . . 

Circulatory  system.... 

Genito-urinary  system. 

Digestive  system 

Organs  of  locomotion. 

The  skin 

Affecting  sight ]  ] . 

Affecting  hearing. . . 
Hernia 


Maintenance  of  way  (male  employees). 


23,507 

31.967 

122 

145 

324 
3,490 
8,008 
1,030 

718 

12,585 

6,794 

7,169 

1,660 

227 

170 


Total. 


97, 916 


161,481 

217,593 

6,160 

2,252 

3,516 

41,352 

108,517 

15, 1.37 

97,564 
88,566 
88,606 
19,410 
2,529 
3,185 


865,850 


17.2 

2ai 

.6 

.2 

.4 
4  4 

11.5 
1.6 
1.1 

10.4 

9.4 

9.4 

2.1 

.3 

.3 


92.0 


a9 

&8 
5a5 
15.5 

ia9 

11.8 

lae 

14  7 

ia9 

7.8 

lao 

12.4 
11.7 

11.1 

18.7 


as 


198.4 

267.4 

7.6 

2.8 

43 

50.8 

13;J.3 

18.6 

12.3 

119.9 

108.8 

108.9 

23.g 

3L1 

3.9 


1.0619 


i 


1974 


EEPOHT  OF   THE  COMMISSION!  EE  OF  LABOR. 


°Sii=— ™""=^^^^ 


Causes  of  disability. 


ACODENTS. 


Not  in  service. 
In  service 


Total 

Grand  total. 


DISEASES. 


Infectious  diseases 

Malaria 

General  tuberculosis 

Syphilis 

Diseases  of— 

Metabolism 

Nervous  system 

Respiratory  system 

Circulatory  system 

Geni to-urinary  system. 

Digestive  system 

Organs  of  locomotion. . 

The  skin 

Affecting  sight 

Atfecting  hearing 

Hernia 


Total. 


ACCIDENTS. 


Not  in  service . 
In  service 


Total 

Grand  total. 


DISEASES. 


Infectious  diseases 

Malaria ]* 

General  tuberculosis .... . . 

Sjrphilis 

Diseases  of— 

Metabolism 

Nervous  system '. 

Respiratory  system 

Circulatory  system 

Genito-urinary  system. 

Digestive  system 

Organs  of  locomotion . . 

The  skin 

Affecting  sight 

Affecting  hearing 

Hernia 


Maintenance  of  way  (male  employees). 


Cases  of  disability. 


Days  of  disability. 


Number. 


Per  cent 
of  total. 


1,625 
3,016 


4,641 


102,557 


2,510 

2,774 

24 

5 

59 

494 

909 

188 

2,720 

1,524 

459 

469 

162 

28 

5 


12,:«0 


95 
130 


225 
12,655 


Total. 


42,328 

24, 444 

303 

414 

804 

7,958 

14,048 

2,645 

1,331 

33,127 

15,996 

15,329 

3,507 

468 

407 


163,099 


1.6 
2.9 


Average 

per  100 

members. 


2.0 
a7 


4.5 


100.0 


5.7 


126.0 


Number. 

Per  cent 
of  total. 

Average 
per  case. 

Average 

per  ICO 

members. 

20,326 
54, 144 

2.2 
5.8 

12.5 
18.0 

25.0 

66.5 

74, 470 

8.0 

16.0 

91.5 

940,320 

100.0 

9.2 

1,155.4 

Maintenance  of  Avay  (female  employees). 


20.0 
22.1 
.2 
(«) 

.5 

3.9 

7.3 

1.5 

21.7 

12.1 

3.7 

S.7 

1.3 
o 

(«)■" 


18.4 

20.3 

.2 

.4 

3.6 

6.7 

1.4 

19.9 

11.1 

3.4 

3.4 

1.2 

.2 


9&2 


90.2 


21,150 

24, 736 

1,383 

242 

1,110 

5,792 

14,013 

2,675 

39,947 

15,030 

5,653 

6,494 

2,172 

289 

108 


14.6 

17.0 

.9 

.2 

.8 

4.0 

9.7 

1.8 

27.5 

10.4 

a9 

4.5 

1.5 

.2 

.1 


140,794 


97.1 


.8 
1.0 


.7 
.9 


1.8 
100.0 


1.6 


1,272 
2,932 


4,204 


144,998 


.9 
2.0 


&4 

&9 

5.8 

4&4 

1&8 
11.7 
15.4 
112 
14  7 
9.9 
12.3 
13.8 

la  4 

10.3 
21.6 


11.5 


114 
22.6 


2.9 


100.0 


1&7 


11.5 


Station  service. 


24.1 

14.0 

.2 

.2 

.5 
4.5 
8.0 
1.5 

.8 

1&9 

9.1 

8.7 

2.0 

.3 

.2 


93.0 


43.3 

302,599 

25.0 

194,110 

.3 

14,291 

.4 

8,169 

.8 

9,825 

8.1 

90,629 

14.4 

195,786 

2.7 

;«,030 

1.4 

21,333 

33.8 

232.578 

16.3 

188,841 

15.7 

196,995 

3.6 

40,241 

.5 

4,790 

.4 

6,898 

166.7 

1,540,115 

17.5 

11.3 

.8 

.5 

.6 

5.3 

11.4 

1.9 

1.2 

13.5 

10.9 

11.4 

2.3 

.3 

.4 


89.3 


7.1 

7.9 

47.2 

19.7 


a  Less  than  one-tenth  of  1  per  cent. 


b  Less  than  one-tenth  of  a  case. 


154.7 

180.9 

10.1 

1.8 

&1 

42.4 

102.5 

19.6 

292.2 

109.9 

41.4 

47.6 

15.9 

2.1 

.8 


1,029.9 


9.3 
21.5 


sas 


1,060.7 


309.2 

19&4 

14.6 

&3 


12.2 

10.0 

11.4 

92.6 

i;i.9 

200.1 

12.5 

3.3.8 

1«.  1 

21.8 

7.0 

237.7 

11.8 

193.0 

12.9 

201.3 

11.5 

41.1 

10.5 

4.9 

16.9 

7.1 

9.4 

1,573.9 

CHAPTER  VII. workmen's   INSURANCE   IN   ITALY.  1975 

CAUSES  OF  DISABILITY  OF  THE  MEMBERS  OF  THE  MEDITERRANEAN  RAILROAD 
MUTUAL  BENEFIT  SOCIETY  FOR  THE  NINE  YEARS  1892  TO  1900,  BY  BRANCH  OF 
SERVICE-Continued. 


Causes  of  disability. 


Total. 


ACCIDENTS. 

Not  In  service 

In  service 


Total 

Grand  total. 


DISEASES. 

Infectious  diseases 

Malaria 

General  tuberculosis 

Syphilis 

Diseases  of— 

Metabolism 

Nervous  system 

Respiratory  system 

Circulatory  system 

Genito-urinary  system. 

Digestive  system 

Organs  of  locomotion. . 

The  skin 

Affecting  sight 

Affecting  hearing 

Hernia 


Total 

ACCIDENTS. 

Not  In  service 

In  service 

Total 

Grand  total 


67725°— VOL  2—11- 


Station  service. 


Cases  of  disability. 


Days  of  disability. 


Number. 


ACCTDENTS. 

Not  In  service 

In  service ,.. 

Total 

Grand  total 


DISEASES. 

Infectious  diseases 

Malaria 

General  tuberculosis 

Syphilis 

Diseases  of— 

Metabolism 

Nervous  system 

Respiratory  system 

Circulatory  system 

Genito-urinary  system. 

Digestive  system 

Organs  of  locomotion. . 

Theskui 

Affecting  sight 

Affecting  hearing 

Hernia 


3,538 
8,739 


12,277 


175,376 


Per  cent 
of  total. 


9,136 


102 
101 


203 


9,339 


14,778 

1,835 

95 

417 

323 
3.346 
4,745 
1,394 

700 

13,498 

6.602 

8,038 

1,635 

156 

222 


67,784 


1,463 

6,089 


7,552 


65,336 


2.0 
5.0 


7.0 


100.0 


Average 

per  100 

members, 


3.6 
8.9 


12.5 


Number. 


38,943 
145,667 


184,610 


179.2 


1,724,725 


Per  cent 
of  total. 


2.3 

8.4 


ia7 


loao 


Average 
per  case. 


Office  force,  etc. 


2,177 

2a3 

1,995 

2L4 

19 

.2 

41 

.4 

37 

.4 

497 

5.3 

885 

9.5 

209 

2.2 

126 

L3 

1,883 

20.2 

556 

6.0 

496 

6.3 

159 

1.7 

44 

.5 

12 

.1 

34.2 

3L3 

.3 

.6 

.6 
7.8 

13.9 
3.3 
2.0 

29.6 

a7 

7.8 

2.5 

.7 

.2 


97.8 


1.1 
1.1 


2.2 


loao 


143.5 


1.6 
1.6 


S.2 


146.7 


16,985 

19,833 

557 

763 

347 

4,899 

13,303 

2,975 

2,650 

15,341 

7,264 

6,240 

2,085 

462 

212 


93,916 


1,396 
1,751 


17.5 

2a4 

.6 

.8 

.4 

5.0 
13.7 

ai 

2.7 

15.8 

7.5 

6.4 

2.2 

.5 

.2 


3.147 


96.8 


1.4 
1.8 


a2 


97,063 


loao 


Shop  employees. 


22.6 

2.8 

.2 

.6 

.5 
5.1 
7.3 
2.1 
LI 

•2a7 

10.1 

12.3 

2.5 

.2 

.3 


88.4 


2.3 
9.3 


35.4 
4.4 

.2 

to 

.8 

8.0 

11.4 

13 

1.7 

32.3 

15.8 

19.2 

a9 

.4 
.5 


138.3 


117,490 

16,802 

8,085 

10,750 

3,912 

38,342 

80,705 

22,563 

12,429 

95,576 

87,314 

113,192 

20,253 

1,840 

3,366 


632,619 


842 


11.6 


100.0 


a  5 

14  6 


l&l 


156.4 


18.737 
100,147 


118,884 


751,503 


2.5 

ia3 


15.8 


loao 


ILO 

16.7 


15.0 


9.8 


Average 

per  100 

members. 


7.8 

9.9 

29l3 

1&6 

9.4 

919 

15lO 

14  2 

2L0 

&1 

lai 

12.6 

lai 
las 

17.7 


ia3 


ia7 

17.3 


15.5 


16.6 

&0 

2.2 

a2 

LI 

85.1 

L4 

25w8 

.5 

12.1 

5.1 

1L5 

ia7 

17.0 

ao 

ia2 

L7 

17.8 

12.7 

7.1 

n.6 

ia2 

15.1 

141 

2.7 

12.4 

.3 

U.8 

.5 

15u2 

12.8 
1&4 


15.7 


sas 

148.9 


188w7 


1,762.S 


26&8 

31L5 

&8 

12.0 

5.5 

76.9 

208.9 

46l7 

41.6 

24a9 

114  1 

98.0 

32.S 

7.3 

as 


1,47a  1 


2L9 
27.5 


4a  4 


ia4         1,624  6 


28L3 
4a2 

ia4 

25.7 

a4 

9L8 

19X2 

540 

2as 

22a9 
209.1 
271.0 

4a6 

44 

&1 


ia9  I       1,514  8 


449 
23a8 


2847 


11.5  I       1,799l5 


-31 


1976 


BEPORT  OF   THE   COMMISSIONER  OF   LABOR. 


CAUSES  OF  DISABILITY  OF  THE  MEMBERS  OF  THE    MEDITERRANEAN    RAILROAD 
SERVICE — Concluded. 


Causes  of  disability. 


DISEASES. 

Infectious  diseases 

Malaria 

General  tuberculosis 

Syphilis 

Diseases  of— 

Metabolism 

Nervous  system 

Respiratory  system 

Circulatoiy  system 

Genito-urinary  system. 

Digestive  system 

Organs  of  locomotion. . 

The  skin 

Affecting  sight 

Affecting  hearing 

Hernia 


All  employees. 


Cases  of  disability. 


Days  of  disability. 


Number. 


Total. 


ACCIDENTS. 


Not  In  service. 
In  service 


103,853 

C8,207 

tKi9 

1,378 

1,860 

19,376 

34,397 

6,915 

6.398 

80, 277 

38,, 550 

37,923 

9,168 

1,161 

967 


Per  cent 
of  total. 


Average 

per  100 

members. 


410,579 


2a  5 

15.5 

.1 

.3 

.4 

4.4 

7.8 

1.6 

1.6 

18.2 

&7 

&6 

2.1 

.3 

.2 


93.2 


37.8 

24  9 

.2 

.5 

.7 

7.1 

12.6 

2.5 

2.3 

29.3 

141 

13.9 

as 

.4 
.4 


Number. 


150.0 


757, 302 

528,339 

35,527 

29,754 

22,477 

221,866 

487.988 

96,538 

98,500 

676, 702 

472,661 

494, 134 

105,826 

12,720 

16,459 


Per  cent 
of  total. 


3.W6,793 


17.1 

12.0 

.8 

.7 

.5 

5.0 

11.0 

2.2 

2.2 

lao 

ia7 

11.2 

2.4 

.3 

.4 


Average 
per  case. 


A verage 

per  100 

members. 


89.5 


7.3 

7.7 

S4  7 

21.6 

12.1 
U.5 
14  2 
140 
15.4 
7.2 
12.3 

lao 
u.5 

ILO 
17.0 


27a  7 

193.0 

13.0 

10.9 

S.2 

81.1 

178.3 

35.  3 

3&0 

210.7 

172.7 

18a  5 

3a7 

■   46 

6.0 


9.6         1,445.7 


Total 

Grand  total. 


8,240 
21,789 


30,029 


1.9 
49 


&8 


440,608 


100.0 


3.0 
8.0 


11.0 


IGl.O 


03,943 
809,080 


466,023 


4,422,816 


^2 
&3 


11.8 
16.9 


10.5 


15.5 


35.4 
134  9 


170.3 


100.0 


10.0 


1,616.0 


A  few  of  the  most  important  data  of  this  table  may  well  be  empha- 
sized here.  The  number  of  cases  of  disability  per  100  members  was 
161,  and  the  number  of  sick  days  per  100  members  1,616,  or  1.6 
cases  and  over  16  days  of  sickness  per  member  per  annum.  '  These 
exceedmgly  high  rates  may  partly  be  explained  by  the  unhealthy 
climatic  conditions  in  some  parts  of  Italy;  the  high  frecjuency  of 
malaria  and  other  infectious  diseases  seems  to  pomt  m  that  du-ection. 
How  much  the  liberal  sick  benefits  act  to  cause  malingery  and  fraud 
it  is,  of  course,  impossible  to  say. 

Accidents  are  responsible  only  for  a  small  part  of  the  loss  of  time. 
Of  all  cases  of  temporary  disability  only  6.8  per  cent  were  due  to 
accidents  and  93.2  per  cent  to  sickness,  the  average  duration  of  the 
accident  cases,  however,  bemg  15.5  days,  as  against  9.6  days  for  sick- 
ness, so  that  accidents  were  responsible  for  10.5  per  cent  of  the  loss 
of  time.  • 

General  infectious  diseases,  malaria,  and  <liseases  of  the  digestive 
organs  were  most  frequent,  these  tliree  causes  claiming  57.2  per  cent 
of  all  cases  of  disabUity.  But  these  had  the  shortest  average  dura- 
tion, so  that  they  claimed  only  42.1  per  cent  of  the  days  of  disability. 


> 

I 


CHAPTER  VII. workmen's  INSURANCE   IN   ITALY.  1977 

The  most  important  deductions  are  to  be  made  from  the  compari- 
son of  the  data  of  the  seven  separate  groups. 

The  sickness  rates  vary  greatly,  the  highest  being  sho\^Ti  by  the 
engine  service  (engineers  and  firemen).  Their  occupation  is,  there- 
fore, not  only  the  most  hazardous  as  far  as  accidents  are  considered, 
but  also  the  most  injurious  to  the  health  of  the  employees.  The  second 
group,  tram  service  (conductors,  picket  inspectors,  trainmen,  and 
brakemen),  comes  a  close  second,  followed  in  a  descending  order  by 
the  station  service  (lower  grade  employees  in  stations,  warehouses, 
and  offices,  such  as  watchmen,  lampers,  oilers,  cleaners,  and  similar 
occupations,  but  not  the  workmen  in  the  shops)  and  office  employees. 
The  lowest  sickness  rate  is  shown  by  the  service  of  maintenance  of 
the  way  (trackmen,  gatemen,  etc.),  and  it  is  interesting  to  note  that 
the  average  number  of  cases  of  sickness  is  lower  for  the  female 
employees  of  this  class,  though  the  somewhat  longer  duration  of 
each  case  of  sickness  reduces  this  difference  when  the  number  of 
days  of  sickness  per  100  employees  is  considered.  The  injurious 
effect  of  the  railroad  business  upon  these  employees  of  either  sex  is 
slighter,  and  then-  life  in  the  open  country  gives  them  a  lower  sickness 
rate  even  than  the  much  more  highly  paid  office  employees. 

On  the  whole  the  same  classes  of  diseases  are  conspicuous  in  all 
the  groups,  namely,  infectious  diseases,  malaria,  and  diseases  of  the 
digestive  system,  except  that  the  female  employees  show  a  very 
high  rate  of  genito-urinary  diseases,  including  the  specific  female 
disorders;  nevertheless  very  interesting  differences  may  be  noticed 
on  close  examination  of  the  data.  Thus  malaria  is  much  more 
frequent  among  the  maintenance-of-way  service  and  the  office 
employees,  many  of  whom  are  permanently  located  in  malarial 
regions,  while  the  employees  of  the  shop,  train,  and  engine  ser\ice 
show  a  much  lower  rate  of  malarial  illness.  SjT)hilis  and  genito- 
urinary diseases  are  most  frequent  among  the  engineers  and  firemen, 
and  trainmen  (disregarding  the  high  rate  of  diseases  of  the  latter- 
class  among  female  employees,  due  to  special  reasons)  and  much 
more  frequent  than  among  the  persons  in  station  service  and  in  the 
maintenance-of-way  group,  a  result  of  the  irregular  habits  of  em- 
ployees, who  are  frequently  obliged  to  stay  away  from  home,  while 
the  trackmen,  etc.,  are  not  subject  to  such  influences. 

In  the  class  of  nervous  diseases,  and  again  in  the  diseases  of 
respiratory  organs,  of  organs  of  locomotion,  of  the  skin,  and  of  the 
organs  of  the  sight,  the  engineers  and  firemen  show  the  highest  rates, 
followed  closely  by  the  trainmen,  indicating  the  deleterious  effects 
of  exposure  and  mental  and  physical  strain  inevitable  in  these 
occupations. 


1978 


EEPOBT  OF  THE  COMMISSIONER  OF  LABOE. 


One  reason  why  the  figures  for  sickness  as  shown  in  the  preceding 
table  are  so  high  is  that  the  total  duration  of  the  treatment  and  not 
the  ac  ual  loss  of  time  was  given.  For  comparative  purposes,  there- 
fore, the  following  is  mtroduced,  in  which  only  such  illness  as  le.l  to 
actual  loss  of  time  is  considered.  The  data  extend  from  1890  to 
1900,  inclusive,  but  no  data  were  pubUshed  for  1892  and  189.3 
Ihe  table  also  gives  a  comparison  between  one  year  and  another. 
Ihe  two  classes  of  membership  are  kept  separated,  so  that  a  com- 
panson  between  them  is  possible. 

The  sickness  rates  are  found  to  fluctuate  very  materially  between 
one  year  and  another,  the  minimum  average  being  115.2,  "the  maxi- 
mum average  134.7,  and  the  average  loss  of  tune  from  12.3  to  18  I 
days  per  person.  But  no  tendency  to  an  in<;reased  sickness  rate  or 
ionn°K  T  '"  "^"^'f  ^^1«-  0°  the  contrary,  if  the  very  high  rate  of 
1900  be  disregarded,  the  tendency  seems  to  point  throughout  the  pre- 
ceding decade  toward  a  decreasing  sickness  rate  and  loss  of  time 

A  comparison  of  the  sickness  rates  of  the  "ordinary"  and  "aggre- 
gate     members  fails  to  disclose  any  very  pronounced  difference, 
though  the  treatment  of  these  two  groups  by  the  mutual  benefit 
societies  was  very  much  different.     The  "or.Unary"  members   paid 
on  a  per  diem  basis  as  was  shown  above,  received  in  addition  to  all 
medical,  surgical,  and  pharmaceutical  assistance  also  a  daily  sick 
benefit  of  one-half  their  daily  wage.     The  "aggregate"  members 
did  not  receive  this  benefit  from  the  mutual  benefit  societies,  because 
their  salaries  being  fixed  on  a  monthly  or  annual  basis,  were  not 
discontinued   during  illness.     During  eight   of  the  nine  years   for 
which  data  are  available,   the  rate  for  the   "ordinary "J members 
was  higher,  but  for  some  years  the  difference  is  very  small      For  the 
entire  period,  the  rate  for  the  "aggregate"  members  was  117.6  per 
100  employees,   and  for  the  "ordinary"   members   126.2   per    100 
employees.     This  comparison  is  not  very  conclusive,  however,  in 
view  of  the  difference  in  the  occupational  distribution  of  these  two 
groups.     When  comparisons  by  groups  are  made  the  sickness  rates 
for     ordmary     members  are  found  to  be  very  much  higher  among 
the  engmeers  and  firemen,  the  train  service  and  the  service  of  main- 
tenance of  way,  which  may  be  due  to  the  fact  that  the  "aggregate" 
members  represent  on  the  whole   higher-paid  employees,  many  of 
whom  were  paid  a  monthly  or  annual  salary,  and  so  lost  no  time  on 
account  of  illness. 


CHAPTER  VII. workmen's  INSURANCE  IN   ITALY.         1979 

CASES  OF  ILLNESS  CAUSING  LOSS  OF  EARNINGS  AND  DAYS  LOST  BY  MEMBERS 
OF  THE  MEDITERRANEAN  MUTUAL  BENEFIT  SOCIETY  DURING  THE  YEARS 
1890,  1891,  AND  1894  TO  1900,  BY  BRANCH  OF  SERVICE  AND  YEAR. 

[Source:  The  annual  reports  of  the  society.) 


Branch  of  service  and  year. 


'  OBDINAEY  ". MEMBERS. 


Engineers  and  firemen: 

1890 

1891 

1894 

1895 

1896 

1897 

1898 

1899 

1900 ; 

Train  service: 

1890 

1891 

1894 ■ 

1895 

1896 

1897 ' 

1898 

1899 

1900 

Maintenance  of  way  (males): 

1890 

1891 

1894 ■ 

1895 

1896 

1897 

1898 

1899 

1900 

Maintenance  of  way  (females): 

1890 

1891 

1894 

1895 

1896 

1897 

1898 

1899 

1900 

Station  service: 

1890 

1891 

1894 

1895 

1896 

1897 

1898 

1899 

1900 

Office  force: 

1890 

1891 

1894 

1895 ;■ 

1896 

1897 

1898 

1899 

1900 ;; 

Shop  employees: 

1890 

1891 

1894 

1895 

1896 

1897 

1898 

1899 

1900 


Cases  of  illness. 

Days  lost  because 

Average 

of  illness. 

mirabero 
members 

' 

Number. 

Per  100 
members. 

Number. 

Per  100 
members. 

382 

1,176 

307.8 

11,495 

3,009.1 

297 

874 

294.3 

8,240 

2,774.4 

377 

880 

233.4 

8,409 

2.230.5 

350 

784 

224.0 

7,368 

2, 105.  2 

341 

765 

224.4 

7,320 

2,149.3 

351 

770 

219.4 

7,146 

2,036.2 

388 

590 

152.1 

6,130 

1,579.9 

422 

660 

156.4 

5,855 

1,387.4 

482 

849 

176.1 

8,350 

1,732.4 

396 

734 

185.4 

7,237 

1,828.0 

347 

1,044 

300.9 

9,743 

2,807.8 

354 

rn 

219.5 

6,516 

1,840.7 

346 

768 

222.0 

6,524 

1,884.7 

403 

917 

227.6 

8,033 

1,993.6 

470 

885 

188.2 

7,842 

1,668.0 

621 

1,010 

162.6 

8.519 

1,371.8 

716 

1,078 

150.6 

9,187 

1,283.1 

849 

1,467 

172.9 

14,275 

1,681.4 

4.383 

4,835 

110.3 

57,030 

1,301.2 

4,639 

4,370 

%.3 

40,442 

891.0 

6,617 

6,785 

120.8 

58,962 

1,049.5 

6,022 

7,225 

119.0 

59,131 

982.1 

6,346 

7,632 

120.2 

66,970 

1,065.2 

6,415 

7,173 

111.8 

59,840 

932.8 

6,237 

7,033 

112.7 

62,074 

995.3 

6,094 

6,551 

107.5 

56,788 

915.5 

6,942 

7,266 

122.3 

66,001 

1,120.8 

1,142 

573 

50.2 

7,449 

€52.3 

1,185 

547 

46.2 

6,601 

567.1 

1,491 

1,124 

75.4 

13,822 

9'27.0 

1,650 

1,225 

74.2 

14,306 

867.1 

1,722 

1,393 

80.9 

15,906 

923.8 

1,658 

1,145 

69.1 

14,578 

878.8 

1,588 

1,082 

68.1 

13,700 

862.7 

1,515 

l.(W4 

68.9 

12,964 

865.7 

1,433 

1,057 

73.8 

13,480 

940.7 

6,495 

8,507 

13L0 

92,697 

1,427.2 

6,603 

10, 115 

153.2 

100.040 

1,515.1 

6,251 

9,295 

148.7 

92.236 

1.475.5 

6,231 

6,265 

100.5 

86,832 

1.393.7 

6,394 

8,920 

139.5 

91.603 

1,432.3 

6,281 

8,325 

132.5 

86,699 

1,380.0 

5,630 

6,902 

122.6 

76.194 

1,353.3 

5,089 

6,992 

137.4 

65.794 

1.292.9 

4,651 

7,692 

165.4 

74,677 

1,606.6 

422 

510 

120.8 

5,943 

1,408.3 

360 

303 

84.2 

3,439 

955.3 

272 

296 

108.5 

3, -223 

l,l»l.9 

239 

191 

79.9 

1,920 

803.5 

264 

294 

114.4 

3.030 

1,147.6 

253 

204 

80.6 

2,215 

865.6 

169 

100 

59.2 

996 

589.4 

130 

84 

64.6 

725 

557.7 

154 

143 

92.9 

1,615 

1,048.7 

4,840 

6,326 

130.7 

85,857 

1,773.9 

4,730 

6,091 

128.8 

79,354 

1,677.7 

4,574 

6,671 

145.8 

79,856 

1.745.9 

4,604 

6,903 

149.9 

75,485 

1,639.1 

4,793 

6,221 

129.8 

69,328 

1.146.2 

4.873 

6,181 

126.9 

63,802 

1.309.0 

4,686 

6,057 

129.0 

66,655 

1,419.4 

4,574 

5,447 

119.1 

60,815 

1.329.6 

4,412 

6,426 

145.6 

69,985 

1,586.2 

^T 


1980 


BEPOBT   OF   THE  COMMISSIONEH   OF  LABOR. 


J^O^m^ND  1S,4  TO  IW,,  BY  BKANCH  OrSEKvlcE'fND  ^EA^-^n^^L^"^"* 


MEMBEBS— concluded. 

Total  "  ordinary  "  members: 
1890 

1891 ;; 

1894 ■ 

1895 * 

1896 

1897 ■; 

1898 

1899 

1900 


AGGBEOATE"  MEMBERS. 


Engineers  and  firemen: 

1890 

1891 

1894 

1895 

1890 

1897 

1898 

1899 

1900 "'.'.'.'.." 

Train  service: 

1890 

1891 

1894 

1895 

1896 

1897 

1898 

1899 

1900 '.'.'.'.'.'.'. 

Maintenance  of  way: 

1890 

1891 

1894.. ■; 

1895 :.::::: 

1896 

1897 

1898 

1899 

1900 '.'.'.'.['.'. 

Station  service: 

1890 

1891 

1894 

1895 

1896 

1897 

1898 

1899 

1900 "'.[" 

Office  force: 

1890 

1891 

1894 

1895 

1896 

1897 

1898 

1899 

1900 ...'!."."!."."." 

Total  "aggregate"  members: 
1890 

1891 .;'; 

1894 

1895 

1896 

1897 

1898 

1899 

1900 


Average 
number  of 
members. 


Cases  of  illness. 


18,060 
18,061 
18,936 
19,442 
20,263 
20,301 
19,329 
18,540 
17,923 


1,462 
1,432 
1,486 
1,452 
1,410 
1,380 
1,343 
1,284 
1,225 

1,531 
1,493 
1,4(50 
1,415 
1,377 
1,341 
1,290 
1,232 
1,171 

3,874 
3,753 
3,389 
3,282 
3,175 
3,074 
2,970 
2.861 
2,738 

6,3C3 
6,170 
5,340 
5,178 
4,965 
4,786 
4,593 
4,390 
4,083 

562 
549 
518 
407 
422 
395 
378 
377 
473 

13,792 
13,399 
12, 193 
11,734 
11,349 
10,976 
10,574 
10, 144 
9,690 


Number. 


22,661 
23,344 
25,827 
2;J,361 
2«i,  142 
U4,683 
22,774 
21,856 
24,900 


2,860 
2.951 
2,899 
2.872 
2.394 
2,174 
2.401 
2.077 
2,203 

2,163 
1.822 
1,847 
1.698 
1.491 
1.307 
1.393 
1,285 
1,437 

3,970 
3.140 
3.186 
2,547 
2.664 
2,499 
1.968 
2, 526 
2,609 

9.108 
7,155 
6.475 
6.192 
5.524 
5,254 
6.641 
5,466 
5.596 

757 
634 
324 
304 
291 
233 
269 
201 
448 

18.858 
l5,tK)2 
14,732 
13,613 
12,364 
11,467 
11,672 
11,555 
12,293 


Per  100 
members. 


Days  lost  because 
of  illness. 


Numl*er. 


125.5 
129.2 
136.4 
120.2 
128.6 
121.5 
117.8 
117.9 
138.9 


195.6 
205.8 
195.1 
197.8 
169.7 
157.7 
178.8 
161.8 
179.8 

141.3 
122.0 
126.5 
120.0 
108.2 
96.0 
108.0 
104.3 
122.7 

102.5 
83.7 
94.0 
77.6 
83.9 
81.3 
66.3 
88.3 
95.3 

143.1 
116.0 
121.3 
119.5 
111.3 
109.8 
122.8 
124.6 
137.1 

134.7 
97.3 
62.5 
74.7 
69.0 
59.0 
71.2 
53.3 
94.7 

136.7 
116.4 
120.8 
116.1 
108.9 
104.5 
110.4 
113.9 
126.9 


Per  100 
mwnbers. 


267,708 
247,859 
263,014 
251,566 
262,199 
242.122 
234,368 
211,128 
248,983 


31.468 
33,653 
32, 164 
29,5;i9 
26.486 
26.922 
27.307 
27  174 
26,5«7 

20,9.13 

18, 4N1 
18,447 
20,130 
17.003 
15,377 
15,9.38 
15, 896 
17,3»6 

46, 564 
37,862 
35.2MI 
33,777 
33,208 
33, 17S 
24,285 
31. iU 
32,979 

101,112 
77,281 
72,962 
71,149 
61,037 
61,796 
61,897 
06,040 

69,  am 

5,996 

5,9;iy 

3,6-20 
3,556 
3,364 
3,680 
2,638 
2,282 
4,563 

206,073 
173,216 
162,474 
158,151 
141,698 
140,959 
132,065 
142,806 
151,061 


1,482.3 
1,372.3 

1,389.0 
1,294.1 
1.293.7 
1,192.0 
1,212.0 
1,138.8 
1,389.2 


3, 152. 4 
2,346.8 
a,  164. 5 
2,034 
1,878 
1,951 
2,033 
2, 116. 
2, 170. 


1,367.3 
1,237.9 
1.263.5 
1,423.0 
1,277.0 
1,129.0 
1,235.5 
1,290.3 
1,484.7 

1,202.0 
1,008.9 
1,041.0 
1 .  029. 8 
1.045.6 
1.079.0 
817.7 
1.098.0 
1.204.5 

1.589.1 
1.252.5 
1,366.3 
1.374.9 
1.229.1 
1.291.0 
1,347.6 
1,504.3 
1,703.3 

1.066.9 
1,081.8 
698.8 
873.8 
797.1 
933.1 
697.9 
605.3 
969.  G 

1,  494.  2 
1,292.8 
1,532.5 
1,348.4 
1,249.3 
1,283.0 
1,349.0 
1,407.8 
1,559.9 


CHAPTEB  VII. WOBKMEN's  INSURANCE  IN   ITALY.  1981 

CASES  OP  ILLNESS  CAUSING  LOSS  OF  EARNINGS  AND  DAYS  LOST  BY  MEMBERS 
OF  THE  MEDITERRANEAN  MUTUAL  BENEFIT  SOCIETY  DURING  THE  YEARS 
1890,  1891,  AND  1894  TO  1900,  BY  BRANCH  OF  SERVICE  AND  YEAR-Concluded 


Branch  of  service  and  year. 


ALL  MEMBERS, 

1890 

1801 

1894 

1895 '; 

1896 

1897 

1898 

1899 

1900 ■ 


Average 
number 

of 
members, 


31 
31 
31 
31 
31 
31 
29 
28 
27 


,852 
,460 
,129 
,176 
,612 
,277 
,903 
,684 
,613 


Cases  of  illness. 


Number. 


41.519 
38.946 
40,559 
.  36,974 
38,506 
36,150 
34,446 
33,411 
37,193 


Per  1,00 
memlMas. 


Days  lost  because 
of  illness. 


130.3 
123.8 
130.3 
118.6 
121.8 
115.5 
115.2 
116.5 
134.7 


Numb^. 


I    PerlOO 
iiuembers. 


473,781 

1.487.4 

421,075 

1,338.4 

425,488 

1,366.8 

409.717 

1,314.0 

408,897 

1,277.8 

383.081 

1,225.0 

366,333 

1,225.0 

353.934 

1,233.9 

400,034 

1,81L2 

Pensions.— The  total  number  of  current  pensions  of  the  mutual 
benefit  societies  are  shown  as  far  as  data  are  available  in  the  following 
table.  The  average  pension  from  1901  to  1907  is  seen  to  be  only 
$81.71,  and  in  the  earlier  years  even  smaller.  In  judging  of  the 
amount  it  is  necessary  to  point  out  that  the  averages  were  materially 
influenced  by  the  very  small  widows'  and  orphans'  pensions.  As 
has  ah-eady  been  explained,  the  mutual  benefit  societies  did  not 
grant  any  new  pensions  to  widows  and  orphans  from  1891  to  1904, 
inclusive,  and  the  current  pensions  had  been  granted  by  the  Alta 
ItaUa  Raih-oad  Mutual  Benefit  Society  prior  to  the  reorganization 
in  June,  1890.  These  pensions  were  exceedmgly  small,  averaging 
usually  $18  for  widows  and  S7  per  annum  for  orphans.  The  number 
of  these  pensions  was  rapidly  declining,  the  widows'  and  orphans' 
pensions  granted  since  1905  being  much  larger,  though  not  any  too 
large,  even  considermg  the  Itahan  standard  of  livmg. 

Another  considerable  class  of  very  small  pensions  is  found  in  those 
granted  to  the  "aggregate"  members,  in  order  to  increase  their  pen- 
sions received  from  the  pension  funds  to  365  fire  ($70.45). 

All  these  factors  influence  the  average  amount  of  the  pensions 
paid  by  the  mutual  benefit  societies.  The  average  pension  of  a 
member  within  recent  years  was  over  $90,  and  in  the  Mediterranean 
fund  over  $100.  The  seeming  drop  m  1907  is  due  to  the  fact  that 
the  '^ supplementary"  pensions  of  "aggregate"  members  are  not 
stated  separately,  but  together  with  the  pensions  of  the  "ordinary" 
members,  which  decreases  the  average. 


1982 


KEPOET  OF   THE  COMMISSIONER  OF   LABOE. 


NUMBER  AND  AVERAGE  OF  PENSIONS  PAID  BY  THE  MUTUAL  BENEFIT  SOCIETIES 

IN  SPECIFIED  YEARS,  BY  SOCIETY  AND  YEAR.  SOCIETIES 

[Source:  The  annual  reports  of  the  society.] 


Society  and  year. 


Pensions  paid  to— 


'Ordinary" 
members. 


Adriatic  society: 

^       1890 

1891 

1892 

1901 

1902 

1903 

1904 

1905 

1906 

1907 ;; 

Mediterranean  society: 

'     1890 ^ 

1891 '"" 

1892 

1893 

1894 ■" 

1895 ;■.■■" 

1896 

1897 

1898 '  ■ 

1899 ." 

1900 

1801 

1902 

1903 

1904 

1906 

1906 

1907 ;;; 

Sicilian  society: 

1901... 

1902 

1903 

1904 

1905 

1906 

1907 ;;;;; 

Total  societies: 

1901 

1902 

1903 

1904 

1905 

1906 

1907(c) 

1907(d) 


Num- 
ber. 


1,648 
1,897 
2,392 
3,489 
3,605 
3,749 
3,756 
3,742 
3,664 
a  3, 776 

1,262 
1,535 
1,642 
1,776 
1,837 
1,903 
1,933 
1,966 
1,9% 
2,035 
2,048 
2,106 
2,120 
2,145 
2,227 
2,235 
2,201 
o2,395 

631 
650 
668 
692 
659 
635 
0  628 

6,226 
6,375 
6,562 
6,675 
6,636 
6,500 
o6,799 
o6,841 


Aver 
»ge. 


162 
66 
72 
88 
88 
88 
89 
89 
90 
•  87 

74 
83 
87 
91 
93 
94 
95 
95 
97 
96 
98 
99 
'99 
99 
100 
101 
101 
a  93 

59 
60 
60 
61 
63 
69 
o69 

89 

89 

89 

89 

91 

91 
o87 
a  89 


"Aggregate" 
members. 


Num- 
ber. 


75 
92 
101 
152 
153 
150 
146 
140 
136 
C) 

116 
129 
136 
144 
147 
151 
168 
179 
205 
217 
239 
244 
243 
237 
237 
231 
220 
(ft) 


Aver' 
age. 


Widows. 


tn 

11 
11 
9 
9 
9 
9 
9 
9 
(ft) 

13 
13 
13 
13 
13 
13 
13 
13 
13 
13 
12 
12 
12 
12 
12 
12 
12 
(ft) 


Num-  Aver- 


ber. 


3% 
396 
387 
383 
371 
356 

(ft) 

ft) 


11 
11 
11 
11 
11 
11 
(ft) 
(ft) 


249 
241 
228 
147 
138 
130 
124 
147 
216 
225 

510 

493 

460 

437 

416 

395 

383 

371 

334 

323 

304 

286 

279 

273 

261 

287 

349 

371 


age. 


Orphans. 


3 
18 
24 

433 
417 
403 
385 
437 
583 
620 
697 


S19 
19 
19 
18 
18 
18 
18 
25 
34 
37 

18 

18 

18 

18 

18 

18 

18 

18 

18 

18 

18 

18 

18 

18 

18 

21 

31 

33 


Num-  Aver- 
ber.      age. 


17 
15 
13 


Total 
pensions. 


Num- 
ber. 


Aver- 
age. 


$6 
6 
6 


4 

10 
11 

15 
11 
10 
8 
6 
6 
6 
3 
3 
1 
1 
1 


I 


53 
49 

51 

18 
18 
18 
18 
23 
33 
35 
38 


25 
28 
26 

6 

7 
7 
7 
7 
7 
7 
7 
7 
7 
7 
7 


3 
14 
14 


22 
29 
32 


o  Including  pensions  to  "aggregate"  members. 
"  Included  m  pensions  to  "ordinary"  members. 


7 
25 
26 
67 


31 
31 


24 
29 
30 
19 


1,989 
2,245 
2,734 
3,788 
3,896 
4,029 
4,026 
4,033 
4,026 
4,012 

1,903 

2,168 

2,248 

2,365 

2,406 

2,455 

2,490 

2,519 

2,538 

2,576 

2,592 

2,637 

2,642 

3,655 

2,725 

2,756 

2,784 

2,780 

631 
650 
668 
692 
662 
654 
653 

7,056 
7,188 
7,352 
7,443 
7,451 
7.464 
7,445 
7,605 


$54 
59 
65 
82 
83 
83 
84 
84 
84 
84 

55 

64 
68 
73 
75 

77 
77 
78 
79 
80 
80 
82 
82 
83 
84 
85 
85 
84 

59 
60 
60 
61 
63 
68 
69 

80 
80 
81 
82 
83 
83 
83 
83 


«  First  six  months. 

*  Last  six  months;  united  society 


FinaUy,  it  must  be  pointed  out  that  women  (in  the  service  of 
maintenance  of  way)  constituted  a  certam  proportion  of  the  pen- 
sioners because  in  the  Alta  Italia  Raih-oad  Mutual  Benefit  Society 
women  were  granted  pensions  until  after  the  reorganization  of  1890 
since  which  they  received  lump-sum  benefits  only. 

These  pensions  to  women,  which  were  proportionate  to  their  sal- 
aries, were  very  small  and  influenced  the  average  for  the  pensioners 
tor  some  years  the  pensioners  could  be  separated  by  sexes,  and  the 
pensions  for  each  sex  are  shown  in  the  following  table: 


CHAPTER  Vll. workmen's   INSURANCE   IN    ITALY. 


1983 


NUMBER  AND  AVERAGE   OF   PENSIONS  PAID   TO  "ORDINARY"  MEMBERS  OF  THK 

6?tS;^™ ''''''''^''  BENEFIT  SOCIETY,  1893  TO  1903,  AND  OF  THE  MEDITERRANEAN 
MUTUAL  BENEFIT  SOCIETY,  1891  TO  1906,  BY  SEX.  ^r-i^iXi^KKA.Nt.AN 

[Source:  The  annual  reports  of  the  societies.) 


Society  and  year. 


Adriatic  society: 

1893 

1894 

1895 

1896 

1897 

J898 

1899 

1900 

1901 

1902 

1903 

Mediterranean  society: 

1891 

1892 

•    1893 

1894 

1895 

1896 

1897 

1898 

1899 

1900 

1901 

1902 

1908 

1904 

1905 

1906 


Pensions  paid  to  "ordinary"  members. 


Males. 


Females. 


Total. 


Number. 


2,114 
2,333 
2,447 
2,573 
2,741 
2,822 
2,981 
3,182 
3,313 
3,433 
3,589 

1,300 
1,417 
1,561 
1,626 
1,702 
1,738 
1,775 
1,815 
1,860 
1,880 
1,949 
1,971 
2,007 
2,093 
2,118 
2,099 


Average. 


S84 
85 
87 
89 
90 
90 
90 
92 
92 
92 
91 

95 
98 
101 
102 
103 
103 
103 
104 
104 
104 
105 
105 
104 
105 
105 
105 


Number. 


237 
232 
219 
213 
202 
194 
190 
185 
176 
170 
158 

235 
225 
215 
211 
201 
195 
191 
181 
175 
168 
157 
149 
138 
134 
117 
102 


Average.  ,   Number.   !  Average. 


$17 
17 
17 
17 
17 
17 
17 
17 
17 
17 
17 

21 
21 
21 
21 
20 
20 
20 
20 
20 
20 
20 
20 
20 
20 
20 
20 


2,351 
3,565 
2,666 
2,786 
2,943 
3,016 
3,171 
3,367 
3,489 
3,503 
3,747 

1,535 
1,642 
1,776 
1,837 
1,903 
1,933 
1,966 
1,996 
2,035 
2,048 
2,106 
2,120 
2,145 
2,227 
2,235 
2,201 


177 
57 
81 


81 


87 
SI 

n 

M 

S5 

95 

97 

96 

97 

99 

99 

99 

100 

101 

101 


In  view  of  the  great  differences  in  salaries  a  better  understanding 
of  the  pensions  granted  by  the  mutual  benefit  societies  is  obtained  by 
studymg  them  by  separate  branches  of  the  service.  The  following 
table  shows  the  number,  amount,  and  average  of  pensions  granted  each 
year  by  the  Adriatic  Mutual  Benefit  Society  from  1890  to  1903  and 
by  the  Mediterranean  Mutual  Benefit  Society  from  1890  to  19oi,  by 
the  main  groups  of  railroad  employees. 

The  number  of  pensions  granted  to  employees  in  the  first,  second, 
and  fifth  groups  (engineers  and  firemen,  trainmen,  and  oflice  em- 
ployees) were  so  small  that  it  was  not  thought  necessary  to  show 
them  separately. 

No  invalidity  pensions  were  granted  to  the  female  employees  as 
the  constitution  provided  only  for  lump-sum  benefits. 

The  pensions  appear  to  have  been  larger  in  the  Mediterranean 
society    due   to  higher  wages  paid  by  the  Mediterranean  RaUroad 
In  both  societies  a  tendency  to  smaller  pensions  is  noticeable,  thoucrh 
the  fluctuations  from  year  to  year  are  considerable.  ^^ 

The  comparison  between  the  various  occupational  groups  is 
particularly  important.     The  shop  employees  receive  larger  pensions 


■I 


1984 


BEPORT  OF   THE   COMMISSIONER   OF  LABOR. 


I  ^ 


than  either  the  employees  in  the  maintenance-of-way  class  or  in  the 
station  service.  This  is  partly  due  to  higher  wages  and  partly, 
probably,  to  longer  service.  t       J> 

^^^rSf,"  ^'^^  AVERAGE  OF  PENSIONS  GRANTED  EACH  YEAR  BY  THE  ADRTAtip 

[Source:  The  annual  reports  of  the  societies.] 


Society  and  year. 


Adriatic  society: 

1890 

1891 

1892 

1893 

1894 

1895 

1896 

1897 

1898 

1899 

1900 

1901 

1902 

1903 '.'.'.'.'.'.'. 

Mediterranean  society; 

1890 

1891 

1892 

1893 

1894 

1895 

1896 

1897 

1898 

1899 ." 

1900 

1901 


Pensions  granted  each  year  to— 


Maintenance-of- 
way  employees 
(male). 


Num- 
ber. 


123 
169 
320 
66  i 
130  ! 
100 
103 
138  , 
104  ; 

135  1 

136  , 
117 
116 
200 

78 
90 
75 
68 
49 
52 
39 
47 
52 
56 
47 
67 


Aver- 
age. 


$78 
75 
75 
78 
70 
74 
78 
72 
74 
73 
78 
71 
69 
70 

94 
96 
91 
89 
89 
80 
81 
84 
72 
74 
82 
70 


Station  and 

yard  service 

employees. 


Num- 
ber. 


Aver- 
age. 


96 
93 

199 
89 

118 
78 
66 
94 
47 
96 
92 
93 

117 

105 

104 
161 
88 
64 
38 
68 
57 
60 
SO 
80 
56 
56 


S96 

101 

96 

102 

101 

101 

101 

90 

92 

99 

105 

98 

94 

87 

111 

109 

100 

101 

112 

95 

102 

99 

97 

96 

90 

96 


Shop  em- 
ployees. 


Num- 
ber. 


110 
59 
70 
50 
07 
62 
85 
09 
55 
74 
125 
76 
50 
51 

87 
94 
51 
Ills 
47 
4:^ 
40 
37 
59 
27 
77 
84 


Aver- 
age. 


All  other. 


Num- 
ber. 


S132 
136 
142 
115 
133 
133 
148 
124 
129 
124 
130 
122 
119 
126 

152 
141 
143 
148 
146 
141 
156 
147 
157 
142 
137 
146 


6 

7 

21 

17 

7 

10 

12 

6 

8 

6 

15 

7 

14 

8 

13 
16 
16 

8 

6 
11 
10 

3 

5 

8 
11 

8 


Aver- 
age. 


$132 
120 
120 
136 
137 
120 
142 
150 
12» 
105 
134 
132 
127 
118 

142 

148 
1&3 
145 
143 
137 
141 
10.3 
100 
120 
95 
119 


Total. 


Num- 
ber. 


335 

328 
610 
222 
322 
250 
266 
307 
214 
311 
368 
293 
297 
3f54 

282 
361 
233 
24  S 
140 
170 
146 
147 
16*$ 
171 
191 
21.1 


Aver- 
age. 


$102 
91 
91 

100 
96 
99 

109 
91 
94 
94 

104 
94 
90 
84 

120 

116 
111 
120 
117 
106 
107 
105 
112 
97 
107 
108 


Lump-sum  Benefits.-Iii  case  of  retirement  because  of  disability 
before  fifteen  years  of  membership,  the  employee  received  only  a 
lump-sum  payment,  as  explained  above,  <lepending  upon  his  length 
ot  membership,  with  a  minhnum  of  two  months'  pay.  I'he  female 
employees,  all  belonging  to  the  maintenance-of-way  service,  received 
only  such  lump-sum  benefits.  As  the  following  table  shows,  these 
lump-sum  benefits  were  very  small,  especially  so  in  the  case  of  the 
female  employees.  But  these  latter  constituted  by  far  the  greater 
part  of  all  persons  receiving  such  lump-sum  benefits,  very  few  of  the 
other  groups  retirmg  before  the  necessary  fifteen  yeai^  have  elapsed. 

Ihe  average  sum  paid  to  the  female  employees  varied  in  the  differ- 
ent years  from  $17  to  $32.  In  other  branches  of  service  these 
amounts  were  larger;  and  the  largest  lump-sum  benefits,  as  well  ^ 
the  largest  pensions  (outside  of  the  few  office  employees),  were  paid 
to  the  shop  workers.  '  ^^  i 


\ 


CHAPTER  VII. workmen's   INSURANCE  IN   ITALY.         1985 

NUMBER  AND  AVERAGE  OF  LUMP-SUM  RETIREMENT  BENEFITS  PAID  TO  MEMBERS 
BY  THE  ADRIATIC  MUTUAL  BENEFIT  SOCIETY.  1S90  TO  1903,  AND  BY  THE  MEDITER- 
RANEAN MUTUAL  BENEFIT  SOCIETY,  1890  TO  1901,  BY  BRANCH  OF  THE  SERVICE. 

[Source:  The  annual  reports  of  the  societies.] 


Socioty  and  year. 


Adriatic  society: 

1S90 

1891 

1892 

1893 

1894 

1895 

1896 

1897 

1898 

1899 

1900 

1901 

1902 

1903 

Mediterranean  society: 

1890 

1891 

1892 

1893 

1894 

1895 

1896 

1897 

1898 

1899 

1900 

1901 


lAunp-sum  retirement  benefits  paid  to- 


Main  te- 
nanoe-of* 

way 
employees 

(males). 


Num- 
ber 


6 

5 

8 

8 

11 

18 

12 

9 

3 

2 

5 

4 

5 
8 
5 
8 
1 
3 
6 
13 
11 
6 
4 
8 


Aver 
age. 


$78 


40 
25 
55 
46 
M 
48 
66 
56 
32 
66 
66 
74 

32 
46 
63 
52 
133 
52 
30 
60 
47 
48 
48 
70 


Mainte- 
nanoe-of- 

way 
employees 

(females). 


Station- 
service 
employees. 


Num- 
ber. 


79 
78 
123 
22 
25 
39 
28 
31 
34 
36 
18 
22 
22 
14 

36 
68 
70 
89 
52 
63 
57 
59 
54 
61 
76 
78 


Aver- 
age. 


$22 
25 
22 
25 
28 
27 
28 
28 
27 
31 
28 
31 
31 
32 

24 
26 
24 
22 
20 
19 
17 
21 
20 
19 
23 
24 


Num 
ber. 


5 

9 

11 

14 

7 

10 

12 

6 

8 
10 
11 

8 
11 

26 
10 
14 
12 
9 
10 
11 
14 
29 
20 
25 
20 


Aver- 
age. 


Shop  em- 
ployees. 


$68 
71 
56 
78 
80 
87 
80 
66 
72 
68 
84 
82 

112 
93 

55 
46 
56 
65 
50 
53 
64 
64 
68 
78 
67 
76 


Num- 
ber. 


6 
9 

10 
7 
7 

14 
1 
3 

12 
6 
4 
4 
6 
3 

27 

21 

6 

17 

1 

9 

IG 

21 

15 

10 

10 

15 


Aver- 
age. 


All  others. 


$126 

82 

117 

122 

125 

120 

210 

82 

100 

1% 

130 

86 

177 

lOS 

r.2 

64 

59 

61 

112 

101 

91 

113 

132 

106 

150 

135 


Num- 
ber. 


TotaL 


3 
1 
3 
6 


Aver-  Num-  Aver* 


age. 


$28 

235 

54 


ber. 


22 

47 

146 


204 


112 


47 
46 
45 
25 
53 


130 

76 

97 


92 
»S 
151 
50 
47 
69 
51 
C6 
64 
60 
35 
39 
42 
32 

05 

112 
97 

127 
64 
85 
90 

107 

112 
98 

lis 

128 


a«e. 


$34 

as 

33 
54 
55 
M 
54 
46 
52 
53 
5S 
53 
73 
63 

41 
38 
33 
33 
28 
33 
37 
49 
53 
41 
45 
53 


As  explained  in  the  analysis  of  the  constitution,  the  mutual  benefit 
societies,  in  distinction  from  the  pension  funds,  did  not  pay  any 
pensions  to  dependent  families  of  deceased  members  until  after  1905. 
Instead  a  lump-sum  benefit  was  granted  in  such  cases,  as  explained 
in  a  preceding  paragraph.  The  number  and  average  amounts  of 
such  death  benefits  are  shown  for  the  two  largest  societies  and  for 
the  same  periods  to  which  the  previous  tables  refer  and  separately 
for  the, larger  tliree  occupational  groups.  No  such  benefits  were 
given  to  families  of  deceased  female  members,  and  011I3'  a  few  to  the 
members  of  the  higher  wage  groups  who  were  rapidly  being  trans- 
ferred to  the  pension  funds,  and  therefore  showed  lower  death  rates. 
The  average  amounts  of  such  benefits  were  somewhat  higher  than 
the  average  annual  amounts  of  pensions.  They  did  not  represent 
an  amount  sufficient  to  insure  economic  security  of  the  family  for 
any  length  of  time,  but  represent  a  sufficiently  high  amount  to  tide 
the  family  over  the  immediate  difficulties  accompanying  the  death  of 
the  father. 


1986 


BEPORT  OF   THE   COMMISSIONER  OF   LABOR. 


A  considerable  increase  in  the  average  amount  of  the  death  benefit 
may  be  noticed  for  aU  the  groups.  This  is  explained,  however,  by 
the  discontinuance  of  new  admissions  after  January  1,  1897,  which 
operated  to  gradually  raise  the  average  age  at  death 'and  also  the 
average  length  of  service  at  death,  upon  which  the  amount  of  the 
death  benefit  depends.  Thus  in  1894  there  were  39  deaths  of  mem- 
bers under  35  and  in  1903  only  4  such  deaths.  The  av(>rage  death 
benefit  in  case  of  such  early  death  was  naturally  very  small.  Thus 
in  1896  these  35  families  received  only  $1,855,  or  only  $53  per  family 
while  31  families  of  members  dying  at  the  age  of  50  or  OTer  received 
$4,426,  or  $143  per  family. 

NUMBER  AND  AVERAGE  OF  LUMP-SUM  BENEFITS  PAID  TO  FAMILIES  OF  nFPFAQvn 
MEMBERS  BY  THE  ADRIATIC  MUTUAL  BENEFIT  SotlETY,  fs^  t"i9^    AND  B^^^^^ 

[Source:  The  annual  reports  of  the  societies.] 


Lump-sum  benefits  paid  to  families  of— 

Society  and  year. 

Maintenance- 

of-way 

employees 

(males). 

station-serv- 
ice employees 

Shop  em- 
ployees. 

All  others. 

Total. 

Num- 
ber. 

Aver- 
age. 

Num- 
ber. 

Aver- 
age. 

Num- 
ber. 

1 

1  Aver- 
age. 

Num- 
ber. 

Aver- 
age. 

Num- 
ber. 

Aver- 
age. 

Adriatic  society: 
1890 

44 
57 
64 
59 
56 
69 
60 
42 
42 
43 
46 
46 
43 
36 

62 
63 
53 
49 
56 
77 
59 
52 
54 
59 
57 
65 

S83 
78 
79 
70 
74 
71 
83 
71 
67 
82 
73 
92 
100 
103 

68 
67 
64 
65 
69 
72 
68 
62 
69 
83 
73 
84 

66 
59 
54 
53 
45 
53 
43 
49 
61 
57 
50 
54 
60 
44 

59 
41 
55 
64 
48 
39 
51 
36 
43 
47 
49 
39 

$80 

93 

84 

86 

83 

107 

87 

114 

103 

111 

124 

126 

136 

143 

89 
70 
84 
72 
83 
87 

no 

88 
109 
101 
113 
119 

22 
24 
24 
29 
16 
29 
20 
27 
22 
16 
31 
23 
22 
15 

29 

41 

46 

38 

32 

33 

29 

31 

48 

45. 

37 

32 

1150 
146 
160 
155 
154 
154 
156 
175 
159 
150 
167 
165 
196 
191 

121 
127 
126 
141 
139 
159 
132 
140 
176 
210 
213 
196 

12 
5 
7 

14 
5 

12 

11 
9 
7 
8 

11 

11 
8 

10 

5 
9 
6 
4 
7 
7 
1 
4 

11 
7 

13 

15 

$92 

73 

97 

92 

92 

94 

148 

165 

129 

155 

113 

157 

161 

179 

112 
114 

85 
200 

97 

74 
226 
107 
133 
112 

98 
136 

144 
145 
149 
155 
122 
163 
134 
127 
132 
124 
138 
134 
133 
105 

155 
154 
IGO 
155 
143 
156 
140 
123 
156 
158 
156 
151 

1891 

$92 

1892 

95 

1893 

95 

1894 

93 

1895 

90 

1896 

100 

1897 

101 

1898 

117 

1899 

102 

1900 

108 

1901 

116 

1902 

124 

1903 

136 

Med iterranean  society : 
1890 

140 

1891 

87 

1892 

86 

1893 

89 

1894 

90 

1895 

91 

1896 

94 

1897 

98 

1898 

91 

1899 "   ""■ 

118 

1900 

123 

1901 '  ""' 

119 

121 

CHAPTER  VII. workmen's  INSURANCE   IN   ITALY.  1987 

Until  1905,  in  case  of  death  of  pensioners,  the  family  of  the  deceased 
.was  not  entitled  to  the  continuous  pension,  but  only  to  a  lump  sum. 
^The  minimum  of  such  lump-sum  benefit  was,  according  to  the  con- 
stitution of  1902,  four  times  the  monthly  benefit  of  the  pensioner. 
As  the  following  table  indicates,  the  average  amount  of  this  benefit 
varied  since  1893  between  $36  and  $73.  It  did  not  represent,  there- 
fore, more  than  a  funeral  benefit  and  a  small  sum  to  tide  over  the 
first  difficulties  of  the  situation.  By  the  law  of  1905,  embodied  in 
the  society's  constitution  of  1907,  the  widows  of  pensioners  receiving 
their  pensions  since  1905  were  granted  the  continuation  of  the  pen- 
sion. Data  concerning  the  application  of  this  paragraph  are  not 
available. 

NUMBER  AND  AVERAGE  OF  LUMP-SUM  BENEFITS  PAID  TO  FAMILIES  OF  DECEASED 
PENSIONERS  BY  THE  ADRIATIC  AND  BY  THE  MEDITERRANEAN  MUTUAL  BENEFIT 
SOCIETIES,  1890  TO  1903. 

[Source:  The  amiual  reports  of  the  societies.] 


Lump-sum  benefits  paid  to  families  of 
deceased  pensioners  by 

— 

Year. 

Lump-sum  benefits  paid  to  families  ol 
deceased  x>ensfoners  by — 

Year. 

Adriatic  society. 

Mediterranean  so- 
ciety. 

Adriatic  society. 

Mediterranean  so- 
ciety. 

Number. 

Average. 

Number. 

Average. 

Number. 

Average. 

Number.   Average. 

1890 

1891 

1892 

1893 

10 
18 
34 

(«) 

(«) 

(«) 
(a) 

$112 

104 

79 

3 

16 
29 
39 
25 
32 
41 

$85 

142 
100 

62 

73 

50| 

BO 

1897 

1898 

1899 

1900 

1901 

1902 

1903 

48 
59 
64 
76 
74 
96 
120 

$58 
45 
52 
36 
46 
38 
46 

41 
43 
44 

60 
60 

(«) 
(«) 

fl9 
M 
M 
» 

m 

1884 

1895 

1896 

a  Not  reported. 

Finances.— The  general  review  of  the  finances  of  the  three  mutual 
benefit  societies  for  the  period  of  18  years  since  their  first  reorganiza- 
tion in  1890  very  plainly  shows  their  financial  weakness.  The  reor- 
ganized funds  started  on  January  1,  1890,  with  a  surplus  fund  of 
$1,863,702,  accumulated  in  the  preceding  period  when  their  retire- 
ment benefits  were  rather  small.  But  as  the  average  age  of  the  mem- 
bers increased  and  the  number  of  retirement  benefits  grew  the  annual 
surplus  decreased,  and  by  1892  was  changed  to  a  large  and  growing 
deficit.  Thus  between  1892  and  1905  more  than  two-thirds  of  the 
assets  of  the  mutual  benefit  societies  had  dwindled  away.  Only  the 
material  increase  in  rates  in  1906  had  evidently  saved  these  funds 
from  financial  difficulties.  The  causes  for  this  appear  more  clearlv 
in  the  following  tables,  which  give  the  financial  reports  for  the  years 
1902  to  1907: 


'  t 


I' I 

IS:'         i 


..        f 


1988  REPORT   or   THE   COMMISSIONER  OF  LABOR. 

FINANCES  OF   THE   MUTUAL  BENEFIT   SOCIETIES,  1890  TO   1907 
[Source:  The  annual  reports  of  tlie  societies.] 


Society  and  year. 


1890... 

1891... 

1892... 

1893... 

1894... 

1895... 

1896... 

1897... 

1898... 

1899... 

1900... 

1901 . . . 

1902... 

1903... 

1904... 

1905... 

1900... 

1907  (a) 

1907(6) 

1907.... 


Income. 


1607,286 
651,786 
602,604 
618,666 
621, 007 
631,404 
640,669 
632,058 
618, 957 
617.318 
619.548 
618, 004 
680,164 
647,884 
678,854 
658, 379 
921,750 
577,523 
465,125 
1,042,648 


Expendi- 
tures. 


$438,774 
511,717 
622,963 
643,941 
647,381 
687,918 
709,489 
729,991 
743,441 
750.402 
804.849 
818,511 
803,409 
811,332 
803,079 
812,832 
810,709 
403,235 
420,345 
823,580 


a  First  six  months. 


Surplus. 

Deficit. 

$168,512 
140,069 

$20,859' 

25,275 

26, 374 

66,  .M  4 

6.S,«20 

97,933 

124,484 

133, 084 

18.\301 

200,507 

123,345 

163,448 

124,225 

154, 453 

111,041 

174,288 

44,780 

219,068 

Assets  at  end 
of  year. 

$2,032,214 

2, 172, 283 

2, 151, 924 

2,126,649 

2, 100, 275 

2,043,761 

1,974,941 

l,877,a« 

1.752,5'i4 

1,619,440 

1,434,139 

1,233, 6?<2 

1,110,3M7 

946,939 

822,7)4 

668. 2«H 

779, » 12 

953,590 

998, 370 

998, 370 


b  Last  six  months;  united  fund. 

The  sources  of  revenue  of  the  mutual  l)enefit  societies,  as  of  the 
pension  funds,  consist  of  the  following  main  sources:  Contribution, 
of  the  members    contributions  of  the  railroads,  regular  sources  of 
revenue  established   by  the  constitution,  and  interest    and  profits 
from  mvestment.     As  appears  from  the  following  tables,  the  mem- 
bers   contributions  in  1906  constituted  about  one-fourth  (25  2  per 
cent)  of  the  total,  the  direct  contributions   from  the  railroads  over 
one-h.alf   (51.7  per  cent),  the  indirect  contributions,  includiua  the 
reimbursements  for  accident  compensation,  nearly  one-fifth  (IHS  per 
cent)   and  the  income  from  interest  and  investments  was  very  small 
only  3.7  per  cent,  because  of  the  low  reserve.     In  view  of  the  rapid 
decline  of  the  reserve,  the  necessity  for  increasing  the  current  revenues 
of  the  funds  wa^  keenly  felt.     The  lower  level  of  the  wages  of  those 
employees  who  held  membership  in  these  .societies,  as  compared  with 
that  of  the  members  of  the  pension  funds,  previously  describe.l,  pre- 
cluded the  possibility  of  increasing  the  members'  contributions,  and 
the  railroads  were  therefore  forced  by  law  to  increase  their  share. 
On  October  21,  1902,  these  contributions  were  increased  from  3  per 
cent  of  the  salaries  paid  to  4.2  per  cent,  and  on  January  1,  1906  fur- 
ther mcreased  to  8.15  per  cent,  i.  e.,  nearly  .loubled.     As  a  result  the 
total  contributions  of  the  railroads  more  than  doubled  between  190'> 
and  1906,  notwithstanding  the  decline  in  the  memberslii.,.     In  190'' 
these  direct  contributions  of  the  raiboads  represented  only  26  6  per 
cent,  or  a  httle  over  one-fourth  of  the  tot.d  income,  as  against  51  7 
per  cent  in  1906.     The  study  of  the  table  giving  the  expenditures 
.by  mam  items  explams  the  reason  for  these  difficulties.     Pensions 
represented  the  main  item,  though  officialK-  designated  bv  the  name 
of  continuous  benefits,  and  though  they  were  given  onh'  for  retire- 
ment because  of  invalidity,  and  not  for  old  age  alone.     The  total 
expenditures  for  retirement  pensions  did  not  show  such  a  rapid 
mcrease  as  m  the  case  of  the  pension  funds,  but  they  were  stUi 


CHAPTER  VII.— WORKMEN 'S   INSUBANCE  IN   ITALY.  1989 

increasing  in  1906,  being  in  that  year  7  per  cent  greater  than  in  1902 
Ihus,  notwithstanding  the  existence  of  these  mutual  benefit  societies 

,o«,"T  ^^  ?^^^^'  ^""^  ^^^  discontinuance  of  new  admissions  since 
1897,  the  societies  have  not  yet  reached  the  state  of  equilibrium  where 
the  granting  of  new  pensions  would  be  entirely  offset  by  the  discon- 
tinuance of  old  ones.    As  was  shown  in  one  of  the  preceding  tables 
the  number  of  current  pensions  was  still  increasing  in  1907    and  so' 
WM  the  average  amount  of  pensions  because  of  the  increase  ii  wages 
While  the  latest  mcrease  of  the  railroad  contributions  from  4  2  per 
cent  to  8.15  per  cent  of  the  salaries  did  overbalance  the  deficit  and 
produce  a  shght  surplus,  the  mutual  benefit  societies  were  not  yet  put 
upon   a  sound  financial   basis   thereby.     For   with   the   continued 
increase  of  pensioners  and  the  decrease  of  active  members,  producin.^ 
a  fall  in  the  revenues,  the  small  surplus  was  likely  to  be  a.'ain  con- 
verted into  a  deficit  in  the  near  future.     If  a  technical  balance  of  the 
mutual  benefit  societies  were  struck,  it  would  show  that  the  members 
through  their  long  membership  had  acquired  rights  for  invalidity 
pensions,  thus  creating  a  large  actuarial  liability  with  practically  no 
reserve  to  cover  it.     At  the  same  time  a  new  source  of  liabilities  was 
created  by  the  provision  of  the  law  of  1905  establishing  pensions  for 
widows  of  members  dying  after  July  1,  1905,  and  for  widows  of  pen- 
sioners who  had  received  their  pensions  after  that  date 

In  the  earUer  years  the  expenditures  for  pensions  for  widows  were 
on  account  of  old  pensions  granted  before  January  1,  1890,  to  widows 
of  members  of  the  old  Alta  Italia  Mutual  Benefit  Societv,  mer-^ed 
partly  with  the  Adriatic  and  partly  with  the  Mediterraneai,  Socie"tv 
But  since  1905  the  number  and  cost  of  widows'  pensions  show  an 
increase. 

If  it  were  not  for  the  entire  change  of  the  pension  system  the  cost 
of  widows    pensions  would  rapidly  have  assumed  large  proportions. 

INCOME  AND  EXPENDITURES  OF  THE  MUTUAL  BENEFIT  SOCIETIES,  W.  TO  1907. 

[Source:  The  annual  reports  of  the  societies.] 
INCOME. 


Source  of  income  and  item  of  exi)endilure. 


Contributions  of  members: 
"Ordinary"  members.. 
"Aggregate"  members. 


1902. 


Total. 


Direct  contributions  of  raiboad 
Indirect  contributions  of  railroad: 
Unclaimed  overcharges  on  freight 
Fines ■ 

Repayments  for  accidents. '. 

Another 


$175,846 
23,369 


Total 

Interest  and  investment. 
Another 


Grand  total . 


199,215 

181,065 

87,381 
25,163 
28,838 
11,209 


1903. 


$203,526 
22,661 


226, 187 


1904. 


$199,018 
21,439 


1905. 


1906.   I  1907.(a) 


$197,043 
20,541 


$211,647 
21,079 


220,457 


152,591 

146, 747 

546 


680.164 


243,991 

57,299 
17,814 
27,395 
11,024 


113,532 

63,682 

492 


238,851 

73,558 

18,597 

35,881 

7,552 


217,584   232,726 


$108,249 
10.703 


118,952 


13.5, 588 
64,130 
19,528 


647,884   678,854 


236,473 

54,383 

17, 169 

25,807 

8,054 


105, 413 
65,543 
33,366 


658, 379 


476, 144 

102,707 
18,809 
36,773 
10,223 


340,306 

54,500 

12. 7tV4 

22.941 

4,612 


168,512 
33,760 
10,606 


921,750 


94,817 

18,072 

1,186 


ft  573.333 


J  For  first  six  months  only, 
origiii^'freport.^'  *''''' ^'''  '^°  '^'  '""'^^  ^^«^'°  «°  P=^««  19^8;  the  figures  are  given  as  shown  in  the 


1990 


REPORT  OF   THE   COMMISSIONER  OF  LABOR. 


INCOME  AND  EXPENDITURES  OF  THE  MUTUAL  BENEFIT  SOCIETIES.  1902  TO  1907- 

Concluded. 

EXPENDITURES. 


Source  of  income  and  item  of  expenditure. 


Temporary  disability  benefits: 

Sick  benefits 

Physicians'  fees,  expenses '  etc! 
Medicines,  appliances,  etc.. 


1902. 


Total. 


Retirement  benefits: 

Pensions 

Lump  sums 


Total. 


123,208 
34,391 
20,603 


1903. 


89,188 
31,214 
13,625 


178,202 


557,130 
8,650 


Death  benefits: 

Pensions  to  widows 

Lump  sums  to  families  of  members 
Lump  sums  to  families  of  pensioners" 
Funeral  benefits.... 


565,780 


Total. 


Payments  to  pension  fund 
All  other 


Grand  total. 


7,186 

36,670 

6,914 

2,806 


134,027 


567,058 
6,186 


1904. 


87,668 
25,304 
10, 162 


1905. 


572,244 


53,576 

4,979 
872 


803,409 


6,771 

35,819 

8,384 

2,818 


53,792 

50,175 
1,094 


123,134 


690,964 
6,094 


110,070 
22,319 
10, 177 


19<)6. 


105. 909 
22.890 
U.397 


1907.  o 


142,566 


588,130 
2,834 


596,058       500,964 


6,393 
35,608 
11,277 

3,041 


56,319 


24,079 
3,489 


811,332 


803,079 


a  For  first  six  months  only. 

^This  total  is  $4,190  less  than  the  total  shown 


6,413 
38,359 
11,175 

3,273 


140,196 


601,850 
3,703 


66,006 
7,419 
4,077 


77,502 


294,241 
1,409 


605,653        295,650 


14,617 

H),  576 

7,442 

3,055 


69,220 


17,637 
2,445 


36,690 


11,357 
17.913 


812,832 


810, 709 


11,217 
1,913 
2,982 
1,633 


17,745 


8,007 
141 

*  399, 045 


report. 


on  page  1988;  the  figures  are  given  as  shown  in  the  original 


PEOVIDENT  INSTITUTE  OF  THE  STATE  BAILEOAD. 


The  financial  organization  of  the  provident  institute  resulting  from 
the  consohdation  of  the  three  separate  provident  institutes  of  the 
railroad  operatmg  companies  was  very  much  different  from  that  of 
the  Older  institutions,  and  the  reasons  for  these  differences  are  impor- 
tant, having  been  forced  by  the  impossibility  to  construct  a  true 
actuarial  ba^is  for  the  activity  of  a  pension  and  benefit  institution 
on  those  older  Imes.  It  will  be  necessar3S  therefore,  to  give  the 
details  of  these  differences  in  the  financial  organization 

As  was  stated  in  a  preceding  section,  the  ])rovident  institute  com- 
bined the  functions  of  both  a  pension  fund  and  a  mutual  benefit 
society,  or,  m  otli6r  words,  old-a^e  and  invahdity  insurance  with  sick- 
ness insurance  and  medical  aid.  The  element  of  mutuahty,  while  not 
altogether  elimmated,  was  very  considerably  reduced,  the  main 
activity  taking  the  form  of  compulsory  accumulation  of  individual 
accounts,  to  be  converted  under  certain  conditions  either  into  annul, 
ties  or  lump-sum  benefits. 

The  membership  in  this  institution  was  compulsory  for  all  perma- 
nent employees  of  the  raih-oads  who  entered  the  service  after  Dec  em- 
ber 31,  1896,  except  that  for  employees  appointed  at  an  a^e  over  45 
years  such  membership  was  optional.  The  institute  was  divided 
into  two  sections  the  first  being  limited  to  employees  receiving 
monthly  or  annual  salaries  and  the  second  to  those  receiving  daily 


CHAPTER  VII. — workmen's   INSURANCE   IN   ITALY.  1991 

wages,  the  two  sections  thus  corresponding  to  the  pension  fund  and 
the  mutual  benefit  society.  The  second  section,  like  its  prototype, 
combined  sickness  insurance  and  medical  aid  with  old-age  invalidity 
insurance  and  widows'  and  orphans'  pensions.  In  case  of  promotion 
to  a  monthly  salary,  members  of  the  second  section  were  transferred 
to  the  first  section. 

SOURCES   OF   INCOME. 

As  in  distinction  to  the  two  older  institutions  described,  the  benefits 
of  this  institute  depended  primarily  upon  the  individual  accounts.  It 
IS  necessary  to  analyze  these  accounts  and  aU  sources  of  revenue  before 
stating  the  amounts  of  pensions  and  other  benefits. 

These  sources  of  revenue  are  stated  in  the  constitution  as  follows: 

(1)  The  regular  deductions  from  the  earnings  of  the  members. 

(2)  Extraordinary  deductions. 

(3)  Voluntary  contributions  of  the  members. 

(4)  Contributions  of  the  raih-oad  administrations. 

(5)  Special  assigned  sources  of  revenue. 

(6)  Extraordinary  revenues,  such  as  legacies,  donations,  etc,  and 

(7)  Revenues  from  investments  of  funds. 

Briefly,  these  sources  may  be  classified  into  tliree  groups :  Employ- 
ees' contributions,  the  railroad  management's  contributions,  and 
miscellaneous  revenues.  In  detail,  these  sources  of  revenue  differed 
for  the  two  sections  of  the  institute. 

The  regular  contributions  of  the  members  were  identical  with  those 
m  the  pension  fund  and  the  mutual  benefit  society— i.  e.,  5.5  per  cent 
of  the  salary  for  the  first  section  and  3.5  per  cent  for  the  second  sec- 
tion. The  extraordinary  contributions  contained  the  deduction  of 
one-twelfth  of  each  annual  increase  of  salary  and,  besides,  an  initiation 
fee  of  one-tenth  of  the  annual  salary  at  appointment.  As  each 
member's  account  was  an  individual  one,  the  members  were  permitted 
to  increase  these  a<jcounts  by  additional  voluntary  contributions, 
which  during  any  one  month,  however,  must  not  exceed  one-fifth  of 
the  salary. 

The  regular  contributions  of  the  raiboad  administration  were 
identical  with  those  for  the  pension  fund  and  the  mutual  benefit 
society,  namely,  8  per  cent  of  the  salary  for  the  members  of  the  first 
section  and  8.15  per  cent  for  the  members  of  the  second  section,  and 
amounts  equal  to  the  members'  extraordinary  contributions,  not 
only  promotion  contributions,  but  also  initiation  fees. 

The  additional  sources  of  revenue  from  the  admmistration  were 
shares  of  the  revenues  assigned  to  the  pension  fund  and  the  mutual 
benefit  society.  The  first  section  shared  with  the  pension  fund  and 
the  second  with  the  mutual  benefit  society,  the  distribution  being 

67725°— VOL  2—11 32 


1992 


BEPOBT  OF   THE   COMMISSIONER   OF   LABOR. 


affected  annuaUy  in  proportion  to  the  aggregate  earnings  of  the  mem- 
bership. 

The  various  revenues  enumerated  were  distributed  into  two  dis- 
tinct systems  of  accounts,  the  individual  accounts  and  tlio  collective 
account.  The  individual  account  of  each  member  was  made  up  of 
his  compulsory  deductions,  his  voluntary  contributions,  and  the  con- 
tribution of  the  railroad  administration,  to  which  at  the  end  of  each 
year  was  added  interest  at  the  rate  established  each  year  according 
to  the  computed  rate  of  interest  received  by  the  institute.  This 
account  was  payable  to  the  member  at  time  of  leaving  the  service 
or  to  his  family  after  his  death.  The  collective  account  clauned  all 
the  other  revenues  and  also  certain  transfers  of  the  undistributed 
individual  accounts  or  parts  of  accounts,  as  explained  below.  It  was 
to  be  used  for  increasing  the  individual  accounts  of  members  leaving 
service  because  of  old  age  and  invalidity,  and  of  families  of  members'^ 
according  to  special  regulations  to  be  issued. 

In  addition  there  was  also  a  reserve  fund  into  whi('h  certain 
amounts  from  other  funds  were  paid,  as  explained  below. 

BENEFITS. 

The  annual  benefits  payable  to  members  depended  upon  the' 
amounts  of  accumulations  in  the  individual  accounts,  and  approached 
therefore  a  system  of  subsidized  and  compulsory  savings. 

The  entire  account  was  paid  at  the  time  of  separation  from  service, 
either  by  resignation  or  by  administrative  order,  under  one  of  tlie  fol- 
lowing conditions: 

(1)  If  the  member  had  reached  60  years  of  age  and  comi)leted 
30  years  of  membership,  in  case  of  sedentary  occupations,  or  55  years 
of  age  and  25  years  of  membership,  in  active  occupations. 

(2)  If  the  separation  from  service  was  due  to  invahdity,  after  15 
years  of  membership. 

(3)  Without  any  consideration  as  to  the  length  of  membership  if 
the  separation  from  service  was  due  to  invahdity  caused  by  an  injury 
received  in  service  or  by  a  miasmatic  fever. 

Thus  the  regulations  for  old  age  and  invahdity  insurance  for  all 
the  members  (i.  e.,  for  both  sections)  were  similar  to  those  for  the 
pension  fund,  and  a  superannuation  pension  was  introduced  for  the 
lower-grade  employees,  who  before  had  only  an  mvahdity  j tension. 

The  entire  individual  account  was  also  Kquidated  in  case  an 
employee  was  discharged  without  any  fault  of  his,  but  because  of  a 
change  of  personnel,  even  before  he  had  reached  the  above-mentioned 
Hmits,  provided  he  had  held  membership  for  15  years. 

Pensions  and  Lump  Sums.— The  constitution  further  provided 
that  when  the  member  received  the  full  value  of  his  individual  ac- 


CHAPTEB  VII. workmen's   INSURANCE  IN   ITALY.  1993 

count,  it  must  be  converted  into  a  Hfe  pension  (after  2  per  c«nt  is 
deducted  m  favor  of  the  reserve  fund).     An  exception  was  made  in 
the  case  of  the  member  whose  account  was  Hquidated  before  15  3'ears 
of  membership,  when  the  account  must  be  paid  out  in  a  lump  sum 
except  that  m  cases  when  the  pension  would  amount  to  not  less  thail 
200  lire  ($38.60)  per  annum  such  conversion  might  be  demanded  by 
the  recipient.     In  the  compulsory  conversion  of  the  total  individual 
account  mto  a  pension,  the  rights  of  the  vdie  and  children  must  be 
taken  into  consideration.     Thus,  if  a  member  had  a  wife  but  no  chil- 
dren, she  was  entitled  after  his  death  to  a  pension  of  one-half  the 
amount  of  his  pension  until  her  death  or  remarriage.     If  besides  the 
wife  there  were  minor  children,  they  were  entitled,  if  under  acre  at 
the  time  of  his  death,  coUectively  to  one-fourth  of  his  pension  ^'until 
majoiity.     If  the  pensioner  was  a  widower  with  chUdren,  they  had  a 
right  to  receive  after  his  death  and  until  majority  one-half  of  his 
pension,  or  if  there  was  only  one  child,  one-fourth  of  his  pension     All 
these  pensions,  together  with  the  pension  of  the  member,  were  pur- 
chased out  of  the  hquidated  mdividual  account. 

Partial  Liquidations.— Unless  one  of  the  conditions  enumerated 
above  existed,  the  right  of  the  employee  to  his  mdividual  account  at 
the  time  of  leavmg  the  service  was  limited,  except  to  the  voluntarv 
contributions,  which  together  with  mterest  accrued,  were  paid  out  at 
the  time  of  leaving  service  for  any  cause. 

If  the  employee  left  the  service,  unless  dismissed  for  disciphnarv 
reasons,  he  was  entitled  to  receive  his  own  contributions  with  the 
interest  accrued.  The  remammg  portion  of  the  mdividual  account 
was  divided  between  the  coUective  account  and  the  reserve  fund  the 
former  receivmg  nme teen-twentieths,  and  the  latter  one-twentieth 

Benefits  to  Wives  or  Widows  and  Children.— If  the  employee 
should  be  dismissed  after  15  years  of  membership,  the  entire  account 
was  to  be  hquidated  in  favor  of  his  wife  or  minor  children,  and  if  he 
died  m  service  after  15  3-ears  of  membership,  m  favor  of  his  widow 
and  mmor  children.  The  requirement  as  to  the  length  of  member- 
ship was  waived  in  case  of  death  because  of  an  mjurv  or  a  miasmatic 
fever.  These  amounts  were  convertible  into  pensions  for  the  wives 
widows,  or  children,  unless  the  membership  did  not  last  15  years- 
the  pensions  to  widows  were  to  run  until  remarriage  and  to  the  chU- 
dren to  majority. 

If,  however,  the  dismissal  or  death  took  place  before  this  15-year 
limit  and  m  absence  of  any  conditions  (injury  or  disease)  causing  the 
time  Inmt  to  be  waived,  the  widow  or  wife  and  children  were  entitleil 
only  to  the  emploj^ees'  contributions  with  interest  accrued.  In  this 
case,  as  m  the  case  of  the  benefit  being  paid  to  the  member  himself 
the  retamed  portion  of  the  account  was  divided  between  the  collective 
and  the  reserve  funds.  ^ 


1994 


BEPOBT   OF   THE   COMMISSIONER  OF  LABOR. 


The  rights  of  the  widows  and  orphans  of  employees  who  died  after 
having  drawn  their  full  accounts  from  the  institute  were  provided  for 
at  the  time  of  the  hquidation  of  the  account,  when  their  pensions 
were  computed,  as  explained  above. 

As  the  rights  of  the  widows  and  children  were  rather  compHcated, 
they  are  briefly  summarized  again. 

(1)  When  the  ex-member  died  after  having  liquidated  his  full 
account  and  received  a  pension,  the  widow  received  one-Jialf  of  his 
pension,  and  minor  children  one-fourth  of  his  pension.  If  mmor 
children,  but  no  widow,  survived,  they  received  one-half  of  his  pen- 
sion, in  equal  shares. 

(2)  If  an  ex-member  died  after  he  received  only  his  ow^l  contdbu- 
tions  with  interest,  part  in  lump  sum,  his  widow  and  orphans  had  no 
right. 

(3)  If  a  member  died  while  in  service  and  after  15  years  of  member- 
ship (or  from  mjury  or  miasmatic  lever,  when  this  condition  is  waived), 
the  entire  mdividual  account  was  hquidated  in  favor  of  his  widow 
and  minor  children,  and  converted  into  pensions,  the  distribution 
bemg  affected  m  such  a  way  that  the  temporary  pension  of  each 
minor  child  was  equal  to  one-third  of  that  of  the  widow. 

(4)  If  a  member  died  while  in  service  but  before  15  years  of  mem- 
bership, the  widow  received  in  a  lump  sum  only  the  contributions  of 
the  member  with  interest  accrued. 

The  general  conditions  required  to  entitle  the  widow  and  children 
to  benefits  were  identical  with  those  for  the  other  two  institutions 
described  above. 

In  case  of  dismissal  from  service  for  cause,  the  wife  and  children 
had  the  same  rights  as  a  widow  and  orphans. 

Limits  of  Pension.— The  pension  to  an  employee  was  not  to 
exceed  four-fifths  of  the  average  annual  salary  during  the  hist  qum- 
quennial  period  for  the  members  of  the  fkst  section,  and  2.50  lire 
(48  cents)  per  day  for  the  members  of  the  second  section. 

The  pension  of  widows  (with  or  without  one  mmor  child)  of  the 
first  section  must  not  exceed  two-fifths  of  that  average  annual  salary, 
nor  must  it  be  larger  than  4,000  fire  ($772)  per  annum.  If  there  were 
minor  children,  the  total  pension  must  not  exceed  three-fif tlis  of  the 
average  annual  salary,  nor  6,000  lire  ($1,158). 

When  two  or  more  minor  children  without  a  mother  survived,  the 
limit  of  their  pensions  was  the  same  as  for  the  widow;  for  one  minor 
child  the  maximum  limit  was  one-half  of  that  for  the  widow. 

For  the  widows  of  members  of  the  second  section  the  hmits  were 
very  much  lower:  Namely  1.25  lire  (24  cents)  per  day  with  or  with- 
out one  child,  and  together  with  two  or  more  minor  chil<h-en,  1.90 
lire  (37  cents)  per  day.  All  amounts  from  the  individual  accounts 
in  excess  of  these  limits  reverted  to  the  collective  fund. 


CHAPTER  VII. workmen's   INSURANCE   IN   ITALY.  1995 

Special  Benefits  for  Members  of  the  Second  Section —It 
appears  from  the  foregomg  analysis  that  much  more  uniformity  had 
been  introduced  m  the  treatment  of  employees  of  the  two  classes,  the 
mam  difference  bemg  in  the  rate  of  compulsory  monthly  contributions 
from  the  employees'  eammgs  and  m  the  different  sources  for  supple- 
mental revenue  of  the  collective  fund. 

The  other  important  difference  was  that  the  second  section  in- 
cluded besides  old-age,  invalidity,  and  retirement  relief,  also  the  func- 
tions of  sickness  msurance  simHar  to  those  of  the  mutual  benefit 
society. 

Sanitary  Service.— It  will  be  remembered  that  the  mutual 
benefit  society  conducted  a  medico-sanitary  service  for  the  entire 
personnel  of  the  raUroads,  the  expenses  bemg  shared  by  tlie  second 
section  of  the  provident  institute.  The  constitution  of  the  latter 
provided  that  as  soon  as  the  total  earnmgs  of  its  members  exceeded 
that  of  members  of  the  mutual  benefit  society  it  should  assume  this 
function,  the  mutual  benefit  society  sharmg  in  its  expenses.  The 
benefits  in  the  nature  of  medical  and  surgical  help,  hospital  treatment, 
medicmal  bath,  funeral  benefits,  etc.,  were  identical  with  those  of 
the  mutual  benefit  society  enumerated  on  page  1963. 

Sick  Benefits.— Sick  benefits  of  two-thirds  the  daily  wages  were 
paid  to  the  employee  deprived  of  his  earnings  because  of  ilhiess,  pro- 
vided he  had  been  subject  to  deductions  from  his  salary  for  at  least 
30  days.  The  conditions  of  payment  of  sick  benefits  were  identical 
with  those  of  the  mutual  benefit  society. 

Cost  of  Sickness  Insltiance.-As  far  as  the  medical  service  and 
the  sick  benefits  were  concerned,  the  prmciple  of  mutuaUty  was  appUed 
to  the  second  section.  The  entire  cost  of  sickness  insurance  to  the 
second  section  was  divided  among  the  members  proportionately  to 
their  annual  earnings,  and  the  respective  amounts  were  deducted  from 
their  mdividual  accounts. 

Accident  Insurance.— Similar  to  the  other  institutions,  the  prov- 
ident  institute,  m  case  of  industrial  accidents,  assumed  the  respon- 
sibility toward  all  its  members  who  were  subject  to  the  accident 
msurance  law. 

■ 

The  general  methods  applicable  m  the  case  of  this  institute  were 
practically  identical  with  those  of  the  pension  fund  and  the  mutual 
benefit  society,  except  that  in  case  of  <leath  or  of  permanent  disabUity 
necessitatmg  separation  from  the  service,  the  injured  pereon  or  his 
lamily  received  the  personal  contributions  with  the  interest  accrued 
in  addition  to  the  compensation  required  by  the  law.  The  remainin.' 
portion  of  the  individual  account  reverted  to  the  collective  account! 
But  If  the  total  amount  paid  under  the  accident  law,  plus  these  per- 
sonal contributions,  was  still  less  than  the  amount  to  which  the  injured 


1996 


EEPORT   or   THE   COMMISSIONER  OF   LABOR. 


person  or  his  family  would  have  been  entitled  under  the  constitu- 
tion in  case  of  death  or  invaUdity  from  other  causes,  the  difference 
was  paid  and  charged  to  the  collective  fund. 

ADMINISTRATION. 

The  institute  was  administered  by  a  committee  dividrnl  into  two 
sections,  corresponding  to  the  sections  of  tlie  institute;  the  details  of 
administration  were  identical  with  those  for  the  pension  fund  and  the 
mutual  benefit  society,  except  that  for  certain  purposes,  concerning 
each  section  separately,  the  committees  acted  separately,  and  for 
other  general  purposes  they  sat  together  as  one  body.  The  expenses 
of  administration,  as  in  the  case  of  the  other  two  institutions,  v/ere 
borne  by  the  railroad  administration. 

As  seen  from  the  analysis,  the  new  provident  institute  had  some 
advantages  over  the  two  older  institutions.  Perhaps  the  main  ad- 
vantage was  a  fiscal  one;  as  the  benefits  were  dependent  upon  the 
individual  accounts,  the  institute  was  guaranteed  against  deficits  and 
insolvency.  Another  advantage  was  the  comparative  e(iuality  in 
the  treatment  of  the  members  of  the  two  sections.  A  third  was  that 
under  no  conditions  did  a  member  lose  all  his  rights  to  benefits  by 
premature  separation  from  the  service.  The  principle  prevailed  that 
only  the  additional  contributions  from  the  railroad  administration 
were  in  the  nature  of  a  reward  for  continuous  service,  and  that  under 
no  circumstances  was  a  member  to  be  deprived  of  the  accumulations 
resulting  from  his  compulsory  or  voluntary  contributions. 

STATISTICS. 

The  provident  institutes,  organized  in  accordance  with  the  law  of 
1897  by  the  constitution  adopted  on  January  31,  1901,  grew  rapidly 
within  the  next  iive  or  six  years  at  the  ex})ense  of  the  other  institu- 
tions previously  described.  The  Adriatic  Railroad  began  to  keep 
accounts  for  the  provident  institute  as  early  as  1897,  the  Sicihan 
Railroad  in  1898,  and  the  Mediterranean  Raihoad  in  1900.  As  is 
shown  in  the  following  table,  the  average  annual  membership  in  1900 
was  3,861,  and  during  the  last  6  months  of  the  existence  of  the  indi- 
vidual funds  34,918,  while  for  the  first  6  months  of  the  consohdated 
provident  institute  it  increased  to  38,335,  the  first  section  claiming 
about  one-third,  and  the  second  section  two-thirds,  of  the  total  mem- 
bership. 


■ 


CHAPTER  VII. workmen's   INSURANCE   IN   ITALY.  1997 

AVERAGE  MEMBERSmP  OF  THE  PROVIDENT  INSTITUTES,  1897  TO  1907,  BY  SECTIONS 

AND  FUNDS. 

[Source:  The  annual  rt'ports  of  the  Institutes.] 


Number  of  members  in- 

Year. 

First  section. 

Second  section. 

Grand 
totaL 

Adriatic 
fund. 

Mediter- 
ranean 
fund. 

Sicilian 
fund. 

Total. 

Adriatic 
fund. 

Mediter- 
ranean 

fund. 

Sicilian 
fund. 

Total. 

1897 

4 

15 

140 

425 

965 

1,647 

2,440 

3,249 

3,930 

4,628 

5,066 

4 

56 

215 

777 

1,713 

2,643 

3,838 

5,275 

6,728 

9,182 

11,394 

12,958 

45 

370 

938 

1,546 

1,985 

2,842 

5,767 

8,702 

9,982 

10,930 

11,615 

45 

642 

1,411 

3,084 

5,105 

6,916 

12,476 

18,725 

21,344 

22,roi 

23,524 
25,377 

49 

6K 

1.618 

6,818 
9,559 
16,314 
24,000 
28,072 
31,783 
34,918 
38,335 

1898 

41 
75 
111 
157 
229 
380 
531 
627 
817 
942 

272 

473 

680 

866 

1,017 

1,229 

1,511 

1,699 

1,824 

1,926 

1899 

1900 

1901 

1902 

19a3 

1904 

1905 

1906 

1907(a).... 
1907  (6).... 

241 
591 
767 
1,018 
1,495 
2,171 
3,737 
5,386 

858 
2,254 
3,057 
5,480 
8,512 
9,663 
9,847 
9,983 

a  Firet  6  months. 


ft  Last  6  months;  united  fund. 


The  changes  in  the  membership  during  these  first  six  months  are 
shown  in  detail  in  the  following  statement.  The  membersliip  on 
December  31,  1907,  is  seen  to  have  exceeded  40,000. 

CHANGES  IN  MEMBERSHIP  OF  THE  UNITED  PROVIDENT  INSTITUTES,  1807. 

[Source:  The  annual  reports  of  the  institutes.) 


First  sec- 
tion. 

Second 
section. 

TotaL 

Membership  on  June  30, 1907: 

Adriatic  fund 

5,159 

5,850 

925 

i 

11,839  !        16,998 

10,215          16,065 

1,967             2.892 

Mediterranean  fund 

Sicilian  fund 

Total 

11,934 
2,200 

24,021 
2,900 

35.9S5 
5,1» 

Admitted  July  1  to  December  31, 1907 

" 

Total 

14,134 

26,921           41.055 

Lost  July  1  to  December  31, 1907: 

Died 

15 
130 

8 

45 
54 

32 
58 

CO 

184 

40 

Retired,  etc 

Discharged 

Transferred  to  first  section 

Total 

153               189                342 

Total  membership  December  31 ,  1907 

13,981 

26  732            ^"  7H 

Finances. — The  financial  statements  of  these  institutions,  avail- 
able in  detail  for  the  entire  period  1902  to  1907,  must  be  studied  sepa- 
rately for  the  two  sections,  between  which  important  differences 
existed,  as  pointed  out  above.  In  the  following  summary  table  the 
total  income  and  expenditures  of  the  first  section  are  given,  also 
the  surplus  from  each  year's  operations  and  the  total  assets. 

The  entire  period  appears  to  have  been  one  of  accumulations. 
The  expenditures  necessarily  were  trivial,  for  the  members  were  all 
employees  with  very  short  length  of  service  and  not  entitled  to  retire- 


1998 


REPORT   OF   THE   COMMISSIONER  OF  LABOR. 


merit  benefits  on  account  of  old  age.  The  payments  made  were 
extensively  for  invalidity  or  death,  and  even  then  were  necessarily 
very  small.  By  the  time  the  three  funds  were  merged  into  one,  on 
July  1,  1907,  the  accumulated  reserves  of  the  first  section  of  the 
provident  institutes  amounted  to  $2,287,198,  or  $191.65  per  member. 

FINANCES  OF  THE  PROVIDENT  INSTITUTES,  FIRST  SECTION,  1897  TO  1907. 

[Source:  The  annual  reports  of  the  Institutes.] 


Fund  and  year. 


1897.... 
1898.... 
1899.... 
1900.-.. 
1901.... 
1902.... 
1903.... 
1904.... 
1905. . . . 
1906.... 
1907 (a) , 
1907 (b) , 


Income. 


191 

1,748 

10,215 

40,782 

65,874 

203,809 

255, 41  b 

330,134 

399,769 

587,571 

411.416 

513,541 


Expendi- 
tures. 


$51 

221 

770 

1,083 

2,048 

2,241 

4,399 

5,337 

3,468 

10,998 


Surplus. 


191 

1.748 

10,  l'i4 

40,  .561 

65. 104 

202, 726 

253,3<58 

327.894 

395.3^0 

582, 2}4 

407,948 

502.643 


Assets  at 
end  of  year. 


t91 

1,839 

12,003 

52,564 

117,668 

320, 394 

573, 762 

901,656 

1,297,016 

1,879,250 

2, 287, 198 

2,789,741 


o  First  six  months. 


b  Last  six  months;  united  fund. 


The  sources  of  these  accumulations  are  shown  in  some  detail  for 
1902  to  1907  in  the  following  table.  The  contribution  of  the  rail- 
road operating  companies  is  the  main  item,  followed  by  the  regular 
5.5  per  cent  deduction  from  the  salaries  of  the  employees.  The 
income  of  the  first  section  from  the  extraordinary  deductions,  namely, 
initiation  fees  and  promotion  contributions  were  heavier  than  is  usual 
from  such  sources,  but  this  is  evidently  explained  by  tlie  youth  of 
the  institutions,  the  number  of  new  members  each  year  being  a  very 
high  proportion  of  the  total  membership.  In  comparison  with  the 
amount  of  the  members'  regular  contributions,  the  amount  from  this 
source  was  declining.  In  1902  it  amounted  to  49.1  per  cent,  and  in 
1906  only  to  22.4  per  cent  of  the  regular  contributions.  On  the 
other  hand,  the  income  from  investments  was  gradually  growing  and 
helped  to  build  up  the  individual  as  well  as  the  collective  accounts. 

INCOME  OF  THE  PROVIDENT  INSTITUTES,  FIRST  SECTION,  1902  TO  1907. 

[Source:  The  annual  reports  of  the  institutes.} 


Source  of  income. 

1902. 

1903. 

1904. 

1905. 

1906. 

1907. (a) 

Members'  contributions: 

Nonnal 

$39,076 

19, 179 

2,758 

163,675 
20,821 
14,683 

$86,047 

29,502 

4,201 

$108,095 
21,232 

882 

$152, «24 

34, 279 

4,395 

$103,528 

All  other 

31,993 

Arrears,  etc 

533 

Total 

61,013 

99,179 

17 

116,247 

15,892 

11,228 

12,787 

66 

119, 760 

17 

147, 160 

25,747 

9,088 

28,175 

197 

130,209 
23 

174,912 
39,208 
11,039 
44,369 

191,498 

20 

256,246 

5<i,623 

2I,:«1 

62,183 

720 

136,054 

Voluntary  contributions 

66 

Railroad  contributions 

Investments 

129,686 
7,150 
4,646 
1,314 

182,494 
33,543 

Sale  of  station  tickets 

9,962 

Transfers  from  second  section. . 
All  other 

11,062 
38,235 

Total 

203,809 

255,416 

330,134 

399,759 

687,671 

411,416 

t 


CHAPTER  Vn. WORKMEN  S  INSURANCE  IN  ITALY. 


1999 


An  interesting  feature  brought  out  by  the  financial  accounts  of 
these  institutions,  and  one  which  holds  true  of  the  second  as  well 
as  of  the  first  section,  is  the  trivial  amount  of  the  voluntarv  con- 
tributions  which  the  constitution  permitted  the  members  to  make 
for  the  purpose  of  increasing  their  accounts.  As  these  contribu- 
tions carried  no  additional  subsidy  from  the  railroad,  the  stimulus 
to  voluntary  saving,  or  rather  to  the  use  of  this  provident  fund  for 
the  purposes  of  saving  was  very  slight. 

The  only  additional  source  of  income  established  by  law  was  the 
proceeds  from  the  sale  of  the  tickets  of  admission  to  the  railroad 
stations.  This  was  shared  with  the  pension  fund  in  proportion  to  the 
respective  amounts  of  the  annual  salaries  of  the  total  membership  of 
these  two  institutions. 

Another  source  of  income  was  the  transfer  of  the  accounts  of  the 
employees  promoted  from  daily  to  monthly  salaries  and  therefore 
transferred  from  the  second  to  the  first  section  of  the  provident 
institute. 

The  finances  of  the  second  section  are  presented  in  the  following 
two  tables.  As  the  second  section  granted  sick  benefits  and  had 
other  expenses  in  connection  with  the  treatment  and  care  of  the 
sick,  its  total  expenditures  are  found  to  have  been  greater  than  those 
of  the  first  section.  The  accumulations  were  nevertheless  consid- 
erable, about  keeping  pace  with  those  of  the  first  section,  but  in 
view  of  the  larger  number  of  members,  the  average  accumulations 
per  member  were  very  much  smaller.  On  June  30,  1906,  the  total 
accumulations  of  the  24,021  members  amounted  to  $2,240,128  or 
$93.26  per  member,  less  than  one-half  of  that  of  the  membei-s  of  the 
first  section. 

FINANCES  OF  THE  PROVIDENT  INSTITUTES,  SECOND  SECTION,  1897  TO  1937. 

(Source:  The  annual  reports  of  the  institutes.] 


Year. 


1897.... 

1898.... 

1899.... 

1900... 

1901... 

1902... 

1903... 

1904. . . 

1905... 

1906... 

1907  (a) 

1907  (b) 

1907... 


Income. 


$431 

5,051 

12,555 

25,732 

43,233 

197,572 

376,069 

622,444 

509,154 

662,352 

408,096 

437,985 

846,081 


Expendi- 
tures. 


$179 

726 

4,525 

10,210 

16,832 

22,704 

54,393 

88,021 

129,045 

134,982 

60,943 

94,313 

155,256 


SurpliiS. 


$252 

4,325 

8,030 

15,522 

26,401 

174,868 

321,676 

434,423 

380,109 

527.370 

347, 153 

343. 672 

690,825 


Assets  at  end 
of  year. 


$253 

4,577 

12.607 

28.129 

54.530 

229.396 

551.074 

985,497 

1.365,606 

1. .892. 976 

2. 240. 129 

2..')83.801 

2. 583. SOI 


a  First  six  months. 


^  Last  six  months;  muted  fund. 


a  First  six  months  only. 


The  income  from  members  of  the  second  section  was  very  much 
smaller  than  that  of  the  first  section,  notwithstanding  the  very 
much  larger  number  of  members,  the   annual  contributions  of  the 


2000 


REPORT   OF   THE   COMMISSIONER  OF   I^ABOB. 


members  amounting  only  to  3.5  per  cent  of  the  salary  instead  of 
5.5  per  cent  as  in  the  first  section.  This  source  contributed  in  1906 
less  than  one-fifth  (19.5  per  cent)  of  the  total  income.  The  income 
from  initiation  fees  and  promotion  contributions  was  high,  for  the 
same  reason  as  in  the  first  section,  i.  e.,  because  of  the  admission 
of  a  proportionately  large  number  of  new  members;  and  the  miscel- 
laneous sources  of  revenue  established  by  the  law,  which  may  be 
considered  indirect  contributions  of  the  railroads,  were  very  much 
more  important  in  this  section.  Adding  these  to  the  railroad  contri- 
butions, it  is  seen  that  more  than  one-half  of  the  revenue  was  con- 
tributed by  the  railroad  management. 

In  the  expenses  of  the  second  section,  a  very  large  item  is,  properly 
speaking,  a  bookkeeping  account,  representing  the  transfer  of  the 
accounts  of  members  from  the  second  to  the  first  section.  Disre- 
garding this,  the  most  important  item  is  represented  by  sick  bene- 
fits. The  items  for  physicians'  fees  and  traveling  expenses  and  also 
for  medicines  are  very  small  as  compared  with  the  amount  of  sick 
benefits,  but  this  is  explained  by  the  fact  that  the  cost  of  tlie  fii-st 
aid  and  of  antifebrile  medicaments  since  1904  was  assumed  by  the 
railroad  administration. 

INCOME  AND  EXPENDITURES  OF  THE  PROVIDENT  INSTITUTES,  SECOND  SECTION% 

1909  TO  1907. 


[Source:  The  annual  reports  of  the 

institutes.} 

Item. 

1902. 

1^. 

1904. 

1905. 

1908. 

1907.(a) 

INCOME. 

Members'  contributions: 

Normal 

$30,358 

13,740 

1,401 

$82, 446 
54,302 
14, 721 

$112,218 
87.763 
12, 454 

$124,807 

68,206 

2,243 

$129,358 

48,255 

374 

$71  155 

All  other 

2f>  MS.'i 

Arrears,  etc 

:u)3 

Total 

51.559 

122,057 

17,682 

4,243 

2,031 

151,469 

167, 68-* 

42.052 

11,793 

3,071 

212,435 

222,751 

46.123 

27,869 

13,266 

195, 256 

205,912 

42,394 

42.635 

22,957 

177,987 

267, 107 

70,873 

56,193 

90, 192 

QS  44") 

Railroad  contributions 

214,499 
43,487 

33,  ties 

17,999 

other  sources  of  revenue  under  the  law  (6) 
Investments 

All  other 

Total 

197. 572 

376,069 

522, 444 

509.154 

662,352 

40.S  <)Q6 

EXPENDITURES. 

Physicians'  expenses,  etc 

5,414 

2,402 

13,586 

41 

204 

1,057 

9,074 
3,20:3 

27, 172 

586 

1,342 

13,016 

8,840 
3,6&4 

41,400 

893 

2,539 

30,665 

9,439 

4.634 

53.469 

1.178 

15,804 

44, 521 

9,639 
5,240 

50,262 

981 

6,537 

62,323 

3,794 
2  189 

Meaicines  and  appliances 

Sick  benefits 

38,936 
K28 

Funeral  benefits 

Repayments  of  contributions 

2,938 

11,062 

1, 196 

Payments  to  first  section 

Another 

* 

Total 

22,704 

54,393 

88,021 

129,045 

134,982 

60,943 

a  First  six  months  only. 

fc  Including  fines  imposed  on  employees,  proceeds  of  sale  of  unclaimed  articles  found  on  railroad  property, 

{jroceeds  of  sale  of  railroad  tariffs  and  time-tables,  unclaimed  overcharges  on  freight,  and  excess  sums 
ound  in  cash  accounts  of  stations. 

For  the  financial  statement  of  the  united  provident  institute  data  are 
available  only  for  the  first  six  months,  July  1  to  December  31,  1907. 


CHAPTER  VII. workmen's  INSURANCE  IN   ITALY. 


2001 


The  income  and  expenditures  of  both  sections  are  showTi  for  that 
period  in  the  following  table.  Eliminating  the  transfers  from  the 
second  to  the  first  section,  the  income  for  the  six  months  amounted 
to  $904,332  and  the  expenditures  to  $58,117,  increasing  the  assets 
during  these  six  months  by  $846,215,  or  an  average  of  about  $22  per 
average  member.  As  the  total  contributions  of  the  members  for  these 
six  montlis  were  only  $272,608,  the  accumulations  appear  to  be  three 
times  as  great,  notwithstanding  the  cost  of  sick  benefits  and  other 
benefit  payments. 

By  the  end  of  1907  the  total  assets  of  the  first  section  increased  to 
$2,789,741  and  those  of  the  second  section  to  $2,583,801,  making  a 
total  of  $5,373,542. 

INCOME  AND  EXPENDITURES  OF  THE  PROVIDENT  INSTITUTE,  JULY  1  TO  DECEMBER 

31, 1907. 

[Source:  The  annual  reports  of  the  Institutes.] 


Income. 


Expenditures. 


Source. 


Members'  contributions: 

Normal 

PajTTienis    at    rein- 
statement, etc 

All  other 


$127,945 

1,158 
39,766 


Total. 


Railroad  contributions: 

Normal 

Arrears 

All  other 


Total. 


Other  legal  sources  of  rev- 
enue («) 

Investment 

Another 


Total  income  ex- 
clusive of  trans- 
fers  

Transfers  from  second  sec- 
tion  


Grand  total. 


First 
section. 


168,869 


186,102 
'39,'7f.6' 


Second 
section. 


$78,716 

741 

26, 181 


105.638 


225,868 


183,296 
34, 126 
26,181 


Total. 


Item. 


$206,661 
65,947 


Repayment  of  individ- 
ual accounts: 
To  discharged  em- 
ployees  

To  families 


First 
section 


274,507 


Total. 


3^9.398 
34, 126 
65,947 


From  collective  accounts: 
'To  discharged  em- 
ployees  

To  families 


243,603     469,471 


Total. 


15,636 
44,694 
11,280 


466,347 
47, 194 


42,082 

37,999 

8,663 


437,985 


513,541 


437,985 


57, 718 
82,693 
19.943 


Medical  expenses. 
Funeral  expenses. 
Sick  benefits 


904,332 
47, 194 


951,526 


Total       expendi- 
tures  exclusive 

of  transfers 

Transfers  to  first  secti<m. 


$5,300 
2,556 


7,856 


Second 
section. 


1  TotaL 


$3,014 
3,475 


$8,314 
6,031 


6,489  I     14.345 


2,9.59  i     1,384  ;       4..^43 
183  !    3,527  i      3,71» 


3,142  i     4,911 


8,053 


10,998 


6,583 

779 

28,357 


47, 119 
47,194 


Total  expenditures 


10.998 


Surplus 502, 543 


94. 313 
343,072 


Grand  total 1513,541  1437,985 


6,583 

779 

28.357 


5^,117 
47,194 


105.311 
846, 215 

951,526 


a  Including  fines  imposed  on  employees,  proceeds  of  sale  of  unclaimed  articles  found  on  railroad  property, 

proceeds  of  sale  of  railroad  tariffs  and  time-tables,  unclaimed  overcharges  on  freight,  and  excess  sums  found 
in  cash  accounts  of  stations. 

LAW  OF  JULY  9,   1908.(«) 

The  actuarial  advantages  of  the  new  provident  institute  over  the 
older  institutions,  the  pension  fund  and  the  mutual  benefit  society, 
consisted  in  the  prevention  of  deficits,  and  were  of  greater  importance 
as  long  as  these  institutions  were  self-supporting  and  the  railroads 
managed  by  private  companies.     This  avoidance  of  deficits  could 


oBoUettino  Ufficiale  delle  Ferrovie  dello  Stato.     No.  31,  Aug.  1,  1908. 


2002 


REPORT  OF   THE   COMMISSIONER  OF  LABOR. 


naturally  be  accomplished  only  at  the  expense  of  the  pensions.  With 
the  nationalization  of  the  operation  of  railroads,  when  all  the  railway 
employees  became  government  employees,  the  actuarial  advantage  of 
the  provident  institutes  lost  some  of  its  value,  as  old-age  and  invalidity 
pensions  constitute  a  recognized  feature  of  the  I taHan  Government 
service.  On  the  other  hand,  it  was  felt  that  the  pensions  purchasable 
with  the  accumulated  individual  accounts  would  be  smaller  than 
those  granted  by  the  old  pension  fund.  The  existence  of  differences 
in  the  treatment  of  various  classes  of  employees  was  considered  a 
disadvantage  from  an  administrative  point  of  view,  as  leading  to 
dissatisfaction. 

The  law  of  July  9,  1908,  was  intended  to  do  away  with  these 
inequalities  and  disadvantages.  This  law  abolished  all  the  three 
existing  institutions,  the  pension  fund,  the  mutual  benefit  society,  and 
the  provident  institute,  transferring  the  entire  pension  activity  to  a 
new  office  within  the  state  railroad  administration.  Beginning  with 
January,  1909,  all  the  existing  funds,  assets,  and  sources  of  revenue 
were  transferred  to  this  branch  of  the  Government,  and  the  expend- 
itures and  revenues  connected  with  the  pensions  must  be  entered  as 
parts  of  the  railroad  budget. 

As  a  basis  for  the  pension  payments  the  <  onstitution  of  the  pension 
fund  is  taken,  except  as  modified  by  the  ])resent  law.  This  consti- 
tution was  more  Hberal  in  old-age  and  invalidity  pension  payments 
than  either  that  of  the  mutual  benefit  society  or  the  provident  insti- 
tute. The  revenues  of  the  service  remain  mainly  as  before,  except 
that  all  members'  regular  contributions  are  equally  placed  at  5.5 
per  cent  of  the  salaries,  while  the  contributions  of  the  railroad  admin- 
istration for  1909  were  placed  at  8  per  cent  of  the  salaries,  for  1910 
at  8.5  per  cent,  and  for  1911  and  thereafter  at  9  per  cent.  All  mem- 
bers are  subject  to  the  extraordinary  contribution  of  one- twelfth  of 
the  increase  and  of  one-tenth  of  the  initial  salary  at  the  time  of 
appointment,  the  railroad  administration  contributing  equal  amounts 
in  both  cases. 

Of  the  new  sources  of  revenue  created,  the  most  impoitant  are  the 
reestablishment  of  the  2  per  cent  tax  upon  the  gross  revenues  from 
operation,  which  had  been  in  force  according  to  the  original  contract 
of  lease  of  the  government  railroads  to  private  operating  companies 
from  1885  until  1905,  and  interest  upon  all  the  accumulated  funds 
of  the  pension  fund,  the  mutual  benefit  society,  and  the  provident 
institute,  and  also  upon  the  accumulations  in  the  Loan  and  Deposit 
Bank  for  the  purpose  of  covering  the  deficits  of  the  pension  funds 
and  the  mutual  benefit  societies. 

The  substitution  of  the  pension  scheme  of  the  old  pension  fund  for 
that  of  the  mutual  benefit  society  and  of  the  provident  institute  was  of 


CHAPTER  VII. WORKMEN  S   INSURANCE   IN   ITALY. 


2003 


most  importance  for  the  rights  of  the  widows  and  orphans  of  the  mem- 
bers of  the  latter.  These  extensions  are  limited,  however,  in  their 
retroactive  effect.  Thus  far,  as  concerns  the  families  of  members  who 
retired  or  died  before  January,  1909,  the  old  rules  of  the  respective 
institutions  are  in  force.  Besides,  the  provisions  of  the  pension  fund 
concerning  the  pension  rights  of  widows  and  orphans  shall  not  apply 
to  marriages  entered  into  before  July  1,  1908,  by  persons  holding 
membership  in  the  mutual  benefit  society  on  December  31,  1908,  and 
before  January,  1908,  by  persons  holding  membership  in  the  provi- 
dent institute  on  December  31,  1908. 

The  sickness  insurance  benefits  are  excluded  from  the  new  pension 
system,  but  the  interests  of  the  lower  grade  employees,  for  whom 
this  sickness  insurance  was  intended,  did  not  suffer,  for  the  law  placed 
the  duty  of  providing  sick  benefits  and  medical  care,  etc.,  upon  the 
railroad  administration  without  any  cost  to  the  personnel.  Moreover, 
the  amount  of  sick  benefits  was  raised  from  two-thirds  of  the  daily 
wage  to  the  full  wage.  Again,  the  entire  application  of  the  accident 
insurance  law  was  assumed  by  the  railroad  administration  directly, 
and  the  benefits  for  accidents  leading  to  temporary  disabihty  was 
increased  to  full  pay  instead  of  two-thirds,  as  under  the  law. 

Those  were  the  main  changes  introduced  in  the  pension  fund  con- 
stitution as  applied  to  all  the  employees  after  January  1,  1909. 
Only  for  the  female  employees,  members  of  the  old  mutual  benefit 
society,  have  the  old  rules  concerning  deductions  from  salaries  and 
concerning  pensions  been  left  undisturbed.  No  new  appointments 
are  made  in  that  class. 

The  system  of  individual  accounts  has  been  discarded,  but  it  can 
hardly  be  considered  a  return  to  the  mutual  system,  as  the  Govern- 
ment assumes  the  entire  financial  responsibility  for  the  application 
of  the  law. 

The  essential  objection  to  this  system  remains  in  the  fact  that  it  is 
like  the  old  pension  fund  was — primarily,  an  old-age  or  invalidity 
retirement  fund— and  that,  notwithstanding  the  considerable  compul- 
sory contributions  by  the  employees,  they  lose  all  their  rights  to  a 
pension,  for  themselves  as  well  as  for  their  families,  in  case  of  volun- 
tary resignation  before  certain  age  limits  (unless  invalidity  can  be 
estabhshed),  while  in  case  of  dismissal  they  lose  their  pension  rights, 
but  their  families  are  treated  as  widows  would  be  if  death  instead  of 
dismissal  had  taken  place,  i.  e.,  are  entitled  to  pensions  after  10  years 
of  service,  but  not  before. 

The  codified  text  of  the  pension  provisions,  prepared  in  accordance 
with  article  21  of  the  law  of  July  9,  1908,  and  approved  by  the  royal 
decree  of  April  22,  1909,  combines  all  the  provisions  of  the  three  con- 
stitutions which  are  still  in  force  with  those  of  the  law,  but  represents 


2004 


EEPOET  OF  THK  COMMISSIONER  OF  LABOR. 


mainly  an  adjustment  of  the  provisions  of  the  pension  fund  consti- 
tution to  the  requirements  of  the  new  law.     It  will  not  bo  necessary 
therefore,  to  give  any  detailed  analysis  of  this  codified  text  (•) 

As  this  law  went  into  effect  so  very  re.'ently,  no  data  relative  to 
the  results  of  its  application  are  available. 

CONCLtrSION'S. 

The  extent  of  the  operations  of  this  system  may  roughly  be  iud-ed 
however  from  the  combined  data  of  the  operations  oithe  nine  inlt 
tutions  for  the  first  six  months  of   1907  and  of  the  three  unml  1 
nstitutions  for  the  second  six  months  of  the  same  year    g^W 

from  ;oT4tt?3?8.''"^  ''^^^'*"*''''^^  ""^  '"^'-^^^  ^-"^  '^^  ^-' 

The  total  number  of  employees  of  the  state  raUways  on  June  30 

1907,  IS  stated  at  134,611,  but  of  these  39,899  are  classified  as  temDo^ 

rary  or  supernumerary  employees  (persomh  awentizio)  not  proteX 

by  the  pension  legislation.     The  regular  force  comprUe.l  94  712   so 

that  practically  the  entire  force  of  regular  employees  hddmlmber- 

ship  m  one  of  the  three  benefit  institutions.  ""'i  memder- 

The  financial  operations   cover  revenues  amounting  to  «5  fi'ifi  Q-?« 

and  expenditures  of  $3,799,048,  leaving  a  surplus  of  81,837  8^5  S 

rSXVo'l'"'^'^  "'  *'^  ''"•^'•'^^^  ''^^"*"*^-  from  ,/6S,170 


Stl  J."  Rln'o?  '''''"'"''"'  ^" ''  ^''"'°"'  "''  ^-»-'«  -^-^''^  '^^iT^I^. 


i"' 


2006 


EEPOET  OF  THE   COMMISSIONER  OF   UABOR. 


CHAPTER  VII.— WORKMEN 'S  INSURANCE  IN  ITALY. 


2007 


SUMMARY  OF  OPERATIONS  OF  ALL  ITALIAN 

[Source:  The  annual 


Membership 
at— 

Income- 

Fund. 

Begin- 
ning of 
I)enod. 

End  of 
period. 

Members  ' 
contribu- 
tions. 

Railroad 
contribu- 
tions. 

Invest- 
ments. 

Other 
r^ular 
sources. 

All 
other. 

Total. 

January  1  to  June  30, 1907: 
Pension  funds- 
Adriatic  

9,320 

16,986 

861 

9, 161 

16,654 
862 

$151,938 

224,297 

16,287 

$209,334 

309. 845 

22,306 

$162,061 

262,357 

22,760 

$12, 839 

11,807 

698 

$11,472 

11, 187 

21H 

$547,644 

819, 493 

62,269 

Mediterranean 

Sicilian 

Total 

27, 167 

26,677 

392,522 

541,485 

447, 178 

25,344 

22,877 

1,429,406 

Mutual  benefit  socie- 
ties- 
Adriatic  

.12, 704 

14, 189 

1,828 

12,501 
13,932 

1,788 

49,276 

62,541 

7,  la.'i 

138,771 

199,443 

25,033 

6,339 

11,718 

15 

34,260 

33,915 

3,701 

71,876 

""i,"i85" 

228,647 

307,617 

37,069 

Mediterranean 

Sicilian 

Total 

28.721 

28,221 

118,952 

363, 247 

18,072 

l,18«i 

6  573,333 

Provident  institutes- 
Adriatic,  first  sec- 
tion   

4,973 
11,948 
4,921 
9,750 
959 
1,885 

5,159 
11,839 

5,850 

10,215 

925 

1,967 

62, 152 
47,390 
63,2:i5 
43,650 
10,733 
7,403 

83,740 
78,737 
84,407 
114,358 
14,347 
21,404 

17,925 
17,104 
12,586 
13,133 
3,032 
3,431 

4,891 
21,224 

4,649 

19,243 

422 

3,020 

38,236 
16,109 

206,943 
180,564 
164,877 
192, 239 
39,596 
35,293 

Adriatic,     second 
section 

M  e  d  i  t  e  r  r  anean, 
first  section 

M  e  d  i  t  e  rr  a  nean, 
second  section . . . 

Sicilian,  first  sec- 
tion   

1,855 

ll,0ti2 

35 

Sicilian,  second  sec- 
tion   

Total,  first  sec- 
tion   

10,853 
23,583 

11,934 
24,021 

136,120 
98,443 

182,494 
214,499 

33,543 
33,668 

9,962 
43,487 

49,297 
17,999 

411,416 
408,096 

Total,       second 
section 

Both  sections 

34,436 

35,955 

234,563 

396,993 

67,21J 

53,449 

67,296 

819,512 

July  1  to  December  31,  1907: 

State  pension  fund 

State  Mutual  Benefit 
Societies 

26,677 
28,221 
11,934 
24,021 

25,966 
27,699 
13,981 
26,732 

388,416 
116,590 
168,860 
105,638 

488,626 
271,185 
225,868 
243,603 

476,996 
19,935 
44,694 
37,999 

43,711 
56,994 
15,636 
42,082 

284 
421 

58,474 
8,663 

1,398,033 
465,125 
513,541 
437,985 

State  Provident  Insti- 
tutes, first  section 

State  Provident  Insti- 
tutes, second  section. 

Total 

90,853 

94,378 

779,513 

1,229,282 

579,624 

158.423 

67,842 

2.814,684 

The  entire  year  1907: 

Pension  funds 

27,167 
28,721 
10,853 
23,583 

25,966 
27,699 
13,981 
26,732 

780,938 
235,542 
304,989 
204,081 

1,030,111 
634,432 
408,362 
458, 102 

924, 174 
38,007 
78,237 
71,667 

69,056 

128,870 

25,598 

85,569 

23,161 

1,607 

107,771 

26,«S2 

2,827,439 

1,038,458 

924,957 

84€,081 

Mutual  Benefit  Socie- 
ties  

Provident    Institutes, 
first  section 

Provident    Institutes, 
second  section 

Grand  total 

90,324 

94,378 

1,525,550 

2,531,007 

1,112,085 

309,092 

159,201 

5,636,935 

o  Deficit. 

b  This  total  is  $4,190  less  than  the  total  shown  on  page  1988;  the  figures  are  given  as  shown  in  the  original 
report. 


RAILROAD  EMPLOYEES'  BENEFIT  FUNDS.  1907. 
reports  of  the  fimds.] 


Expenditures. 

Surplus. 

Assets  at— 

Pensions. 

Lump- 
sum 
benefits. 

Sick 
benefits. 

Sanitary 
service. 

All  other. 

Total. 

Beginning 
of  period. 

End  of 
period. 

$582,280 

751,180 

27,633 

$531 
601 

• 

$582,811 

751,886 

27,633 

o  $3,5. 167 
67, 607 
34,636 

$7,891,032 

12,977,203 

1,190,415 

$105 

$7,855,865 

13,044,810 
1,225,051 

1,361,093 

1,132 

105 

1,362,330 

207,026 

165,352 

26,667 

67,076 

22,058,650 

22, 125, 728 

167,980 

116,930 

20,548 

3,204 

4,268 

465 

$26,828 

35,098 

4,080 

$4,516 
5,634 
1,346 

4,498 
3,422 

228 

21,621 

142,265 

10,402 

223,925 
687,523 
e 32, 146 

245, 54« 

729,788 
« 21, 744 

305,458 

7,937 

66,006 

11,496 

8,148 

6  399,045 

174,288 

779,302 

963,590 

2,435 

2,267 
786 

1,120 
247 
379 

2,435 
29,683 

786 
14,724 

247 
16,536 

2(M,508 
150,881 
164,091 
177,515 
39,349 
18,757 

979,996 
960,632 
736,789 
747,667 
162,465 
184,677 

24,602 

2,797 

17 

1,184,501 

1,111,513 

11,516 

2,088 

900,880 

925,182 

2,818 

1,098 

12,241 

201,814 

203,434 

3,468 
3,766 

3,468 
60,943 

407,948 
347, 153 

1,879,250 
1,892,976 

38,936 

5,983 

12,258 

2,287,198 

2,240.129 

7,234 

38,936 

5,983 

12,258 

64,411 

755, 101 

3,772,226 

4,527,327 

1,445,925 
313,642 

1,502 

7,760 

10,998 

12, 179 

180 
28,392 

1,447,607 

420,345 

10,998 

94,313 

a  49, 574 

44,780 

502,543 

343,672 

22,125,726 

953,590 

2, 287, 198 

2,240,129 

58,714 

11,837 

22,076,152 
998,370 

28,357 

6,583 

47,194 

2,789,741 

. 

2,583,801 

1,759,567  1 

32,439 

87,071 

18,420 

75,766 

1.973,263 

841,421 

27,606,043 

28,448,0I>4 

2,807,018 
619, 100 

2,634 
15,697 
14,466 
15,945 

28,5 
36,540 

2,809,937 

6  819,390 

14,466 

155,256 

17,502 
219,068 
910, 491 
690,825 

22,058,650 

779,302 

1,879,250 

1,892,976 

124,720 

23,333 

22,076,152 
998,370 

67,293 

12,566 

59,452 

2, 789, 741 

2,583,801 

3,426,118 

48,742 

192,013 

35,899 

96,277 

3,799,049 

1,837,886 

26,610,178 

28,448,0&l 

67725°— VOL  2— li- 


as 


c  Liabilities. 


2008 


EEPOET  OF  THE  COMMISSIOJSTER  OF  LABOR. 


The  combinations  of  all  these  institutions  into  one  statistical 
picture,  as  is  done  in  this  table,  brings  out  several  interesting  facts. 
Of  the  total  income  of  $5,636,938,  only  $1,525,550,  or  27.1  ))er  cent, 
was  contributed  by  the  employees.  The  railroads  directly  con- 
tributed $2,531,008,  or  44.9  per  cent,  of  the  total  revenue,  but  in 
addition  various  sources  of  revenue,  which  may  be  considered  indirect 
contributions  of  the  railroads,  were  created  by  the  law,  yielding 
altogether  $309,092,  or  5.5  per  cent,  so  that  the  entire  contribution 
of  the  railroads  may  be  put  at  50.4  per  cent  of  the  total  income.  The 
mcome  from  investments  brought  in  $1,112,086,  or  1^.7,  leavmg  only 
$159,202,  or  2.8,  for  other  sources  of  revenue. 

The  total  expenditures  for  the  entire  year  amounted  to  $3,799,048, 
leavmg  a  surplus  of  $1,837,885.  By  far  the  greatest  share  of  the 
expenditures  of  the  pension  funds  and  of  the  mutual  benefit  societies 
was  claimed  by  pension  payments,  wliich  amounted  to  $3,426,115, 
or  90.2  per  cent  of  the  total.  The  other  benefits  in  case  of  retu-ement 
or  death,  paid  in  lump  sums,  constituted  only  1.3  per  cent;  sick 
benefits,  5.1  per  cent;  expenses  of  medical  service,  0.9  per  cent;  and 
all  other  expenses,  2.5  per  cent;  tliese  latter  are  mostly  bookkeeping 
accounts,  representing  transfers  from  the  mutual  benefit  societies  to 
the  pension  funds,  and  from  the  second  sections  of  the  provident 
institutes  to  the  first  sections. 

The  total  assets  of  the  three  institutions  on  December  31,  1907, 
amounted  to  $28,448,055.  But  in  addition  to  that,  large  accumula- 
tions to  the  credit  of  the  older  pension  fund  and  the  mutual  benefit 
society  were  deposited  with  the  governmental  Bank  of  Deposits  and 
Loans.  It  will  be  remembered  that  in  accordance  with  the  law  of 
1885  there  was  a  two  percent  tax  levied  upon  the  gross  receipts  (1  per 
cent  in  case  of  the  Sicihan  railways),  in  order  to  cover  the  deficit  of 
the  pension  funds  up  to  1885.  In  addition,  the  laws  of  April  1 5,  1897, 
and  March  29,  1900,  created  surtaxes,  descril)ed  above.  Up  to 
March  31,  1900,  these  amounts  accumulated  in  the  treasuries  of  the 
pension  funds,  but  on  that  date,  in  accordance  with  the  latter  law 
(March  29,  1900),  they  were  transferred  to  the  Bank  of  Deposits 
and  Loans.  On  that  date  they  amounted  to  $3,508,612.  Further 
payments  accordmg  to  these  laws  were  made  into  the  Bank  of 
Deposits  and  Loans.  The  revenues  under  the  older  law  of  1885 
stopped  on  June  30,  1905,  when  the  contracts  for  private  operation 
ran  out  and  the  railroads  reverted  to  the  State,  and  on  that  date  they 
amounted  to  $1,848,902.  The  total  revenue  from  the  later  taxes  of 
1897  and  1900  amounted  on  December  31,  1906,  to  $11,489,415,  so 
that  the  total  payments  into  the  Bank  of  Deposits  and  Loans, 
reached  $13,338,317.  The  actual  accumulations  were  materially 
larger  because  of  the  interest  on  the  securities  in  which  these  deposits 


ii 


^  w 


i 


CHAPTEE  VII. — workmen's   INSURANCE   IN   ITALY.  2009 

were  invested  according  to  law.     On  December  31,  1906,  the  total 
accumulations  amounted  to  $14,967,783,  and  on  December  31    1907 
to  $17,234,436. 

To  this  must  be  added  the  accumulations  of  a  special  fund  created 
by  the  law  in  1885  to  cover  the  deficits  which  have  accrued  in  the  old 
Southern  (Meridional)  Pension  Fund,  merged  durmg  the  reorganiza- 
tion of  the  raih-oads  and  their  pension  funds,  partly  with  the  Adriatic 
and  partly  with  the  Sicihan  funds.  This  fund  was  constituted  bv 
contributions  from  the  Southern  Railroad  Companv,  which  continued 
to  operate  the  Adriatic  system.  Until  June  30,  1905,  contributions 
were  made  to  the  fund  from  time  to  time  by  the  Southern  railroad, 
and  since  that  date  the  fund  grew  by  accruing  mterest.  On  December 
31,  1907,  it  amounted  to  $1,891,731,  so  that  the  total  of  these  supple- 
mentary funds  amounted  on  that  date  to  $19,126,167.  Together 
with  the  assets  of  the  three  institutions,  $28,448,055,  it  represented  a 
total  accumulation  of  $47,574,222,  of  which  the  mterest,  according 
to  the  law  of  July  9,  1908,  was  made  available  for  the  purpose  of 
meeting  the  pension  obUgations  according  to  the  law.  As,  however 
the  Government  assumed  the  entire  responsibihty  of  meeting  thii 
obligation  of  the  pension  system,  the  financial  details,  important  from 
a  fiscal  point  of  view,  are  immaterial  as  far  as  the  solvency  of  the 
pension  system  is  concerned. 

ACCUMULATIONS  OF  SPECIAL  FUNDS  DEPOSITED  WITH  THE  BANK  OF  DFPO^ttq 
AND  LOANS  FOR  THE  PURPOSE  OF  COVERING  OLD  DEFIcTtS  OF  PENSION  F^V^^ 
AND  MUTUAL  BENEFIT  SOCIETIES.  ^^^^i^a  O*  Pi!.NSION  FINDS 

[Source:  Rapporto  sull"  Andamento  della  Cassa  Pension!  per  il  Personale  delle  Fenx,vle  Costltuente  la 

Rete  Adnatica,  1902  to  1903.]  v^suiuenie  la 


Date  of  receipt. 


March  31, 1900.... 
December  31, 1902 
December  31, 1903 
December  31, 1904 

June  30, 1905 

December  31, 1905 
December  31, 1908 
December  3 1,1907. 


Proceeds  of 
the  orig- 
inal 2  per 
cent  tax 
(Sicilian 

fund,  1  per 
cent). 


$293, 129 
938, 532 
1,217,800 
1, 589, 154 
1,848,902 
1,848,902 
1,848,902 
1,848,902 


Proceeds  of 
the  sur- 
taxes es- 
tablished 
bv  the  laws 
of  April  15, 
1897,  and 
March  29, 
1900. 


$3, 215,  483 

6,331,291 

7,511,848 

8, 752, 216 

9,348,949 

10, 052, 801 

11, 489, 415 

(") 


Total  pay- 
ments into 
the  Loan 
and  De- 
posit 
Bank. 


$3. 508, 612 

7,  269. 823 

8, 729, 648 

10,341,370 

11,197,851 

11,901,703 

13,338,317 

(") 


Total  value 
of  these 
proceeds, 
with  inter- 
est ac- 
crued on 
deposit  In 
the  Loan 
and  De- 
posit 
Bank. 


$3,508,612 

(°) 

C) 
10,977,583 

12, 749, 265 
14,967,783 
17, 234, 436 


Special 

fund  for 

meeting 

the  deficits 

of  the 

Meridional 

pension 

fund. 


(«) 
8959, 727 
1,248.808 
1,693,881 

(«) 
1,757,702 
1,822.315 
1.891,731 


Total 
amounts 

on  deposit 
with  the 

Loan  and 
Deposit 

Bank,  for 
the  pur- 
pose of 
meeting 
deficit*. 


(«) 

(«) 

512,671,464 

C) 
14,506.967 
16, 790. 098 
19, 120, 107 


o  l^ot  reported. 


2010 


REPORT   OF   THE   COMMISSIONER  OF  LABOR. 


BIBLIOGRAPHY. 


Office  du  travail,    Anuuaire  <le 


Bulletin  des 


1  Nachtrag  zu   Heft  YI. 
2  Nachtrag  zu  Heft  VI. 


GENERAL. 

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Gesetzgebung  und  Statistik,  Vol.  XI,  1897). 
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Versicherung  in  Italien.     Berlin,  1899. 
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Bearbeitet  von  Dr.  Vincenzo  Magaldi.     Berlin,  1906. 
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Bearbeitet  von  Dr.  Vincenzo  Magaldi.    Berlin,  1908. 

ACCIDENT  INSURANCE. 

Atti  della  cassa  nazionale  di  assicurazione  per  gli  infortuni  degli  operai  sul  lavoro. 
Verbale  delle  seduto  del  consiglio  superiore»  it>03-1908. 

Atti  parlamentari.  Camera  dei  deputati:  Legfslalura  XIV,  Nos.  75,  75a,  215,  215tt; 
XV,  Noe.  73,  73a;  XVI,  Noe.  116, 116a;  XVII,  No.  326:  XVIII,  Noe.  83,  83a. 

Atti  parlamentari.  Senator  L^islatura  XV,  Nos.  207,  207a;  XVII,  N<)8. 33, 33a;  XIX, 
No.  161a. 

Bassi,  S.r  Gli  infortuni  del  lavoro  agricolo.    Milan<^,  1909. 

Bellom,  Maurice:  Les  lois  d'aesurance  ouvri^re  a  I'etrang^re,  II.  Assurance  contre 
les  accidents,  vols.  1-6. 

Bodio,  L.:  Etat  de  la  question  des  accidents  du  travail  en  Italie.  (Congr^H  interna- 
tional des  accidents  du  travail  et  des  assurances  sociales.     Berne,  1891.) 

Calojanni,  Pompei:  La  loi  sur  les  accidents  du  travail  appliquee  en  Sicilie  aux  ouvriers 
des  mines  de  soufre.  (Congr^s  international  des  accidents  du  travail  et  dos 
assm-ances  sociales.     Paris,  1900.) 

Calojanni,  Pompei:  Trois  anne^s  d'application  de  la  loi  sur  les  accidents  du  travail 
aux  ouvriers  les  mines  de  soufre  de  la  Sicilie.  (Congr^s  international  des  acci- 
dents du  travail  et  des  assurances  sociales.     Dusseldorf,  1902.) 

Cassa  nazionale  d'assicurazione  per  gU  infortuni  degli  operai  sul  lavoro.  Sede  cen- 
trale  in  Milano: 

(a)  Convenzione  costitutiva  e  regolamento  generale.     Milano,  1889. 

(b)  Legge  e  regolamento  per  gli  infortuni  degli  operai  sul  lavoro.    Milano,  1899. 

(c)  Legge  e  regolamento  per  gli  infortuni  degli  operai  sul  lavoro.   Milano,  1904. 

(d)  Regolamento  dei  premii  e  delle  indennit^.     Milano,  1898. 

(e)  Regolamento  dei  premii  e  delle  indenuit^  e  tariffe.     Milano,  1903. 


'/, 


CHAPTER  VII. workmen's  INSURANCE   IN  ITALY.  2011 

Ferraris,  Prof.  Carlo  F.:  Relazione  intomo  all  assicurazione  obbligatoriale  alle  respon- 

sabilit^  dei  padroni  e  imprenditori  per  gli  infortuni  sul  lavoro.    ( Annali  del  credito 

e  della  previdenza,  1889,  No.  22,  allegato  B.) 
Ferraris,  Prof.  Carlo  F. :  Gli  infortuni  del  lavoro  e  la  legge.    (Annali  del  credito  e 

della  previdenza,  1897,  No.  31.) 
Ferraris,  Prof.  Carlo  F.:  Das  neue  italienische  Gesetz,  betreffend  die  Betriebsunfalle 

der  Arbeiter.    (Archiv  fur  eoziale  Gesetzgebung  und  Statistik,  Vol.  XII,  1898  ) 
Gentilli,  Ermanno:  Le  dernier  projet  de  loi  sur  les  accidenta  du  travail  en  Italic. 

(Congr^s  international  des  accidents  du  travail  et  des  assurances  sociales      Brux- 

elles,  1897.) 

Infortuni  degli  operai  sul  lavoro.  Legge,  regolamento,  regi  decreti,  etc.  (Annali  del 
credito  e  della  previdenza,  1900,  No.  40;  1904,  No.  55.) 

SICKNESS   INSURANCE. 

Bagni,  T.:  Contributo  agli  studi  sulla  morbosit^l  degli  inscritti  a  society  di  mutuo  eoc- 
corso.     (Annali  del  credito  e  della  previdenza,  1902,  No.  46.) 

Besso,  M.:  Relazione  sul  bilanci  tecnichi  della  society  di  mutuo  soccorso.  (Ministero 
di  agricoltura,  industria  e  commercio.  Ispettorato  generale  dello  credito  e  della 
previdenza.    Annali  del  credito  e  della  previdenza,  1891,  No.  23.) 

Federazione  italiana  delle  society  di  mutuo  soccorso.  Manuale  per  le  society  di  mutuo 
soccorso.     Milano,  1908. 

Gardenghi,  G.:  Manuale  tecnico  per  le  society  di  mutuo  soccorso.    Milano,  1895. 

Gobbi,  Ulisee:  Le  society  di  mutuo  soccorso.    Milano,  1909. 

Infortuni  del  lavaro;  giurisprudenza  giudiziaria.  (Annali  del  credito  e  della  previ- 
denza, 1905,  No.  64;  1908,  No.  77.) 

Lucci,  Prof.  A.:  Considerations  sur  la  loi  italienne  eur  des  accidents  du  travail.  (Con- 
gr^s  international  des  accidents  du  travail  et  des  assurances  sociales.    Dusseldorf, 

Magaldi,  Dr.  Vincenzo:  lEtat  des  travaux  l^gislatifs  en  Italie  pour  la  protection  des 
ouvriers  et  I'assurance  contre  les  accidents  du  travail.  (Congr^  international 
des  accidents  du  travail  et  des  assurances  sociales.     Milan,  1894  ) 

Magaldi,  Dr.  Vincenzo:  Sur  la  recente  phase  legislative  de  la  protection  des  ouvriers 
contre  les  accidents  du  travail  en  Italie.  ((^ongr^s  international  des  accidents 
du  travail  et  des  assurances  sociales.    Bruxelles,  1897.) 

Magaldi,  Dr.  Vincenzo:  La  l^gislacion  italienne  des 'accidents  du  travail  et  son  appli- 
cation. (Congr^s  international  des  accidentes  du  travail  et  des  assurances  so- 
ciales.    Paris,  1900.) 

Magaldi,  Dr.  Vincenzo:  Les  accidents  du  travail  en  Italie.  Progr^s  logislatif  Appli- 
cation de  la  loi.  (Congres  international  des  accidents  du  travail  et  des  assurances 
sociales.     Dusseldorf,  1902.) 

Ministero  di  agricoltura,  industria  e  commercio.  Direzione  della  statistica.  Statis- 
tica  delle  societa  di  mutuo  soccorso,  1875,  1878,  1885 

Ministero  di  agricoltura,  industria  e  commercio.     Direzione  generale  della  statistica 
Jiilenco  delle  societa  di  mutuo  soccorso.     Roma,  1898 

Ministero  di  agricoltura,  industria  e  commercio.  '  Ispettorato  generale  del  credito  e 
delia  previdenza.     La  society  di  mutuo  soccorso  in  Italia  al  31  deccmbre  1904 
Koma,  1906. 

Rodino,  L.:  Codice  delle  society  di  mutuo  soccorso.     Firenze   1894 

Slerojavacca    Dr.  L.:    Die  Unterstutzungsvereine  der  Arbeiter  in 'italien.     (Archiv 

tur  soziale  Gesetzebung  und  Statistik,  3  Band,  1890  ) 
Tavole  della  frequenza  e  duraU  delle  malattie  osservate  nelle   persone  inscritto  a 

society  di  mutuo  soccorso.     (Annali  di  statistica.     Roma,  1892.) 


I 


2012  REPORT  OF  THE  COMMISSIONER  OF  LABOR. 

Monzilli,M.:Relazioneinton,oall'applicazionedeIlaIeggel5apriIe,1886Bullesociet4 

Norme  e  tab'elle  fondamentali  perl'  ordiuamentoe  per  i  bilanoi  tecnichi  delle  eocieU 
di  mutuo  Boccorso.    Roma,  1898  eocieia 

ma  attie  preeso  gh  .scntti  nelle  aocieta  di  mutuo  soccoreo.     (Annali  delTredito  e 
della  previdenza,  1903,  No.  51.)  """  ut-i  treauo  e 

MATERNITY  INSURANCE. 

Ministero  di  agricoltura,  industria  e  commercio.  Ufficio  del  lavoro:  Baai  tecniclu 
di  una  caesa  di  matemiU.        Roma  1904  tecniclu 

^'"mate'ltren'lf  r''°'^^"*"f'^^'  """^^  ""'  P'^™>"'"-  «*  ^'a^istance  pour  la 
matemite  en  Itahe.  (Congrfe  mtemational  des  accidents  du  travail  et  des  assu- 
rances Bocialea.     Paris,  1900.)  "<»v«i  ki  ues  assu- 

Scodnik,  Henri:  L'assurance  matemelle  et  les  caisses  pour  la  maternity  rPnn^ri. 
.«ona.  des  accidents  du  travai,  et  des  a^ur^'nces  Lt.t"' Roml'^S 

Scodnik,  Henri:  L'institution  de  caisses  pour  la  maternity  en  Italic     (Congr^s  inter 
national  des  accidents  du  tra^.il  et  des  assurances  sociales.    DoIomS  1902  ) 

OLD  AGE  AND  INVALIDITY  INSURANCE. 

'"'"atT;^iale'^''  ^'un'"  '-^''^'-V''"-  (^•""'"  '^'^  <^-"--"«  -^  >"  P-'^vo- 
yancesociale     R^unis  par  le  mimatJ^re  du  commerce.    Paris,  1903  ) 

Cassa  nazionaledi  previdenza  per  la  invalidity  e  per  la  vecchiaia  degU  operai- 

(a    Statute  m  esecuzione  della  legge  (testo  unico)  30  maggio,  1W7 

d^f  Tr'°  '^'^"'^"^  t^riffe  per  la  determinazione  delle  quote  di  ren- 
dita  vitaUzia  per  gli  operai  inscritti. 

W  Assicurazionepopolari  di  rendite  vitalizie 
"^trufn""^"!!-  ^f  "*"'  ^^'^  het^eSend  d'ie  National-Ver.u  herungskasse 
^d^^^'^^f^'  '-  ^^'>«'--    <^-^^v  far  soziale  Oesetz'S:^ 

rancroTLef  ViennSs    IlT^'"''^'  '"  "^"'^"'^  ""  ''^^"'  «'  "^  -"" 

^  'lSr^*)r''f  ■^'^''"^^'"^"P""''*"^''"'^'*^  ^'  P»"' '"  vieillessedesouvrie.^  en 
PaSlwT''     -^-national  des  accidents  du  (luvail  et  des  assurances  sS:s 

Magaldi,  Df-  Vincenzo:  D^veloppment  de  la  ca!s,.e  aationale  de  pr^voyanoe  nour 

d'rccfd  L  drt^':;!":'!!^"^  '^  """^^^  ^"  ''^"^     (Con^..,  iX^ationa 
aes  accments  du  travail  et  des  assurances  Bociale.-.    Dflsseldorf  1902  ) 

Rava  Prof .  Luig. :  La  ca^  nazionale  di  previdenza  per  1'  invaliditre  la  v^chiaia  dedi 
operai  mrelazione  delle  legislazione  estere.    Bologna,  1902  ^ 

ilrlrl^v^'-  ^''*''°°'  ™""  ""odificazione  dello  atatuto  e  del  regolamento 
dell  on  '^.^!'''°^^^'  ^'  P'«-denza  per  la  invalidity  e  per  fve  ITa  a 
degh    opera..    (Mmistero   di    agricoltura,    indu..<ria  e   commerkio     ITytZl 

Rava  tof  ^  P'^y^r-    ^°"'"  ''"'  ""^'"^  «  ''^"^  previdenza,  1902,  No  46 
Rava,  Prof.  Luigi:  SuUo  statute  e  sul  regolamento  tecnico  della  cassa  nazioi  ale  di 
previdenza  per  la  vecchiaia  e  la  invalidity  degli  operai.     (Ministrdi  a'Teol  ura 
industria  e  commercio.    Divisione  eredito  e  previdenza.    Annali  delTcrod  toe 
della  previdenza,  1899,  No.  34.)  ^nuaii  uel  credito  e 


CHAPTER  vn. — workmen's  INSUEANCE  IN  ITALY. 
UNEMPLOYMENT  INSURANCE. 


2013 


de  las  Cases,  Ph.:  Le  chomage.     Paris,  1909. 

Marchetti,  Livio:  Sistemi  di  difesa  contro  la  disoccupazione.    Milano,  1908 

Matteotti,  M.:  L'  assicurazione  contro  la  disoccupazione.    Turino,  1901 

Society  Umanitaria.    Disoccupazione,   coUocamenti,   sussidi   in   Milano.    Milano, 

Society   Umanitaria,   Milano.    Ufficio  del  lavoro.    Contro  la  disoccupazione     Le 
casse  di  sussidio  ai  disoccupati  e  gli  ufficii  di  coUocamento  al  e  estero  e  in  Italia 
Milano,  1905. 


J 


i 


CHAPTER  IX, 


WORKMEN'S  INSURANCE  IN  RUSSIA. 


2085 


> 


CHAPTER  IX. 

WOEKMEK'S  INSITEANCE  IK  EITSSIA. 
WTRODDCTIOH. 

.»lT^l''"^'if "!'  development  of  the  Russian  Empire  dates  nracti 
to  L^T.    ' '*'^,"'  ''''  emancipation  of  the  serfs^^  186?  "^tZ 
.   to  that  date  manufacturing  was  conducted  mainly  in  artisans'  shZ 

Tbor     Tr^nf"  'f  "^"^  ''^'^  «-«*-g  mo'itremplo^ed  S 

agricultural  country.  \he  ru^;^^,  .tZ^^^Z^lZ 
of  1897,  constituted  108,811,626  out  of  a  total  of  125  640  o'l    nr  ««  « 
per  cent.     Of  the  33,201,495  pei^ons  gainfuUy  emplold '  is  ;,:5  ^7 
or  55  per  cent,  were  engaged  in  agriculture      Together  ^t'hS 

ptpltn!  *'^^  "'''''''''''''  ''''''•''''  -  ''■'  Pe-entfThti'S 

hafblrlJuter^iSi'Vf '*^/^^"  ^'j^  ^''^^  "^  «"--  -^ustry 
lias  Deen  quite  rapid.     The  urban  population  increased  from  7  293  i  fii 

Ter  c?nuri897.''^  *"^'  ^^^''^""'^'  ^"^  ^«^«'  *«  lM28:To5f:r 'S 

According  to  the  later  census,  the  total  number  of  persons  emnlov^H 

in  manufacturing  and  mechanical  pursuits  in  1897  wTs  g^Stg 

and  in  transportation  714,745,  making  a  total  of  5,884  664  for  lie 

llie  table  following  shows  the  number  and  n^r  .L/  t 
engaged  in  the  various  industries,  accost  thTcerut  If  fZ""^ 
N.MB.H  ...  r..  cK.r  o™-if.«^.«- f -----  — 

ISource:  P,.n.ier  Racensement  General  de  la  Population  de  I'EmpIre  de  Bosde,  ,897., 


Industry. 


Persons  engaged  in  gainful  occupations. 


Agricultural  pursuits 
Professional  service 
Personal  service... 
Manufacturing     and" 
mechanical  pursuits. 
Transportation . 
^op^ercial  pursuits.!! 
Another 


Total. 


16,159,118 

78G,  673 

2,958,070 

4,187,826 
692, 629 

1,331,581 
824,631 


26,940,528 


60.0  2,086,169 


202  140 
1,817,283 

982,093 

22,116 

299,408 

851,758 


2.9 
11.0 

15.5 
2.6 
4.9 
3.1 


lOaO  6,260,967 


33.3 

3.2 

29.0 

15.7 

.4 

4.8 

13.6 


100.0 


67725' 


18,245,287 

988.813 

4, 775, 353 

5,169,919 

714,745 

1,630,989 

1,076,389 


55.0 

3.0 

14.3 

15.6 
2.1 
4.9 
5.1 


33,201,495 


Members 
of  families 
of  persons 
engaged  in 
gainful  oc- 
cupations. 


75, 456, 277 
1.552,436 
2,748,943 

7,115,643 

1,236,265 

3,364,398 

964,564 


93,701,564  74.6 
2.541,249  2.0 
7,524,296       6.0 


12, 285, 562 
1,951,010 
4,995,387 
2,640,953 


9.8 
1.5 
4.0 
2.1 


100.0   92,438,526   125,  WO,  021    100.0 


-VOL  2—11 38 


2087 


2088 


REPORT   OF   THE   COMMISSIONER   OF   LABOR. 


The  industrial  development  of  Russia,  as  of  any  other  country, 
manifested  itself  not  only  in  the  increase  of  the  number  of  persons 
employed  in  industrial  occupations,  but  also  in  the  substitution  of 
large  manufacturing  establishments  for  small,  independent  under- 
takings and  the  consequent  growth  of  the  wage-earning  classes. 

The  problem  of  workmen's  insurance  concerns  itself  mainly  with 
the  wage-earner  and  not  with  the  independent  ])roducer.  For  this 
reason  the  report  pubhshed  in  1906  by  the  Russian  Government  con- 
cerning the  number  of  wage-earners  in  Russia,  though  based  upon 
the  data  of  the  census  of  1897,  is  of  great  importance.  In  the  follow- 
ing table  are  shown  the  total  number  of  persons  employed  as  wa^^e- 
earners  in  various  branches  of  mining,  manufacturing,  transportation, 
commerce,  agriculture,  and  unskilled  labor  and  service. 

NUMBER  AND  PER  CENT  OF  WAGE-EARNERS  OF  EACH  SEX.  BY  INDUSTRIES,  1897. 

[Source:  Ministerstvo  vnutrennykh  diel.    Chlslennost  1  Sostav  rabochikh  v  Rossli  na  osnovanii  dan- 
nykh  pervoi  vsoobshchei  perepisi  naselenia  Rossilskoi  ImperU  1897  goda.    St.  Petersburg,  19«.Hi.J 


Industry. 


Mininp: 

Miners. . 
Smelters . 


Total. 


Manufacturing: 

Textiles 

Animal  products 

Woodworking 

Metal  working 

Minerals 

Chemical  products 

Beverages- 
Alcoholic  liquors 

Other 

Food  products 

Tobacco 

Paper  and  printing 

Instruments 

Jewelry,  etc 

Clothing 

Building 

Carriages  and  wooden  boats . 

other 


Total. 


Transportation: 

Post,  telegraph,  and  telephone. 

Water  transportation 

Railroads 

Carting 

other 


Total. 


Commercial  pursuits: 

Commerce 

Hotels,  restaurants,  etc.  ... 

Liquor  trade 

Cleaning,  laundry  work,  etc. 

Total 


Total  wage- 
earners. 


163, 738 
42,638 


206, 376 


Males. 


Number. 


155,020 
40,940 


Per  cent. 


94.7 
90.0 


Females. 


Number. 


8,718 
1,098 


195, 9G0 


95.0 


10.  '116 


Percent. 


5.3 
4.0 


5.0 


530, 138 

74,270 

173, 043 

370, 933 

83, 138 

61,094 

38,723 

4,220 

194, 703 

27,994 

52, 175 

8,030 

25, 767 

326, 470 

345, 724 

8,793 

65, 357 


2,390,572 


5,463 

44,141 

175, 246 

118,423 

25,756 


310, 439 

71,246 

166, 295 

364, 720 

74,  469 

45, 247 

36,918 

4,035 

183, 941 

10, 020 

46, 550 

7,722 

25,213 

256, 8S9 

345, 724 

8.  708 

54;  029 


2,012.825 


58.0 
95.9 
96.1 
98.3 
89.6 
741 

95.3 
95.0 
94.5 
37.9 
89.2 
96.2 
97.8 
78.7 
100.0 
99.7 
82.7 


369, 029 


118,787 
76,970 
17,336 
42,495 

255,588 


5,439 

43,885 

162,  784 

117,761 

25,391 


355, 2C0 


113,171 
72, 206 
15,270 
il,751 

212, 458 


84.2 


99.6 
99.4 
92.9 
99.4 
98.6 


219, 099 
3,024 
6,748 
6,213 
8, 609 
15,847 

1,805 

185 

10,762 

17, 374 

5,625 

308 

654 

69,581 


25 
11,328 


96.3 


95.3 
93.9 
.18.1 
27.7 

83.1 


377, 747 


24 

256 

12, 402 

602 

305 


41.4 

4.1 

3.9 

1.7 

10.4 

25.9 

4.7 

4.4 

6.5 

62.1 

10.8 

3.8 

2.2 

21.3 


.3 
17.3 


13, 709 


5,616 

4,704 

2,(m 

30, 744 

43, 130 


15.8 


.4 

.6 
7.1 

.6 
1.4 


3.7 


4.7 

6.1 

11.9 

72.3 

16.9 


t 


? 


CHAPTEB  IX.— WORKMEN 'S  INSURANCE  IN   RUSSIA.         2089 
NUMBER    AND   PER    CENT    OF    WAGE^EARNERS  OF    EACH    SEX.    BY    INDUSTRIES. 


Industry. 


Agricultural  pursuits,  etc.: 

Agriculture 

Cattle  raising [[ 

Forestry 

Other  rural  industries 

Fishing  and  hunting 

Total 

Common  (unskilled)  laborers 

Servants: 

In  institutions 

In  factories,  etc 

House  servants  (janitors,  etc.) 
Domestic  servants 

Total 

Grand  total 


Total  wage- 
earners. 


Males. 


Females. 


2,132,899 

411,817 

84,714 

57,990 

35,203 


2,722,623 


Number. 


1,467,302 

341,596 

83,404 

44,820 

32,331 


1,969,453 


1.094,848 


167,2^'0 

226, 743 

162,053 

1,55(),599 


809,426 


142, 700 
205,720 
160,089 
268, 086 


2,112,635 


776, 601 


9,151,671  I    0,330,983 


Percent.'    Number. 


68.8 
82.9 
98.5 
77.3 
91.8 


665,597 

70,221 

1,310 

13, 170 

2,872 


72.3 


Percent. 


31.2 

17.1 
1.5 

22.7 
8.2 


753, 170 


73.9 


285,422 


85.3 
90.7 
9a  8 
17.2 


24,534 

21,023 

1,964 

1,288,513 


36.7       1,330,034 


27.7 


2a  1 


14.7 
9.3 
1.2 

82.8 


69.2 


2,819,088 


c;i.3 

Z(XS 


According  to  these  census  figures  the  wage-earners  in  Russia  num- 
bered over  9,000,000,  of  whom  about  2,400,000  were  employed  in 
manufacturing,  200,000  in  minmg,  and  370,000  in  transportation, 
giving  a  total  of  nearly  3,000,000  for  wage-earners  in  industry,  in  the 
narrower  sense  of  the  word.  Agricultural  laborers  numbered  over 
2,700,000,  the  servant  class  over  2,100,000,  unskilled  labor  nearly 
1,100,000,  and  wage-earners  in  commercial  pursuits  (not  includin<^ 
salaried  employees)  over  250,000.  "^ 

As  a  matter  of  fact  this  number  is  not  as  great  as  it  would  be  but 
for  the  limitation  put  in  Russia  upon  the  designation  '' wage-earner" 
(zahocU).  A  great  many  persons  who  would  be  so  designated  in 
this  country  are  classed  with  salaried  employees  in  Russia,  as,  for 
instance,  many  railway  employees. 

On  the  other  hand,  a  comparison  between  the  number  of  wac'e- 
earners  and  the  total  number  of  persons  employed  in  various  occu- 
pations demonstrates  the  existence  of  a  very  large  number  of  small 
independent  producers  in  various  branches  of  industry,  as,  for 
instance,  in  textile,  woodworking,  metal  working,  clothing,'  etc. 
This  comparison,  as  made  in  the  following  table,  shows  that  in'man- 
ufactures  in  general  only  48.3  per  cent  of  the  persons  occupied  were 
wage-earners,  and  more  than  one-half  were  independent  producers. 


2090 


EEPOKT   OF   THE   COMMISSIONER   OF  LABOR. 


PROPORTION   OF   WAGE-EARNERS   TO   TOTAL  NUMBER   OF   PERSONS   EMPLOYED 

BY  INDUSTRIES,  1897.  ' 

[Source:    Premier  Recensement  General  de  la  Population  de  I'Empire  de  Russie,  1897.     Relev6  General, 
St.  Petersburg,  1905,  Vol.  II.    Chislennost  i  Sostav  Raboehikh  v  Rossii,  St.  Petersburg,  190G.  Vol.  1.) 


Industry. 


Mining: 

Miners . . 
Smelters. 


Total. 


Manufacturing: 

Textiles 

Animal  products 

Woodworking 

Metal  working 

Mineral  products 

Chemical  products 

Beverages- 
Alcoholic  liquors 

Other 

Food  products 

Tobacco 

Paper  and  printing 

Instruments 

Jewelry,  etc 

Clothing 

Building 

Carriages  and  wooden  boats. 

Other 


Total. 


Transportation: 

I'ost,  telegraph,  and  telephone. 


Water  transportation. 

Railroads 

Carting  and  drayage . . 
Other 


Total. 


Commercial  pursuits: 

Commerce 

Hotels,  restaurants,  etc 

Liquor  trade 

Cleaning,  laundry  work,  etc. 


Total. 


Agricultural  pursuits,  etc.: 

Agriculture 

Cattle  raising 

Forestry 

Other  rural  industries. . 
Fishing  and  hunting. . . 


Total 

Common  (unskilled)  laborers. 


Servants: 

In  institutions 

In  factories,  etc 

House  .servants  (janitors,  etc.). 
Domestic  servants 


Total 

Grand  total. 


Number  of 

persons 
employed. 


181,303 
47,560 


228,863 


959,584 
154,221 
410,126 
624, 954 
125,781 
76,869 

48,485 
8,740 

Si3,7»4 
31,485 
82,397 
23,391 
54,570 
1,168,865 

726,926 
14,400 

106,468 


4. 9.51, 056 


46,729 

71,057 

262, 180 

802, 956 

31,823 


714,745 


1,256,330 
154,470 

84,287 
135,902 


1,630,989 


16.668,134 

1.121,828 

125,756 

1^,807 

138,762 


18,244,287 


1.120,156 


0  167,240 
242,011 
l«i5, 650 

1.578,412 


2,153,313 


29,043,409 


Wage-earners. 


Number. 


163,738 
42,638 


206,376 


530,138 

74,270 

173,043 

370, 933 

83,138 

61,094 

38,723 

4,220 

194,703 

27,994 

52, 175 

8,030 

25,767 

326, 470 

3*5,724 

8,793 

65,357 


Per  cent  of 

persojis 
employed. 


90.3 
89.7 


2,390,572 


5,463 

44,111 

175,246 

118,423 

25,756 


369,029 


118,787 
76,970 
17,336 
42,495 


255,588 


2,132,899 

411,817 

84,714 

57,990 

35,203 


2,722,623 


1,094,848 


167,240 

226,743 

162,053 

1,556,599 


2,112,635 


9,151,671 


90.2 


55.2 
48.2 
42.2 
69.4 
66.1 
79.5 

79.9 
48.2 
66.6 
88.9 
63.3 
34.3 
47.2 
38.2 
47.6 
61.1 
61.4 


48.3 


11.7 

62.1 
(J6.8 
:i9.1 
80.9 


51.6 


9.5 
49.8 
30. 6 
31.3 


15.7 


12.8 

36.7 
67.4 
29.0 
25.4 


14.9 


97.7 


100.0 
93.7 
97.8 
98.6 


98.1 


31.5 


a  Because  of  differences  In  classification  this  item  could  not  be  obtained;  it  is  therefore  assumed  to  be 
the  same  as  the  number  of  wage-earners. 


CHAPTER   IX. — workmen's   INSURANCE   IN   RUSSIA.  2091 

Along  with  the  industrial  development  the  problems  of  protection 
of  workmen  against  the  results  of  accidents,  sickness,  and  old  age 
have  been  growing  in  importance  and  have  commanded  increasing 
attention. 

The  workmen's  compensation  act  of  June  2  (15),  1903,  embracing 
all  large  industries,  is  perhaps  the  most  important  result  in  the 
domain  of  workmen's  insurance.  It  has  introduced  a  system  of  com- 
pensation of  workmen  against  industrial  accidents  within  a  rather 
Umited  scope. 

In  the  field  of  old-age  insurance  the  existing  provisions  embrace 
almost  exclusively  the  individual  employees  of  the  State.  Of  the 
private  employees  thus  provided  for  the  most  important  are  the 
railroad  employees,  for  whom  old-age  pension  funds  w^ere  established 
in  1888.  In  view  of  the  extensive  undertakings  of  the  Russian  Gov- 
ernment, however,  the  existing  old-age  pension  funds  cover  a  very 
large  body  of  industrial  wage-earners.  The  pension  fund  for  govern- 
ment railroad  employees  was  organized  in  1894,  the  fund  for  employees 
of  the  hquor  monopoly  in  1900,  etc. 

Very  much  less  has  been  estabhshed  in  the  domain  of  provision 
agamst  sickness,  though  the  eariiest  social  labor  legislation  concerned 
itself  with  the  care  of  the  men  in  factories  in  case  of  sickness.  Special 
laws  concerning  employees  of  certain  state  establishments  were  pro- 
mulgated early  in  the  nineteenth  century,  and  general  provisions  in 
the  form  of  temporary  regulations  w^ere  made  in  1866,  requiring  the 
factory  owners  to  furnish  medical  aid  and  if  necessary  hospital  treat- 
ment to  the  sick  employees.  Thus  from  the  very  beginning  the 
problem  of  medical  treatment  was  separated  from  that  of  financial 
aid  during  sickness,  and  the  burden  of  such  medical  treatment  was 
placed  upon  the  employer.  Fairly  satisfactory  results  were  obtained 
in  this  branch  of  sickness  insurance,  but  almost  no  progress  was  made 
in  the  other  branch. 

Thus,  the  entire  situation  in  regard  to  workmen's  insurance  in 
Russia  may  be  summarized  as  follows : 

1.  An  accident  compensation  law  of  1903,  followed  by  a  series  of 
special  law^s  for  various  groups  of  government  employees. 

2.  The  law  of  1866  requiring  the  furnishing  of  medical  treatment 
in  factories  (extended  in  1886  to  mines),  and 

3.  A  series  of  special  institutions  for  old-age  and  invalidity  insur- 
ance and  rehef  mainly  of  government  employees. 

In  addition  to  these  provisions  for  the  welfare  of  the  wage-earners, 
as  established  by  laws  and  governmental  decrees,  there  is  in  Russia 
but  little  that  can  be  traced  to  voluntary  efforts,  either  of  the  employer 
or  of  the  employees  themselves. 

Witliin  the  last  few  years,  and  especially  since  the  estabhshment  of 
the  National  Legislature,  considerable  activity  has  manifested  itself 


i 


> 


2092 


REPORT   OF   THE   COMMISSIONER   OF  LABOR. 


in  the  preparation  of  legislative  proposals  for  comprehensive  insur- 
ance systems,  including  all  the  three  main  branches  of  workmen's 
insurance,  against  accidents,  sickness,  and  old  age  and  invahdity. 
Such  proposals  were  published  in  1905,  1906,  1907,  and  1908,  and 
the  last  ones  were  formally  introduced  in  the  Duma  and  await  the 
action  of  tliis  body. 

ACCIDENT  INSURANCE. 

EMPLOYERS'  LIABILITY. 

The  system  of  workmen's  compensation  in  Russia  grew  out  of  the 
development  of  the  idea  of  employers'  liability.  A  consideration  of 
the  principles  governing  the  Hability  of  employers  for  injuries  sus- 
tamed  by  workmen  in  the  course  of  their  em])loyment  is  important, 
not  only  for  historical  reasons  but  because  employers'  Habihty  still 
remains  the  only  means  of  redress  for  workmen  not  included  under 
the  provisions  of  the  law  of  1903. 

Until  the  promulgation  of  this  law  the  Russian  code  did  not  mclude 
any  special  law  to  determine  the  general  principles  of  the  employers' 
liability  for  industrial  injuries.  Such  measures  as  passed  prior  to 
1903  were  intended  for  rehef  of  definite  classes  of  wage-earners,  pri- 
marily state  and  railroad  employees.  The  responsibility  of  employers 
for  results  of  industrial  accidents  was  based  altogether  upon  the 
general  provisions  of  the  Russian  code  in  regard  to  general  responsi- 
bility for  results  of  acts  committed,  whether  criminal  or  not.  Accord- 
ing to  article  644  of  Volume  X,  part  1,  of  the  Russian  code,  a  person 
guilty  of  committing  a  crime,  whether  with  or  without  intent,  must 
compensate  for  all  losses  directly  caused  by  his  act,  and  according 
to  article  645  he  must  also  compensate  for  all  losses,  even  though 
very  remote,  if  it  be  proven  that  the  overt  act  was  committed  with 
the  intent  to  cause  losses  to  the  victim  of  the  act,  while  the  following 
section  exempts  such  losses  as  are  caused  by  accidental  acts,  without 
intent  and  without  any  negligence. 

The  sections  of  the  code  quoted  apply  only  to  criminal  acts,  but 
the  failure  to  convict  the  person  of  any  criminal  act  does  not  reheve 
him  of  the  civil  habihty  for  any  losses  caused  by  his  acts,  for  this 
habihty  is  established  by  other  sections  of  the  code.  Moreover,  in 
these  sections  the  civil  responsibihty  is  much  broader  than  that  laid 
down  in  the  sections  mentioned  above.  Section  684  provides  that 
"each  person  is  obliged  to  compensate  for  damage  and  losses  caused 
to  any  party  by  his  act  or  omission,  even  if  not  criminal,  provided 
he  had  not  been  forced  to  commit  that  act  by  demands  of  law,  or  of 
the  Government,  or  in  self-defense,  or  by  a  combination  of  circura- 
stances  which  he  could  not  prevent."  Furthermore,  section  687 
establishes  also  the  responsibihty  of  a  person  not  only  for  his  acts, 
but  also  for  those  of  his  agents,  and  that  of  a  master  for  the  acts  of 
a  servant. 


CHAPTER  IX. workmen's   INSURANCE  IN   RUSSIA.  2093 

Taken  together,  articles  684  and  687  estabhsh  the  law  of  hability 
for  injuries  in  general.  They  extend  as  much  protection  to  the  em- 
ployee as  they  do  to  the  injured  outsider,  and  this  feature  is  the  most 
characteristic  one  of  the  general  Russian  system  of  employers'  Ha- 
bility. Special  legislation  in  regard  to  special  groups  of  employees, 
which  will  be  stated  presently,  has  extended  the  hability  of  employers. 
But  any  restrictions  of  the  rights  of  the  employees  for  compensation 
in  case  of  accidents,  as  compared  with  the  rights  of  outsiders,  such 
as  the  doctrine  of  common  employment  or  the  fellow-servant  doc- 
trine, are  altogether  foreign  to  the  Russian  law. 

In  their  application  to  industrial  accidents  and  to  employers' 
hability  to  their  employees,  these  basic  provisions  of  the  law  were 
considerably  influenced  by  the  decision  of  the  Governing  Senate,  the 
highest  judicial  body  of  the  land.  According  to  these  decisions  the 
master  is  responsible  for  all  acts  of  the  servant  which  have  been 
committed  by  the  latter  in  the  performance  of  liis  duties.  The  prob- 
lem of  negligence  or  fault  does  not  enter  into  the  discussion;  the 
hability  depending,  according  to  the  wording  of  the  law,  upon  the 
question  whether  the  accident  was  preventable  or  not,  only  non- 
preventable  accidents  forming  an  exception  to  the  hability.  Intent, 
or  fault,  or  negligence  may  be  important  to  determine  the  presence 
of  criminal  hability,  but  some  definite  act  or  omission  and  the  pre- 
ventable nature  of  the  accident  are  sufficient  to  establish  the  civil 
liability  of  the  employer. 

Article  687  does  not  clearly  establish  upon  whom  the  burden  of 
evidence  should  fall,  simply  stating  that  the  person  shah  not  be 
hable  for  his  act  or  that  of  his  agent  if  it  shall  be  proven  that  the 
accident  was  unpreventable.  This  proof  then  being  a  part  of  the 
defense,  it  was  established  by  many  decisions  of  the  Governing  Sen- 
ate that  according  to  the  general  rules  of  civil  procedure  the  plain- 
tiff may  estabhsh  his  c  laim  by  proving  only  the  injury,  the  accident 
and  the  specific  act  of  the  employer  or  his  agent  causing  the  accident; 
and  that  the  burden  of  showing  the  accident  to  have  been  unpre- 
ventable or  that  the  agent  was  acting  against  his  orders  rests  upon 
the  defendant,  being  evidence  to  the  rebuttal  of  the  claim. 

In  addition  to  the  general  liability  of  a  person  for  the  results  of 
his  acts  or  omissions,  the  Russian  code  also  estabhshes  definite 
principles  as  to  the  limits  of  this  hability.  After  the  general  fact  of 
hability  has  been  established  the  same  compensation  is  due  whether 
the  act  had  been  a  criminal  one  or  not;  in  other  words  the  amount 
of  compensation  does  not  in  any  degree  depend  upon  the  nature  of 
the  act  which  had  caused  the  loss.  In  general  the  compensation 
must  be  equal  to  the  loss  sustained;  therefore  the  law  requires  that 
in  case  of  a  fatal  accident  the  person  liable  for  the  accident  shall  give 
means  of  support  to  the  widow  of  the  deceased  until  remarriage,  to 


2094 


EEPORT  OF   THE   COMMISSIONER  OF  LABOR, 


the  dependent  parents  until  death,  to  the  sons  until  of  age,  and  to 
the  daughters  until  marriage,  etc.;  the  person  liable  for  the  accident 
must  cover  the  cost  of  medical  treatment  until  recovery  or  death  and 
funeral  expenses,  cost  of  support  of  family  and  dependents  <luring 
illness,  and  a  pension  for  life  in  cases  of  permanent,  partial,  or  com- 
plete disability  to  earn  a  living.  While  the  definite  amounts  of  the 
pensions,  depending  upon  the  earnings  of  the  injured  or  deceased  is 
determined  by  the  courts,  the  law  provides  that  the  compensation 
for  loss  of  earning  power  must  be  in  the  form  of  annual  payments, 
and,  according  to  a  senate  decision,  the  plaintiff  has  no  right  to 
demand  a  lump-sum  payment.  This  does  not  prevent  a  j)eaceful 
settlement  by  a  lump  sum  outside  of  the  court. 

POLAND    AND    THE    BALTIC    PROVINCES. 

The  liability  laws  described  above  do  not  apply  to  the  entire 
Russian  territory,  the  10  provinces  constituting  Russian  Poland  and 
the  three  Baltic  provinces  of  Livonia,  Esthonia,  and  Courland  being 
exempt  from  the  provisions  of  Volume  X  of  the  Russian  code. 

The  French  Civil  Code  is  in  force  in  Poland.  Here,  too,  the 
employers'  Uability  until  1903  was  based  mainly  upon  the  general 
liabiHty  of  a  person  for  damages  caused  by  his  act  or  omission,  by 
negligence  or  carelessness,  or  by  the  acts  or  negligence,  etc.,  of  his 
servants  when  committed  in  the  performance  of  their  duties.  The 
law  of  1903  provides  that  a  contractor  is  responsible  for  the  acts  of 
his  employees.  This  does  not  permit  the  exemption  from  liability 
because  of  the  unpre  vent  able  nature  of  the  accidents  and  the  liabiHty 
is  better  established  than  in  the  Russian  code  proper,  the  defense 
being  that  the  negligence  of  the  servant  did  not  take  place  duiing  the 
performance  of  his  duties  or  execution  of  the  master's  orders. 

A  special  civil  code  is  in  force  in  the  Baltic  j)rovinces.  According 
to  this  code,  the  employers'  liability  for  damages  sustained  by  his 
employees  is  also  based  upon  the  general  liability  laws.  Wliile  the 
provisions  are  very  strict  in  regard  to  the  liability  of  a  person  for  his 
personal  acts  only,  the  responsibility  of  a  master  for  the  act  of  his 
servant  is  subject  to  the  proof  of  the  servant's  unfitness  for  his  posi- 
tion. The  law  clearly  acknowledges  the  doctrine  of  contributory 
negligence  in  denying  the  right  to  recover  where  the  plauitiff  by 
proper  care  could  have  prevented  the  accident. 

It  appears  that  the  status  of  employers'  liability  throughout  the 
greater  part  of  the  Russian  Empire,  as  based  upon  the  law  inter- 
preted by  the  senate  decisions,  was  considerably  more  favorable  to 
the  injured  employee  than  is  that  under  English  common  law.  The 
fellow-servant  doctrine  was  unknown  and  the  doctrine  of  contribu- 
tory negligence  had  a  very  limited  application,  the  Governing  Senate 
having  estabhshed  by  its  decisions  that  in  cases  of  negUgence  on  the 


V 


I 


CHAPTER  IX. — workmen's  INSURANCE  IN   RUSSIA.         2095 

part  of  both  the  employer  and  the  injured  employee  the  latter  is 
entitled  to  partial  compensation.  The  law  provides  that  the  com- 
pensation shall  be  in  the  form  of  annual  payments. 

With  all  that,  the  usual  drawbacks  of  a  liability  system  appeared. 
The  great  number  of  injuries  due  to  the  unavoidable  negligence  of 
the  employees  themselves,  especially  in  view  of  the  low  educational 
standard  of  the  Russian  workman,  and  many  other  accidents,  un- 
avoidable because  of  the  conditions  of  work,  or  caused  in  some  way 
which  it  is  difficult  to  explain,  were  necessarily  left  uncompensated. 
Even  in  those  cases  which  clearly  came  under  the  provisions  of  the 
liability  laws  protracted  litigation  was  necessary;  but  Utigation  was 
very  difficult  for  the  Russian  workman  and  therefore  settlements  for 
small  amounts  were  usually  effected  even  in  those  cases  where  the 
liability  of  the  em])loyer  was  evident. 

LIABILITY    OF   RAILROAD    AND    STEAMSHIP   COMPANIES. 

The  hazardous  nature  of  the  occupation  of  railroad  and  steam- 
ship employees  has  in  most  countries  brought  about  special  legislation 
extending  the  Uability  of  the  employers  in  these  industries  for 
injuries  to  employees  long  before  general  compensation  or  liability 
legislation  was  adopted.  This  habihty  was  estabhshed  by  the  act  of 
May  12  (24),  1852,  which  referred  only  to  railways  and  to  accidents 
happening  in  the  movement  of  trains,  and  closely  followed  Prussian 
legislation  of  1838.  The  law  was  amended  and  extended  to  steam- 
ship companies  in  its  present  form  in  1878,  and  in  this  connection 
may  be  mentioned  the  general  railroad  law  of  June  12,  1885.  In 
section  683  no  distinction  is  drawn  between  injuries  to  employees 
and  passengers  or  outside  persons,  so  that  the  rights  of  the  employees 
are  not  specially  safeguarded,  nor  are  they,  on  the  other  hand,  less 
protected  than  those  of  the  passengers.  It  is  stated  by  Russian 
authorities  that  the  law  was  originally  passed  with  the  view  of  pro- 
tecting the  passengers  and  that  the  employees  were  brought  under 
the  section  of  this  law  by  judicial  decisions.  (") 

Section  683  provides  that  the  proprietors  of  railroads  or  steamship 
hues,  whether  it  be  the  Government,  corporations,  or  private  indi- 
viduals, are  required  to  compensate  all  persons  injured  or  killed 
because  of  accidents  in  the  operation  of  such  properties,  unless  they 
can  prove  that  the  accident  was  (1)  not  due  to  the  fault  of  the  pro- 
prietors or  their  agents,  or  (2)  that  it  was  due  to  action  of  forces 
which  could  not  be  overcome — i.  e.,  to  vis  major.  It  further  provides 
that  all  agreements  or  conditions  contrary  to  this  provision  are 

a  Otvietstvennost  predpriminatelei  za  uviechia  i  smert  rabochikh.  V.  P.  Litwinov- 
Falinskii.     St.  Petersburg,  1900. 
Smert  i  uviechie  pri  exploatatzii  zheleznykh  dorog,  F.  Osetzki.     St.  Petersburg, 


2096 


REPORT   OF  THE   COMMISSIONER  OF  LABOR. 


illegal  and  nonenforceable;  the  compensation  granted  must  be  in 
accordance  with  the  amount  of  damages  sustained,  and  may  ])e  either 
in  the  form  of  a  lump-sum  payment  or  of  a  pension  payable  annually 
or  at  other  intervals  as  the  injured  person  might  desire;  further,  that 
in  case  of  such  pensions  the  amount  may  be  reconsidered  and  changed 
by  the  courts,  upon  application  of  either  party,  whenever  new  con- 
ditions arise  justifying  such  a  measure.  The  method  of  compensa- 
tion is  further  regulated,  according  to  which  the  person  adjudged 
responsible  for  injury  or  loss  of  life  must  provide  the  cost  of  treat- 
ment, funeral  expenses,  and  means  of  support  of  family  until  recovery, 
and  pensions  to  all  the  dependents;  but  the  right  of  demanding  a 
pension  is  limited  to  the  widow,  sons  until  majority,  and  daughters 
untd  marriage. 

The  practical  application  of  this  law  is  regulated  to  a  great  extent 
by  senate  decisions.  These  have  established  (1)  that  by  the  term 
''operation"  C exploitation^')  should  be  meant  not  only  the  actual 
movements  of  the  trains  or  steamers,  but  all  work  of  the  employees  in 
connection  with  the  railroad  business.  The  statement  of  the  law 
excepting  accidents  "not  due  to  the  fault  of  the  management  of  the 
enterprise  or  its  agents"  ma^'  seem  to  have  preserved  the  dependence 
of  the  right  of  compensation  upon  the  employers'  fault  or  negligence, 
but  by  numerous  decisions  the  governing  senate  has  interpreted  this 
phrase  to  mean  "  due  to  the  fault  of  the  injured  person  or  to  that  of  an 
outsider."  The  burden  of  establishing  such  a  fault  or  act  of  negli- 
gence is  clearly  placed  by  the  law  upon  the  employer.  Thus  there  is 
no  doctrine  of  fellow-servant.  The  entire  responsibility  for  trade 
risk  is  thrown  upon  the  employer,  and  the  development  of  a  doctrine 
of  contributory  negligence,  of  which  slight  traces  might  ha\  e  been 
found  in  the  exception  quoted,  was  prevented  by  senate  decisions 
clearly  establishing  that  such  contributory  negligence  reduces  tlie 
amount,  but  does  not  altogether  destroy  the  right  of  compensation. 
Thus  only  three  groups  of  accidents  remain  beyond  the  scoj)e  of  the 
law — those  due  to  gross  negligence  of  the  injured,  to  negligence  of 
outside  parties,  or  to  ''vis  major." 

The  law  was  amended  on  May  30  (June  11),  1888,  to  the  effect 
that  in  giving  judgment  in  favor  of  the  plaintiff  the  amount  of  com- 
pensation paid  over  to  the  injured  or  his  heirs  by  the  railroad  em- 
ployees' pension,  saving,  and  benefit  funds  must  be  discounted. 
Such  benefit  funds  were  made  obligatory  for  all  private  railroad 
companies  by  the  law  of  May  30  (June  11),  1888,  while  a  general 
pension  fund  for  the  employees  of  tlie  state  railroads  was  estab- 
lished by  an  act  of  June  3  (15),  1894.  These  funds  will  be  discussed 
in  a  later  section.  It  may  be  noticed  here  that  since  obligatory  con- 
tributions by  the  employees  constitute  the  main  source  of  income  of 
these  funds,  this  last  provision  throws  back  upon  the  employees  the 


• 


CHAPTER  IX. — workmen's  INSURANCE  IN  RUSSIA.         2097 

greatest  share  of  the  burdens  which,  according  to  article  683,  devolves 
upon  the  employer. 

On  the  other  hand,  in  case  of  total  disability  the  injured  emplovee 
receives  a  hfe  annuity  of  three-fourths  his  annual  salary.  If  the 
permanent  disabihty  be  such  as  to  disqualify  him  from  further 
employment  in  railroad  service,  while  permitting  some  other  gainful 
occupation,  then  the  compensation,  in  the  form  of  an  annuitv, 
depends  upon  the  length  of  previous  service,  being  one-third  of  his 
annual  salary  for  not  over  fifteen  years  of  service,  one-half  of  his 
salary  in  case  of  previous  service  of  over  fifteen  years  but  not  more 
than  twenty  years,  and  three-fourths  if  the  injured  person  had  been 
in  the  service  for  over  twenty  years.  In  case  of  a  fatal  accident  the 
widow  of  the  deceased  employee  receives  one-half  of  tlie  pension  to 
which  her  husband  would  have  been  entitled  if  totally  disabled.  An 
important  distinction  between  the  ordinary  systems  of  compensation 
for  accidents  and  the  activity  of  these  pension  funds  is  found  in 
the  provision  that  after  death  of  the  husband  while  a  pensioner  for 
disabihty,  the  widow  receives  a  pension  equal  to  one-half  of  his. 

Each  child  surviving  a  fatally  injured  employee  receives  from  10  to 
15  percent  of  the  pension  he  would  have  received  if  alive  but  totally 
disabled,  and  each  child  surviving  a  pensioner  receives  10  to  15 
per  cent  of  the  pension  he  received,  the  proportion  differing  in  the 
pension  funds  of  different  railways;  but  the  total  amount  of  pensions 
to  children  must  not  exceed  50  per  cent  of  the  pension  of  the  deceased, 
so  that  the  family  of  the  deceased  employee  may  receive  together  an 
amount  equal  to  his  pension. 

HISTORY  OF  THE  GENERAL  COMPENSATION  LEGISLATION. 

The  problem  of  compensation  of  workmen  for  industrial  accidents 
has  been  attracting  the  attention  of  Russian  authorities  as  well  as 
of  the  Russian  manufacturers  since  the  beginning  of  the  eighties,  and 
the  efforts  for  its  solution  may  be  divided  into  three  classes:  (1)  The 
elaboration  of  plans  for  a  general  comprehensive  law  in  legislative 
institutions;  (2)  organization  by  the  various  departments'  of  the 
Government  of  systems  of  compensation  or  insurance  for  special 
groups  of  workmen,  mainly  those  engaged  in  state  mdustries;  and 
(3)  voluntary  efforts  made  by  employers  toward  insurance  of  work- 
men, partly  for  humane  and  partly  for  business  reasons. 

The  history  of  the  legislative  efforts  will  be  discussed  in  the  following 
section.  The  early  special  legislation  concemmg  the  government 
employees  will  be  discussed  in  connection  with  the  chapter  devoted 
to  that  topic,  and  the  history  of  voluntary  accident  insurance  will 
also  be  treated  separately. 

Under  the  old  regime  of  Russia  prior  to  the  granting  of  the  con- 
stitution of  1905,  legislative  proposals  were  elaborated  by  the  various 


2098 


EEPORT  OF   THE  COMMISSIONER  OF  LABOR. 


administrative  departments,  and  presented  through  the  Imperial 
Council  to  the  Emperor  for  his  approval.  As  early  as  1859,  and 
several  times  smee,  commissions  were  created  within  the  Ministry  of 
Finance  for  revision  of  factory  laws  which,  among  other  thuigs,  pre- 
pared drafts  of  a  law  defining  employers'  habihty  for  industrial 
accidents,  but  the  plans  of  these  commissions  never  reached  the  stage 
of  discussion  m  the  Imperial  Council. 

In  the  development  of  the  principle  of  compensation  of  workmen 
for  results  of  industrial  acci«lents,  a  considerable  stimulus  was  given 
by  the  employers  themselves. 

As  early  as  1881,  i.  e.,  about  three  years  before  the  German  system 
of  insurance  against  accidents  was  established,  the  influentia]  Society 
for  Encouragement  of  Russian  Industry  and  Commerce  elaborated 
a  plan  for  obligatory  state  insurance  of  workmen  against  accidents, 
which  guaranteed  compensation  for  all  injuries,  unless  incurred 
voluntarily,  and  placed  the  entire  burden  upon  the  employers,  i.  e., 
the  industry.  The  plan  was  presented  to  the  minister  of  finance' 
but  did  not  proceed  any  further.  ' 

In  the  same  year  the  congress  of  mining  operators  in  KJiarkov 
organized  a  mmers'  aid  fund.     In  1893  a  petition  was  presented  by 
the  manufacturers  of  Moscow  for  a  universal  compulsory  system  of 
state  insurance,  to  be  reahzed  by  a  tax  upon  the  employers,  and 
managed  entirely  by  the  governmental  authorit ies.     This  feeling  was 
not  universal,  for  in  the  same  year  the  publication  of  Von  Witte's 
plan  for  employers'  habihty  legislation  called  forth  a  formal  protest 
from   the  '^Congress   of  Mine  Operators  of   Southern  Russia  and 
Poland,"  which  was  indorsed  by  the  Council  of  Iron  and  Steel  Manu- 
facturers' Association.     The  whole  subject  of  employers'  liabihty 
workmen's  compensation,  and  compulsory  insurance  received  a  very 
prolonged  and  thorough  discussion  at  the  Pan-Russian  Congress  of 
Commerce  and  Industry,  held  at  Nizhni  Novgorod  in  August  of  1896 
in  connection  with  the  Pan-Russian  Exposition.     Two  sessions  of  the 
congress  and  an  entire  volume  of  its  reports  were  devoted  to  the  con- 
sideration of  the  question  of  workmen's  insurance.     The  board  of 
the  Moscow  bourse  forwarded  a  resolution  favoring  state  compensa- 
tion to  the  workmen  for  injuries  caused  by  industrial  accidents  by 
a  system  of  compulsory  state  insurance,  the  cost  to  be  put  upon  all 
industrial  establishments,  by  means  of  a  tax  upon  the  wage  expense 
or  the  number  of  workmen,  and  proportionate  to  the  degree  of 
hazard  presented  by  the  various  industries;  two  other  chambers  of 
commerce   presented   similar  rosolutions,   proposing,   however    an 
equal  distribution  of  the  burden  between  the  employer  and  emi)loyee 
During  the  discussion  of  the  problem  at  the  session  of  the  congress 
the  strong  preference  of  the  manufacturers  for  a  system  of  insurance 
as  a^amst  employers'  liability  strongly  asserted  itself,  and  the  congress 


V 


CHAPXEK  IX. — workmen's  IKSUHANCE  IN  BUSSIA.         2099 

resolved  that  "of  the  two  methods  of  compensating  workmen  a.'ainst 
accidents— workmen's  insurance   or  a  special  employers'   ha^bility 
law— the  system  of  insurance  must  be  declared  the  more  perfect  one  " 
Further,  the  congress  resolved  that  "from  the  point  of  view  of  tie 
interests  of  the  employees  as  weU  as  of  the  employers,  the  best  method 
of  providmg  for  the  worker  disabled  either  through  accident,  sickness 
or  old  age  from  earning  a  living  would  be  such  a  system  of  compul- 
soiy  insurance  of  the  workers,  which  was  not  conducted  for  commer- 
cial profit  and  therefore  should  be  placed  under  state  supervision  •  it 
should  not  be  limited  to  employees  in  factories  and  mills,  but  should 
include  all  workers  employed  in  industrial  activity.     Should  however 
the  organization  of  a  system  of  compulsory  insurance  under  stat^ 
supervision  be  found  impossible  in  the  immediate  future,  then  it 
_  would  be  highly  desirable  that  the  employers  make  efforts  to  provide 
for  insurance  of  their  employees  either  in  the  existing  private  insur- 
ance companies  or  by  organization  of  mutual  insurance  societies 
the  possibihty  of  entry  to  which  should  be  afforded  to  the  proprietor^ 
of  the  small  mdustrial  establishments."     Furthermore,  the  con-ress 
recognized   that   the   existing   legislation   in   regard    to   employers' 
liability  was  very  deficient  in  that  it  did  not  conclusively  establish 
the  employers'  hability  for  the  trade  risk  of  employment,  and  that 
for  this  reason  private  insurance  must  supplement  existing  legislation 
and  specifically  include  the  results  of  trade  risk. 

Thus  the  congress  of  commerce  and  industry  recommended  a 
material  extension  of  the  workman's  rights  for  compensation  This 
recommendation  may  be  explained  by  the  statements  made  at  the 
congress  that  a  few  heavy  judgments  of  court  in  favor  of  the  injured 
employees  or  the  families  of  employees  killed  have  demonstrated  to 
tbe  employers  the  preference  of  insurance  over  liability.  The  heavy 
cost  of  litigation  was  also  felt  by  many  manufacturers.  Besides 
with  the  introduction  of  insurance  in  one  establishment  the  demand 
for  It  often  spread  rapidly  through  the  whole  industrial  district  the 
workmen  discnmmating  against  employers  who  refused  to  pro'vide 
for  such  insurance.  The  constant  litigations  were  admitted  to  lead 
to  strained  relations  between  the  employers  and  employees,  which 
were  destructive  of  factory  discipline  and  efficiency.  Besides  many 
representatives  of  large  industrial  establishments  and  almost  all  the 
representatives  of  the  smaller  establishments  admitted  that  the  danger 
of  possible  accidents,  with  the  heavy  burden  of  damages,  was  a  dis- 
turbing factor  in  the  calculation  of  cost  of  production,  and  that  insur- 
ance was  preferable,  as  it  permitted  an  estimate  of  this  element  of 
cost. 

Under  the  influence  of  the  memorial  of  the  Society  for  Encourage- 
ment of  Kussian  Industry  and  Commerce,  presented  in  1881,  the 
Council  of  Commerce  and  Manufactures,  under  the  Ministry  of  Finance 


-L....^ 


2100 


BEPORT   OF   THE  COMMISSIONEB  OF  LABOE. 


J 


was  charged  with  the  duty  of  preparing  a  draft  of  an  employers' 
liability  law.  This  draft  was  finally  presented  to  the  Imperial  Council 
in  1889  by  the  minister  of  finance.  This  was  the  first  important 
effort  at  a  solution  of  the  problem  of  industrial  accidents. 

The  plan,  while  it  proposed  to  establish  a  fairly  Hberal  system  of 
compensation,  similar  to  that  of  the  German  law,  up  to  a  pension  of 
60  per  cent  of  the  earnings  in  cases  of  fatal  accident,  and  even  a  pen- 
sion equal  to  the  full  earnings  in  cases  of  total  disabihty,  on  the  other 
hand  it  strictly  Hmited  the  hability  of  the  employer  to  cases  of  his 
well-established  negligence  or  that  of  a  superintendent,  thus  virtually 
establishing  a  fellow-servant  doctrine.  Another  provision  of  the  bill 
placed  upon  the  plaintiiT  the  entire  burden  of  proof  of  such  negligence. 
Thus  the  plan  decidedly  limited  the  rights  of  the  workman  as  they 
existed  under  the  general  laws;  far  from  relieving  the  injured  work- 
man from  the  expenses  of  a  court  trial,  it  would  tend  to  create  condi- 
tions under  which  the  legal  battles  would  have  to  be  more  persistent, 
and  reduced  the  chances  of  the  workman  for  a  favorable  private 
settlement. 

The  bill  was  therefore  a  step  backv/ard  in  the  development  of 
employers'  Habihty  and  did  not  meet  with  the  approval  of  the 
Imperial  Council.  The  ministers  of  justice,  of  interior,  of  state 
domains,  and  of  ways  of  communication  raised  objections. 

This  draft  was  referred  back  to  the  Ministry  of  Finance  and  in  a  few 
years  a  new  draft  was  elaborated  and  introduced  in  the  Imperial 
Council  by  the  minister  of  finance,  on  March  15  (27),  1893. 

This  plan  was  in  many  respects  much  more  thorough  than  that  of 
1889.  It  extended  the  habihty  of  the  employers  to  all  accidents 
except  those  due  to  vis  major,  to  actions  of  third  parties,  or  to  mali- 
cious intent  or  fault  of  the  injured;  in  other  words,  the  scope  of 
liabihty  was  made  practically  equal  to  that  of  the  railroad  and  steam^ 
ship  companies.  The  last  limitation  was  undoubtedly  an  important 
one,  but  the  burden  of  proof  of  the  employee's  fault  or  negligence  was 
placed  upon  the  employer,  so  that  a  considerable  share  of  the  trade 
risk  was  shifted,  while  in  the  plan  of  the  bill  of  1889  it  rested  ui)on 
the  workman.  Contributory  negligence  of  the  injured  did  not  alto- 
gether relieve  the  employer  of  the  responsibility,  the  draft  providing 
that  in  such  cases  the  courts  could  reduce  the  normal  compensation 
by  one-fourth  to  one-half.  The  plan  of  1893  also  applied  to  all 
employees,  while  the  preceding  project  was  limited  to  wage-workers 
only.  Finally,  it  contained  an  important  innovation  in  classifying 
trade  diseases  with  injuries  due  to  industrial  accidents. 

In  the  general  scheme  of  pensions  and  allowances  to  the  injured  or 
his  family  the  new  plan  followed  quite  closely  after  the  old,  with  60 
per  cent  of  the  annual  earnings  of  the  injured  as  a  maximum  pension. 
It  provided  for  peaceful  agreements  between  both  parties,  from  which 


; 


i 


I 


CHAPTER   IX. — WORKMEN  S  INSURANCE  IN   RUSSIA.  2101 

there  was  no  appeal,  and  for  suits  in  common  courts  when  no  peaceful 
settlement  was  possible.  Yet  the  large  opportunity  for  htigation  was 
evident,  especially  in  view  of  the  provisions  in  regard  to  contributory 
negligence.  On  the  other  hand,  the  liberal  inclusion  of  the  trade 
diseases  called  forth  strong  opposition  among  the  manufacturers  of 
St.  Petersburg. 

This  plan  did  not  meet  with  approval  and  was  returned  to  the 
Ministry  of  Finance  for  further  changes.  The  demand  for  legislation 
grew  with  the  development  of  industry,  and  the  discussion  showed  a 
considerable  part  of  the  manufacturers  of  Russia  not  unfavorable- 
disposed  to  some  regulation  of  this  ])roblem.  In  a  few  industrial 
centers  the  manufacturers  organized  mutual  companies  for  insurance 
of  their  employees,  and  the  Habihty  assumed  by  these  companies  was 
much  broader  than  that  imposed  by  the  laws.  The  activity  of  the 
manufacturers  of  Riga,  which  will  be  described  in  a  later  section,  was 
very  important  in  that  connection. 

In  the  spring  of  1899  a  new  legislative  scheme  was  announced  by 
the  Mnistry  of  Finance.  This  plan  bore  evidence  of  the  influence 
exerted  by  the  Riga  Mutual  Insurance  Company  system.  In  fact, 
section  2  of  the  project  of  1899,  which  contains  an  enumeration  of 
exceptions  to  the  liabihty  of  employers,  repeated  word  for  word  the 
corresponding  section  3  of  the  Riga  society's  by-laws.  It  excepted 
injuries  due  to  accidents  caused  by  (1)  unpreventable  and  unex- 
pected external  forces  (vis  major),  (2)  acts  of  outsiders,  who  have 
no  connection  with  the  management  of  the  industrial  establishment, 
(3)  such  intentional  acts  of  the  fellow-servants  as  are  not  connected 
with  the  nature  of  the  work,  and  (4)  mahcious  intent  of  the  injured. 
The  by-laws  of  the  Riga  society  stated  ''gross  negligence  of  the 
injured,''  for  which  the  legislative  plan  of  1899  substituted  ''malicious 
intent,"  thus  hmiting  substantially  the  range  of  excepted  cases. 

The  law  was  to  apply  to  workmen  and  technical  employees.  Only 
factories  were  covered  by  the  bill.  Workshops  emplojdng  less  than 
15  men  and  no  mechanical  power,  mines,  quarries,  metallurgical  estab- 
hshments,  agricultural,  structural,  and  transportation  employees  were 
not  included.  Compensation  oifered  included  besides  medical  treat- 
ment an  allowance  of  50  per  cent  of  the  daily  wages  for  temporary 
disabihty;  a  pension  amounting  to  two-thirds  of  the  annual  earning 
for  complete  permanent  disabihty  and  a  proportionate  sum  in  cases 
of  partial  disabihty,  while  the  Riga  society  offered  75  per  cent  to  the 
married  victims  in  similar  cases;  in  cases  of  death  the  widow  and 
cliildren  were  to  receive  the  same  rate  of  compensation  as  under  the 
Riga  system,  i.  e.,  30  per  cent  of  the  earnings  to  the  former  and  15 
to  20  per  cent  to  the  latter.  The  new  proposal  extended  the  right  to 
compensation  not  only  to  dependent  parents,  but  also  to  dependent 
grandparents,  brothers,  and  sisters,  but  the  maximum  was  the  same, 


2102 


BEPOET   OF   THE  COMMISSIONER   OF  LABOB. 


and  the  claims  of  these  relatives  were  recognized  only  in  so  far  as  the 
immediate  family  was  not  entitled  to  the  60  per  cent  maximum. 

After  four  years  consumed  in  tlie  elaboration  and  adaptation  of 
this  plan,  with  vital  changes,  the  final  draft  was  approved  June  2  (15), 
1903,  and  went  into  effect  on  January  1  (14),  1904. 

WORKMEN'S  COMPENSATION— PRESENT  STATUS. 

The  workmen^s  compensation  act  is  entitled  "Rules  concerning  the 
compensation  of  workmen  and  employees  injured  through  accidents, 
as  well  as  members  of  their  famihes,  in  manufacturing,  mining,  and 
metallurgical  estabUshments.''  It  was  accompanied  by  an  extensive 
"Opinion  of  the  Imperial  Council''  of  the  same  date,  containing 
amendments  and  modifications.  Since  that  date  many  decrees  and 
enactments  in  regard  to  this  matter  have  been  announced,  and  the 
entire  law  may  be  said  to  be  still  in  the  formative  state. 

Instructions  to  the  factory  and  mine  inspectors,  referiing  to  the 
details  of  the  execution  of  the  law,  were  approved  by  the  ministers  of 
finance  and  of  agriculture  and  state  domains  on  December  13  (26), 
1903,  and  instructions  to  the  police  were  issued  by  the  central  office 
of  factory  and  mine  inspection  on  March  5  (18),  1904.  Instructions 
to  physicians  concerning  the  methods  of  determining  the  degree  of 
disability  were  elaborated  by  the  medical  council  of  the  Ministry  of 
Interior,  and  approved  by  the  latter  on  June  5  (18),  1904;  new  regu- 
lations regarding  the  collective  insurance  of  workmen  or  the  insurance 
of  employers  against  their  civil  Uability,  harmonized  with  the  new 
legislation,  were  approved  by  the  minister  of  interior  on  December 
22,  1903  (January  4,  1904). 

By  numerous  acts  the  action  of  law  was  extended  to  various  state 
estabUshments:  To  the  workmen  and  civil  employees  of  tlie  artillery 
service,  on  June  9  (22),  1904,  in  effect  January  1  (14),  1905;  to  the 
workmen  and  employees  of  manufacturing,  mining,  and  metallur- 
gical establishments  of  the  Crown  (i.  e.,  the  personal  property  of  the 
Emperor  and  the  imperial  family),  June  6  (19),  1905,  in  effect  Decem- 
ber 25,  1905  (January  7,  1906);  to  employees  of  the  government 
printing  office  on  December  19,  1905  (January  1,  1906),  in  effect  July  1 
(14),  1906;  and  of  the  senate  printing  office,  March  6  (19),  1906,  in 
effect  July  1,  1906;  of  the  navy  yards,  March  6  (19),  1906,  in  effect 
July  1  (14),  1906;  and  of  the  governmental  industrial  establishments 
connected  with  the  department  of  ports  and  harbors,  April  19  (May 
2),  1906,  in  effect  October  1  (14),  1906.  Further  extensions  must 
follow  to  include  all  the  industrial  undertakings  of  the  Government. 

INDUSTRIES   COVERED. 

The  apphcation  of  the  act  is  strictly  limited  to  factories,  mills, 
mines,  and  metallurgical  establishments.  Large  sections  of  the  work- 
ing population  are  excluded,  namely,  the  transportation  employees 


CHAPTER   IX. workmen's   INSURANCE   IN    RUSSIA.  2103 

(for  whom  special  provisions  exist,  partly  in  section  683  of  Volume  X, 
part  1  of  the  code,  as  explained  above,  and  partly  in  the  pension  and 
aid  funds,  which  will  be  described  elsewhere),  the  agricultural  laborers, 
the  building  trades,  and  the  commercial  employees.  Factories,  mines, 
and  metallurgical  estabUshments  owned  by  provincial  governments 
and  municipahties  are  included.  Specifically  excluded  were  indus- 
trial establishments  of  the  Central  Government,  the  workshops  and 
other  industrial  establishments  of  private  railroad  and  steamsliip 
companies,  but  the  heads  of  the  various  ministries  were  instructed  to 
present  within  one  year  after  the  law  went  into  effect,  i.  e.,  after  Jan- 
uary 1,  1904,  plans  for  extension  of  this  law  with  necessary  modifica- 
tions, to  the  various  state  industrial  estabUshments.  Accordingly  the 
main  provisions  of  this  law  were  extended  to  various  governmental 
establishments,  namely,  all  factories,  mines,  and  metaUurgical  estab- 
Ushments which  are  personal  property  of  the  Emperor  and  the  entire 
imperial  family  (so-called  of  his  majesty's  cabinet  and  the  Crown), 
workmen  and  civil  employees  of  the  artillery,  the  government  printing 
office,  senate  printing  office,  navy  yards,  and  the  industrial  establish- 
ments of  the  department  of  ports  and  harbors,  tliis  latter  group 
including  also  construction  work.  As  yet  the  law  was  not  extended 
to  transportation  companies.  The  extension  of  the  law  to  the  state 
and  crown  establishments  is  accompanied  by  modifications,  more  or 
less  uniform,  wliich  makes  it  preferable  to  treat  these  establishments 
separately. 

The  essential  limitation  of  the  law  is  found  in  the  term  '"factory." 
The  Russian  law  recognizes  two  classes  of  manufacturing  establish- 
ments, factories  and  ''artisans'  shops''  (remeslennya  zavedenia). 
The  latter  are  not  mentioned  in  the  law  and  therefore  are  not  subject 
to  it.  But  the  definition  of  a  factory,  contained  in  the  Russian  law, 
is  not  sufficiently  specific;  factories  and  mills  are  stated  to  differ 
from  artisans',  shops  in  that  they  are  large  establishments  using 
mechanical  power,  while  artisans  have  none  except  hand  machinery 
and  tools.  The  decision  in  practice  is  left  to  administrative  officers, 
and  practically  the  law  extends  over  all  manufacturing  estabUsh- 
ments using  machinery  and  mechanical  power. 

An  exception  is  found  in  the  exclusion  of  so-called  rural  industrial 
establishments.  This  includes  a  large  class  of  certain  smaU  establish- 
ments located  outside  of  city  limits,  namely,  brick  and  tile  yards, 
cement  and  starch  factories,  turpentine  stills,  wood  distilleries, 
creameries,  cheese  factories,  even  if  utilizing  mechanical  power,  pro- 
vided they  do  not  employ  more  then  20  workmen,  sawmills  with  only 
one  mechanical  saw,  flour  mills  with  four  or  less  millstones,  or  only 
one  rolling  stone,  wine  presses,  and  a  few  other  smaU  rural  industrial 
establishments. 


67725°— VOL  2—11- 


-39 


2104 


BEPORT   OF   THE  COMMISSIONEK   OF   LABOR. 


PERSONS    COMPENSATED. 


'c 


Within  the  industries  and  establishments  mentioned,  the  law 
applies  to  all  workmen  as  well  as  to  employees,  such  as  foremen, 
engineers,  and  superintendents,  whose  duties  bring  them  in  contact 
with  the  processes  of  industry,  provided  tJieir  salary,  inclusive  of 
shares  in  profits,  board  or  lodging,  does  not  exceed  1,500  rubles 
($772.50).  All  workmen  and  employees  excepted  from  the  applica- 
tion of  this  law  preserve  the  right  of  action  under  the  general  laws 
of  liability,  which  are  not  available  to  workmen  covered  by  the  new 
act. 

INJURIES   COMPENSATED. 

All  injuries  due  to  accidents  occasioned  by  or  on  account  of  the 
work,  and  causing  disability  for  more  than  thiee  days  or  death,  must 
be  compensated,  unless  caused  by  the  injured  person  himself  either 
intentionally  or  through  gross  negligence,  such  as  can  not  be  justified 
by  the  conditions  of  work,  while  the  burden  of  proving  such  malicious 
intent  or  gross  negligence,  which  would  relieve  the  employer  from 
the  duty  of  compensation  is  definitely  placed  upon  the  employer. 

The  act  is  broader  than  the  plan  of  1899,  in  one  respect  that  it 
has  discarded  the  provision  excluding  injuries  caused  intentionally 
by  coemployees;  on  the  other  hand,  it  has  excluded  injuries  caxised 
by  gross  negligence  of  the  injured,  a  provision  which  the  plan  of  1899 
discarded  when  it  copied  the  entire  section  from  the  by-laws  of  the 
Riga  Mutual  Insurance  Company. 

BURDEN    OF   PAYMENT. 

The  duty  of  compensation  is  placed  entirely  upon  the  employer. 
Subcontracting  the  work  to  a  third  party  does  not  relieve  the  employer 
from  the  responsibility,  but  an  order  given  to  another  independent 
establishment  is  not  considered  subcontracting.  All  agreements 
between  employers  and  employees  entered  into  before  the  occurrence 
of  the  accident,  waiving  the  employees^  right  to  compensaticm  under 
this  act,  are  illegal  and  not  enforceable. 

METHODS    OF   COMPENSATION. 

Two  methods  of  compensation  are  provided — allowances  for  tem- 
porary disabilit}'-  and  pensions  for  permanent  disability  or  death. 
Only  those  injuries  which  cause  disability  lasting  more  than  three 
days  entitle  the  injured  to  an  allowance,  but  it  is  computed  from  the 
day  of  the  injury.  The  daily  allowance  is  equal  to  one-half  of  the 
actual  daity  earnings  of  the  injured.  In  addition  to  this  allowance 
the  employer  must  either  furnish  the  injured  person  with  free  medi- 
cal treatment,  or  reimburse  him  for  the  cost  of  such  until  full  recov- 


/ 


CHAPTER   IX. WORKMEN  S   INSURANCE   IN   RUSSIA.  2105 

ery,  or  as  long  as  treatment  is  continued,  at  the  rates  charged  in  local 
governmental  or  municipal  hospitals.  This  allowance  and  medical 
treatment  constitute  all  the  compensation  in  cases  of  temporary 
disability. 

In  its  initial  stages,  i,  e.,  until  the  permanent  nature  of  the  disa- 
bility and  its  extent  is  determined,  every  case  of  permanent  disa- 
bility is  treated  exactly  like  a  case  of  temporary  disability,  i.  e.,  the 
injured  person  receives  the  medical  treatment,  and  the  allowance. 
This  is  followed  by  a  pension  when  the  permanent  nature  of  the  disa- 
bility is  determined.  When  the  disability  is  complete,  the  pension 
amounts  to  two-thirds  of  the  annual  earnings  of  the  injured.  In 
cases  of  partial,  though  permanent  disability,  a  smaller  pension  is 
granted,  proportionate  to  the  degree  of  disability.  The  pension  fol- 
lows immediately  after  the  allowance,  and  when  the  amount  of  the 
pension  is  greater  than  that  of  the  allowance  the  computed  differ- 
ence for  the  time  elapsed  since  the  day  of  the  accident  must  be  paid 
to  the  injured. 

When  the  injury  is  fatal,  or  results  in  death  within  two  years,  or 
even  later,  but  while  the  injured  is  still  under  treatment,  the  employer 
must  pay  for  the  funeral  expenses,  30  rubles  ($15.45)  for  an  adult 
and  15  rubles  ($7.72)  for  a  minor,  and  provide  pensions  to  the  mem- 
bers of  the  family  of  the  deceased,  as  follows: 

The  widow  receives  a  pension  equal  to  one-third  of  the  annual 
earnings  of  the  deceased  until  her  death  or  remarriage;  in  the  latter 
case  she  receives  in  settlement  of  all  her  claims  one  payment  equal 
to  three  times  the  amount  of  her  annual  pension.  The  children  under 
15  years  of  age,  whether  legitimate,  legitimatized,  illegitimate,  or 
legally  adopted,  are  each  entitled  to  a  pension  equal  to  one-sixth  of 
the  annual  earnings  of  the  deceased,  when  the  other  parent  survives, 
or  one-fourth  when  both  parents  are  dead.  But  when  both  parents 
are  killed  as  a  result  of  industrial  accidents,  the  children  receive  the 
sum  of  pensions  to  which  they  are  entitled  because  of  the  death  of 
each  parent.  Tlie  total  sum  of  pensions  must  not  exceed  66§  per 
cent  of  the  annual  earnings  of  the  deceased,  and  where  the  pensions 
of  the  widow  and  children,  computed  as  above,  would  exceed  this 
limit,  the  shares  of  all  are  proportionately  reduced.  But  if  the 
deceased  leaves  no  family,  or  if  this  maximum  is  not  claimed  by 
the  immediate  family,  the  relatives  in  an  ascending  line,  and 
orphan  brothers  and  sisters  under  15  years  of  age,  are  entitled 
to  pensions  of  16§  per  cent  each,  or  an  equal  share  of  as  much 
as  is  left  after  satisfying  the  claims  of  the  widow  and  children, 
provided  these  relatives  had  previousl}^  been  dependent  upon  the 
deceased.  But  changes  in  the  family,  subsequent  to  the  granting  of 
the  pensions,  do  not  lead  to  a  rearrangement  of  the  pensions,  with 
the  single  exception  of  a  birth  of  a  legitimate  child. 


2106 


REPORT  OF   THE  COMMISSIONER  OF  LABOR. 


When  the  deceased  workman  is  a  foreign  subject  only  those  mem- 
bers of  the  family  are  entitled  to  a  pension  who  at  the  time  of  the 
accident  resided  in  Russia. 

All  allowances  and  pensions  paid  under  this  law  are  exemj^t  from 
any  attachment,  whether  for  taxes  or  private  debts,  and  &ve  non- 
transferable. 

LUMP-SUM   PAYMENT. 

The  law  permits  substitution  of  a  lump-sum  payment  for  the  pen- 
sion of  the  injured  or  of  the  relatives  of  the  deceased,  by  mutual 
agreement  of  both  sides,  provided  it  is  computed  as  follows:  In  case 
of  pension  for  disabihty,  ten  times  the  pension  of  the  injured,  and 
when  the  injured  is  under  17  years  of  age,  ten  times  the  pension  to 
which  he  would  be  entitled  at  17;  in  case  of  pensions  to  relatives  of 
a  deceased  employee,  the  adults  may  receive  ten  times  the  .pension, 
and  the  chidren  as  many  times  their  pension  as  it  has  years  to  run^ 
but  not  over  ten.  When  such  agreement  is  made  after  the  payment 
of  the  pension  has  commenced,  the  amounts  previously  paid  may  be 
deducted,  provided  they  do  not  constitute  more  than  one-third  of 
the  lump  sum.  Such  agreements  for  the  substitution  of  a  lump  sum 
may  be  approved  by  the  proper  authorities,  and  without  such  ap- 
proval these  agreements  are  not  binding  and  do  not  deprive;  the 
beneficiary  of  the  right  to  demand  additional  compensation  through 
the  courts.  A  substitution  of  a  lump  sum  is  obligatory  in  case  "of 
injured  workmen  who  are  foreign  subjects,  when  they  or  members 
of  their  famihes,  receiving  pensions,  leave  Russia.'  In  compensation 
for  all  future  claims  a  sum  thrice  the  pension  must  be  paid  to  them, 
unless  the  pension  expires  in  less  than  3  years,  when  a  full  payment 
for  the  remaining  period  must  be  made. 

DETERMINATION   OF  DEGREE   OF  DISABILITY. 

The  difficulties  accompanying  the  exact  deternu'nation  of  the  degree 
of  disabihty  by  the  permanent  results  of  the  injury  became  manliest 
in  the  very  beginning  of  the  apphcation  of  the  law,  and  the  medical 
council  of  the  Ministry  of  Interior  was  instructed  to  elaborate  a  set 
of  rules  for  the  guidance  of  the  physicians.  These  rules  were  approved 
on  June  5  (18),  1904,  and  published  on  October  29  (November  11) 
1904.  ^' 


^1 


CHAPTER  IX. — workmen's  INSURANCE   IN   RUSSIA.  2107 

TABLE  FOR  DETERMINATION  OF  DEGREE  OF  DISABILITY  DUE  TO  INJURIES  CAUSED 

BY  INDUSTRIAL  ACCIDENTS. 

^^^^^f  •  ^?^°^  °  yosnagrazhdenii  rabochikh,  poterpevshikh  ot  neschastnvkh  sluchaev  so  vsiemi  iz.lin 
PeSJsburgN'^^7/|       ''  ^^^'"^'^'^^^^  '  administrativnymi  rasporiazheniami,  E    M*.  DeSe^Uev;  st 


Disa- 
bility 
num- 
ber. 


8 

9 

10 


11 
12 
13 


i4 


15 


16 

17 
18 
19 


20 


Nature  of  disability. 


Per  cent 
of  disa- 
bility. 


I.  Head. 

Injuries  to  skull,  resulting  In  CTave  and  permanent  pathological  phenomena  (insanity 
paralysis,  epileptic  attacks,  lass  of  special  senses,  grave  neuralgia)  unsaniiy. 

Injuries  to  skul|  resulting  in  severe  headaches,  with  decrease  of  m'lisburar'strenrtii'of 
upper  extremities  or  less  freguent  epileptic  attacks  "^uiar  M,rengtn  oi 

Ss  Si""^  ^  ^^^^'  ^^^^^°^  '^  attacks  of  lesser  severity, "such  ^"veitigorh^ 

or  work  in  such  a  position  of  the  body  as  the  trade  of  the  injured  perin  demands 
Concussion  of  the  brain  with  less  serious  consequences  i^i^u  uemanus . . . . 

Incurable  mental  diseases 

^raemSr^"""^^  disturbances  of  mental  abYlitY^"(Weakening  of  intellect",  weakening  of 


II.  Eyes. 


Double  (complete)  loss  of  sight *" 

Loss  of  sight  in  one  eye  (a) '.'..'.. 

The  weakening  of  eyesight  is  determined  according  to  Josten's  table.' 


III.  Ears. 

Complete  deafness  of  both  ears 

Complete  deafness  of  one  ear 

Chronic  inflammation  of  internal  or  middle  earjwith'discharge 


IV.  Face. 


l^I^f'  '^°^».^*^gA"'""^^i<inal  disarrangements,  such  as  inverted  evelids,  with  in«;ufri- 
cient  covermg  of  the  eye,  lachry .nation,  stricture  of  nasal  passages  and  oSntne  Sn- 
traction  of  mouth  opening,  partial  immobility  of  lower  jaw,  etc  openmg,  con- 

tai°L"ranymen&."^.^'.''^'^^  ^**^"'"  ^^*^'^'  bones,- resulting  in  f unci- 


100 

70 

30 

85 

60 

100 

50 


C) 


100 
35 


50 
10 
25 


V.  Neck. 


^""SyaVt^fK^:  °'.''°^.°**'^'  '"^"""^  ^  *^^  "^''^''  necessitating  constant  wearing  of 

Lo^  of  speech  due  to  injury  to  vocalor  speaking  orgaiis 

Difficulty  in  speaking 

Difficulty  in  breathing  because  of  a  permanent  contraction  of  iarynx  ..'!!.".'.*!.'  i !!!!  [i! ' 

VI.  Chest. 


Reduction  in  mobility  of  the  chest  after  injury- 
Severe  "^ 

Moderate 

Slight .".'.'.".'.'."".'.■.■.".";." 


nl  i^fr^i^t^^'^  ^^"^I  ^"^  I*^  of  eye.    Loss  of  one  eye  in  absence  of  the  other  is  equal  to  100  ner 
fjJ^;„^Lf^^l^.  ^!i"L^°L«^j7..^«5"Plete  blindness  but  such  diminution  of  sight  tSat  the  ahili?t'i 


35 
35 


50 
40 
10 
40 


40 
20 
10 


to  distinguish  the  form  of  near  objects 
6  Josten's  table- 


.  ^     ,-  r     cent, 

sight  that  the  ability  is  lost 


S. 


0.50 
.40 
.30 
.20 
.10 
.00 


0.50 


0.40 


0.30 


0.00 
6.50 
13.50 
20.00 
26.50 
33.50 


6.50 
14.50 
22.00 
30.00 
38.00 
46.00 


13.50 
22.00 
3L50 
41.00 
50.50 
60.00 


0.20 


0.10 


0.00 


20.00 
30.00 
41.00 
52.00 
62.50 
73.50 


26.50 
38.00 
50.  .50 
62.50 
75.00 
87.00 


33.50 
46.00 
60.00 
73.50 
87.00 
100.00 


of^oss  of  vision.   Ihus,  when  the  vision  in  one  eye  is  0.20,  ami  in  the  other  0.10,  the  disability  is  62.50pS 

eyflic'-'al^wl&tS  ^It^l'S t^£'Z'^^^^^'  conditions,  such  as  accommodation, muscular  action  of  the 
eye,  eic,  as  well  as  the  nature  of  the  employment  of  the  injured,  may  be  taken  into  consideration. 


2108 


REPORT  OF   THE  COMMISSIONER  OF   LABOR. 


TABLE  FOR  DETERMINATION  OF  DEGREE  OF  DISABILITY  DUE  TO  INJURIES  CAUSED 

BY  INDUSTRIAL  ACCIDENTS— Continued. 


Disa- 
bility 
num- 
ber. 


21 


22 


23 


24 


Nature  of  disability. 


VI.  Chest— Concluded. 

Decrease  of  respiratory  action  of  the  lungs  or  of  the  respiratory  surface,  because  of  partial 
cohapse,  adhesions,  etc.: 

Severe 

Moderate 

Slight '*.''.''.".*..".".'.'.*.".".'.'.'..'.' 

Chronic  affections  of  the  pulmonary  tissues: 

Severe 

Moderate 

Slight !!!!]"!!!.] 

Organic  diseases  of  heart,  its  cavities  and  lining  "(chronic  myocarditis,' aneuriVm^^^ 


25 
26 
27 


28 
29 
30 
31 
32 
33 


3i 
35 

30 


37 
38 
90 

40 
41 
42 
43 
44 


VII.  Abdomek. 

Chronic  diseases  of  abdominal  organs,  resulting  in  derangement  of  their  functions 
and  faihng  of  nutrition  (stricture  of  esophagus,  of  stomach,  of  intestines,  intestinal 
fistula,  chronic  peritonitis,  hepatitis,  etc.): 

Grave 

Moderate 

Slight »...."1!! !!!!!!!!!!! 

Injuries  of  abdominal  wall,  interfering  witii  mechanical  work 

Herma  (abdominal,  inguinal,  femoral)  (a) 

Prolapse  of  rectum  or  uterus \V..\.V\ 

VIII.  Gemtourinary  Organs. 

Chronic  nephritis 

Derangement  of  urination  resulting  from  injuries  in  the  regioii  of  genito-iirinarv  orcans 
Fistula  of  the  urethra  or  bladder,  interfering  with  walking  and  raising  of  weights 

Chronic  hydrocele ,__ 

Loss  of  male  organ  at  age  under  50 !.!!.!.!!!!! 

Loss  of  both  testicles  at  an  early  age i ! ! ! !  i . ! ! !     . !  i  1 ! ! !  i  1 


IX.  Back. 

Injuries  of  the  spinal  column,  resulting  in  objective  and  lasting  signs  of  functional  dis~ 

turbance  of  the  spinal  cord  (paralyzed  extremities,  incontinence  of  urine  or  feces) 
Lossof  mobility  of  the  spinal  column: 

Severe 

Moderate 

Slight :!!!!!!"!!!!!!!!!!!!! 

Ruptures  and  lacerations  of  the  dorsal  muscles: 

Severe 

Moderate 

Slight \'.\"\\"'.\"  ][""]'.'.'.'. ...[[[[[ 


45 
46 
47 
48 


X.  Upper  Extremities. 

„,  A.  FINGERS. 

a.  Thumb: 

JjOss  of  terminal  phalanx /Right. . 

(Left. . . . 

Loss  of  terminal  and  one-half  of  the  first  phalanx jRight. 

Loss  of  both  phalanxes J  Right . . 

\Left.... 

Loss  of  both  phalanxes  and  the  metacarpal  bone i^%^t. 

Immobility  (anchylosis)  of  the  first  joint /Right . . 

(.Left 

Immobility  of  second  joint /Right . . 

\Left.... 

Immobility  of  both  articulations /Right. 


\Left 


Contraction  of  thumb /Right.. 

T   J  \Left 

Index:  ^ 

Loss  of  second  and  third  phalanxes fRight. . 


Per  cent 
of  disa- 
bility. 


GO 
30 
15 

100 
50 
10 

100 


80 
40 
10 
25 
25 
25 


60 

15 
50 
15 
30 
60 


100 

60 
25 
10 

40 

SO 

6 


is 


»5 

10 
35 
15 

10 

10 

5 

15 


Loss  of  all  three  phalanxes,  with  or  without  the  metacarpal  hone if  Tt*^^' 

Immobility  (anchylosis)  of  the  first  joint I?^f  ^'' 

Immobility  of  the  first  and  middle  finger  joints /Right. . 

a  Hernia  entitles  the  injured  person  to  compensation  only  in  those  ca.s«\s  where  they  are  brought  about 
Dv  an  accident  (such  as  blow,  fall,  or  unusual  exercise  of  strength)  which  suddenly  causes  all  objective  sisms 
of  a  henna,  with  phenomena  of  strangulation,  which  necessitate  medical  assistance. 


15 

15 

u 

u 

15 
10 
16 
IS 


I 


CHAPTER   IX. WORKMEN  S   INSURANCE   IN   RUSSIA. 


2109 


TABLE  FOR  DETERMINATION  OF  DEGREE  OF  DISABILITY  DUE  TO  INJURIES  CAUSED 

BY  INDUSTRIAL  ACCIDENTS— Continued. 


Disa- 
bility 
num- 
ber. 


49 
50 
51 
52 
53 

64" 
55 

56 
57 
58 
59 
60 
61 

62 
63 

64 
65 

66 
67 
68 
69 
70 
71 
72 
73 
74 
75 
76 
77 
78 
79 
80 
81 
82 
83 
84 


Nature  of  disability. 


X.  Upper  Extremities— Continued. 

A.  FINGERS— cjntittued. 
Index— Concluded . 

Immobility  of  the  first  and  last  finger  joints JLeft**'" 

Immobility  of  the  middle  finger  joint •(  ?'ft^^ ' ' 

Immobility  of  the  middle  and  last  finger  joints IPft^*" " 

Immobility  of  all  three  joints {  f  *ft*' " " 

Curvature  of  the  finger If  ^ft**'"  * 

Middle  and  ring  fingers: 
Loss  of  one  finger  with  the  metacarpal  bone -i?^*^'" ' 

Loss  of  the  second  and  third  phalanxes "(f  *ft^*' " 

Immobility  of  all  the  three  joints,  or  the  first  and  second  joints Il' ft^^ 

Immobility  of  first  joint {f'ft*^  " 

Immobility  of  the  middle  joint /Right. . 

Immobility  of  the  first  and  third  joints {feft*^'' ' 

Immobility  of  the  middle  and  third  joints {f  ^f/^*^" 

Curvature  of  the  finger If  *ft*^' ' 

Little  finger: 
Immobility  of  all  three  joints If  ^^'' ' 

Curvature  of  finger .  /Right.. 

\Left. 

Injuries  to  several  fingers  of  one  hand: 

Loss  of  all  fingers /Right.. 

Stiffness  of  all  fingers /Right.  . 

Curvature  of  all  fingers <Right.. 

\Left 

Loss  of  thumb  and  index .  (Right.. 

\Iieft 

Loss  of  thumb  and  middle ^?^?^^- 

\Left 

Loss  of  thumb  and  ring If  ^f^^' " 

Loss  of  thumb  and  little ^?^f**^- 

\Left.... 

Loss  of  thumb,  index,  and  middle -f?*?^^-- 

\Left 

Loss  of  thumb,  hidex,  and  ring iT^^^*^ -  • 

I  Left 

Loss  of  thumb,  index,  and  little .  /?^?^^  -  • 

\Left  — 

Loss  of  thumb,  index,  middle,  and  ring If  *f^* " ' 

Loss  of  thumb,  index,  middle,  and  little /Right.. 

iLeft 

Lossof  thumb,  middle,  and  ring ^?^^^-- 

Loss  of  thumb,  middle,  and  little -f?'?*^*  •  - 

(Left  — 

Loss  ofthumb,  ring,  and  little....  /Right.. 

(Left 

Loss  of  index  and  middle /Right.. 

ll^ft-... 

Loss  of  index  and  ring /Right. . 

\Left.... 

Loss  of  index  and  little..  /Right. . 

\Left.... 

Lossof  index,  middle,  and  ring (Right.. 

ILeft 

Loss  of  index,  middle,  and  little..  jRieht.. 

ILeft-... 

Loss  of  middle  and  ring /Right.. 


Per  cent 
of  disa- 
bility. 


15 
10 
IS 

5 
15 
10 

u 
m 

10 

to 

5 

s 

0 
10 
5 
5 
0 
5 
0 
5 
0 
5 
0 
10 

s 

5 
0 
5 
0 

7S 

65 
55 
00 
50 
50 
40 
49 
35 
*) 
33 
35 
25 
00 
SO 
60 
50 
50 
40 
70 
60 
TO 
60 
50 
40 
45 
35 
45 
35 
35 
25 
35 
25 
25 
20 
50 
40 
45 
35 
25 
20 


2110 


REPORT   OF   THE   COMMISSIONER  OF  LABOR. 


TABLE  FOR  DETERMINATION  OF  DEGREE  OF  DISABILITY  DUE  TO  INJURIES  CAUSED 

BY  INDUSTRIAL  ACCIDENTS— Ckintlnued. 


Disa- 
bility 
num- 
ber. 


85 
80 
87 
88 
89 

90 
91 
92 
93 
94 
95 

90 
97 
98 

99 
100 
101 
102 
103 
104 
105 


100 

107 

lOS 

109 

110 
111 

112 
113 


114 

115 
116 


Nature  of  disability. 


X.  LTppEB  Extremities— Concluded. 

A.  FINGERS — concluded. 

e.  Injuries  to  several  fingers  of  one  hand— Concluded. 

Loss  of  middle  and  little St  «ri    " 


■)Lert. 


Loss  of  middle,  ring,  and  little iLeft    '.' 

Loss  of  ring  and  little iLeft 


Loss  of  index,  middle,  ring,  and  little \Left 

Loss  of  thumb,  middle,  ring,  and  little iLeft 

/.  Injuries  to  several  fingers  of  both  hands: 

Loss  of  all  fingers  of  both  hands,  or  of  9  fingers 

Loss  of  l>oth  index  fingers 

Loss  of  thumb  and  index  of  one  hand  and  index  of  the  other  hand 

Loss  of  thumb,  index,  and  ring  or  little  finger  of  one  hand  and  index  of  the  other 

Loss  of  all  fingers  of  one  hand  except  index,  and  the  thumb  of  the  other 

Loss  of  both  thumbs  and  indexes  (o) 


B.  ■WTJST, 

Loss  of  wrist \Lef( 

Stiff  wrist  joint (Kfi'!'.; 

Loose  wrist  joint {Left 

C.  FOREARM. 

Loss  of  forearm  at  elbow  joint { Loft 


Stiff  elbow  joint  at  full  extension  or  full  flexion {Left'^;. 

Stiff  elbow  joint  at  right-angle  flexion {Left 

Loose  elbow  joint {Kft^!.; 

Lnni ted  action  of  wrist {KfJ**;; 

Limited  motion  in  elbow  and  wrist  joint {ivpft 

Stiffness  of  elbow  and  wrist  joint {Left'!^ 

D.  SHOULDER  AND  ABM. 

Loss  of  arm  at  the  shoulder  joint  or  between  the  shoulder  au^l  elbow  joint {ljR 

Stiffness  of  shoulder  joint {Eeft^!!! 

Loose  shoulder  joint {L«'ft 

Limited  motion  in  shoulder  joint {Lfft^    * 

Inability  to  raise  the  arm  more  than  into  a  horizontal  position ■!  -^^^^ '  •  • 

Wrong  union  of  fracture  of  shoulder  blade  or  collar  bone,  if  resulting  in  limiting|Right. . 
the  motion  of  arm \L«'ft  — 

Habitual  dislocation  of  shoulder {Left**!! 


E.  HANDS. 


Loss  of  both  hands  or  wrists. 


XI.  Lower  Extremities. 


A.  TOES. 


Loss  of  big  toe 

Loss  of  all  toes  of  one  foot 

Loss  of  heads  of  metatarsal  bones. 


Per  cent 
of  disa- 
bility. 


20 
15 
35 
20 
20 
10 
70 
55 
65 
50 

100 
50 
65 
70 
80 
85 


75 
65 
30 
25 
40 
30 

75 
65 
SO 
40 
35 
25 
60 
50 
25 
15 
30 
20 
60 
60 


75 
60 
60 
50 
65 
£0 
30 
20 
40 
30 
20 
10 
20 
10 


100 


10 
25 
50 


a  In  cases  of  loss  of  several  fingers,  or  phalanxes  of  several  fingers,  the  loss  of  the  grasping  surface  of  the 
four  fingers  put  togethor  must  be  taken  into  consideration.  A  loss  of  about  one-half  of  that  surface  Ls  equal 
to  a  loss  of  one-third  (33J  per  cent)  of  earning  capacity.  The  valuation  of  the  injuries  of  the  hand  and 
wrist  must  be  much  higher  for  workmen  employed  at  trades  which  demand  fine  hand  work.^ 


^- 


CHAPTER   IX. workmen's   INSURANCE   IN   RUSSIA.  2111 

TABLE  FOR  DETERMINATION  OF  DEGREE  OF  DISABILITY  DUE  TO  INJURIES  CAUSED 

BY  INDUSTRIAL  ACCIDENTS— Concluded. 


Disa- 
bility 
num- 
ber. 


117 
118 
119 
120 
121 


122 
123 
124 
125 
120 
127 
128 
129 


130 
131 
132 
133 

134 
135 


136 


Nature  of  disal.>Uity. 


Per  cent 
of  disa- 
bility. 


-|- 


XI.  Lower  Extremities— Concluded. 


B.  FOOT. 


Loas  of  foot  at  the  ankle  joint  or  below  it 

Fractures  of  "os  calcis"  or  tarsal  bones 

Complete  immobility  of  ankle  joint  of  one  foot,  tho  foot  being  plai-ed  at  right  angle  to  leg. . 

Complete  immobility  of  ankle  joint,  the  foot  being  placed  in  oblique  angle  to  leg 

Loose  ankle  joint 

C.  LEG. 

Loss  of  one  leg 

Complete  immoblity  of  the  knee  joint  at  extension 

Complete  immobility  of  knee  joint  at  slight  flexion,  under  obtuse  angle 

Complete  immobiUty  of  knee  joint  at  strong  flexion  in  an  acute  angle,  or  over  extended . . 

Loose  knee  joint 

Stretched  ligaments  of  knee  joint  (weakened  joint ) 

Fracture  of  patella  with  disarrangement  of  the  apparatus  for  extension 

Irregular  union  of  a  fracture  of  leg  with  shortening  of  over  5  centimeters  [1.97  inches]  and 
Umited  motion 

D.  THIGH. 

Loss  of  thigh 

Complete  immobility  in  hip  joint  in  extension  of  leg 

Complete  immobility  in  hip  joint  in  flexion  of  leg 

Irregular  union  of  fracture  of  thigh  with  shortening  of  leg  of  over  5  centimeters  [1.97 

inches]  and  limitation  of  motion 

Failure  of  fracture  of  hip  to  unite  (false  joint) 

Loss  of  both  legs  or  feet 

XII.  Upper  and  Lower  Extremities. 

Loss  of  one  leg  or  foot,  and  one  arm  or  hand 


00 
40 
25 
40 


65 
40 
25 
SO 
60 
25 
SO 

45 


75 

m 

60 

50 

65 

100 


100 


Note  1. — Full  paralysis  of  extremity  or  a  pari  of  an  extremity  is  assimilated  to  its  loss;  the  same  is  true 
of  immovable  joints,  cicatricial  contraction,  chronic  ulceration,  insufficient  covering  of  bones  after  amputa- 
tion, loss  of  tendons,  etc.,  when  leading  to  complete  impossibility  to  u.se  the  injured  extremity  at  work. 

Note  2. — In  injuries  of  lower  extremities  attention  must  be  paid  as  to  whether  working  is  possible  with 
cane,  crutches,  etc.,  and  in  all  injuries  as  to  how  far  the  disabiUty  caused  may  be  rectified  by  means  of 
apparatus  and  appliances. 

Note  3.— In  multiple  injuries,  resulting  from  one  accident,  the  estimate  of  disability  must  not  be  matie 
by  means  of  a  simple  addition  of  the  numbers  corresponding  to  individual  injuries  according  to  this  scale, 
but  with  consideration  for  the  circumstances  of  each  case,  i.  e. ,  for  the  resulting  loss  or  reduction  of  capacity 
to  earn  a  livelihood  from  the  combined  effect  of  all  the  injuries  together,  in  connection  with  the  general 
state  of  health  and  nature  of  employment.    In  no  case  must  the  estimate  exceed  100  per  cent. 

Note  4.— Traumatic  and  other  bodily  injuries  not  mentioned  in  the  scale  must  be  estimated  in  accord- 
ance with  these  general  considerations. 

METHODS   OF   COMPUTING   EARNINGS. 

As  the  amount  of  the  pension  depends  upon  the  annual  earnings  of 
the  injured  workman,  the  method  of  determination  of  these  earnings 
is  of  importance  to  the  efficacy  of  the  law.  The  following  method 
is  prescribed  by  the  act:  The  actual  earnings  of  the  person  injured, 
as  determined  by  the  books  of  the  concern,  for  the  year  preceding  the 
day  of  the  accident  (or  in  cases  when  the  workman  has  been  em- 
ployed less  than  a  year,  for  all  the  time  of  his  employment),  is  divided 
by  the  number  of  days  of  actual  employment,  and  the  average  daily 
earnings  thus  obtained  are  multiplied  by  260  (considered  by  this  law 
the  average  number  of  working  days  in  a  Russian  factory).  In  the 
case  of  establishments  which  normally  are  not  active  the  whole  year, 
the  average  daily  earnings  are  multiplied  by  the  normal  number  of 


2112 


REPORT  OF   THE  COMMISSIONER  OF   LABOR. 


4 


CHAPTER   IX. WORKMEN  S   INSURANCE   IN   RUSSIA. 


2113 


working  days  for  such  establishments,  but  to  the  product  must  be 
added  the  usual  wages  of  a  common  unskilled  laborer  for  the  differ- 
ence between  260  and  the  normal  number  of  working  days  in  tliat  es- 
tablishment. Where  lodging  constituted  ])art  of  the  earnings  of  the 
workman,  the  sum  of  earnings  as  computed  above  must  be  increased 
by  20  per  cent,  and  in  case  of  table  board  its  actual  cost  must  be 
added.  In  no  case  must  the  earnings  so  computed  be  less  tlian  the 
average  wages  for  unskilled  labor  for  260  days.  The  same  minimum 
must  be  taken  as  a  basis  where  the  mjured  workman  was  not  receiv- 
ing any  wages.  On  the  other  hand,  if  it  can  be  proven  that  the  actual 
ordinary  or  normal  earnings  of  the  injured  were  greater  than  the  sum 
computed  according  to  the  above  rules,  these  must  be  taken  as  a 
basis.  Thus  the  minimum  wage  is  not  definitely  established,  but  is 
expressed  as  the  average  wages  for  unskilled  labor.  These  averages 
are  determined  by  the  local  provincial  administrative  offices  in  charge 
of  manufactures  or  mining,  either  for  the  entire  province  or,  when  it 
is  thought  necessary,  for  separate  districts  of  the  province,  ev6ry 
three  years,  and  separately  for  either  sex  in  the  three  age  groups: 
Children  (12  to  15  years),  youths  (15  to  17  years),  and  aduhs  (over  17 
years). 

If  the  injured  is  under  17  years  of  age,  his  pension  is  computed  at 
the  basis  of  the  wages  of  a  youth,  but  recomputed  according  to  the 
wages  of  an  adult  when  he  reaches  17  years  of  age;  when  the  injured 
is  under  15  years  of  age,  such  recomputation  must  take  ))lace  twice, 
when  he  reaches  15  and  again  when  he  reaches  17  jenrs  of  age. 

SEITLEMENT   OF   CLAIMS. 

In  excluding  cases  of  accidents  due  to  gross  negligence  from  the 
benefits  of  the  law,  the  question  of  the  cause  of  accident  creates  oppor- 
tunity for  disagreements.  Even  if  the  justice  of  the  claim  is  undis- 
puted, a  great  many  factors  evidently  influence  the  amounts  of  the 
compensation.  The  actual  amounts  are  not  fixed  by  any  administra- 
tive process;  the  law  establishes  a  claim,  for  the  proper  determination 
of  which  all  tliese  provisions  must  be  taken  into  consideration,  but 
the  claim  is  settled  either  by  voluntary  agreement  or  by  judicial  deci- 
sion. It  is  the  intention  of  the  law  to  encourage  the  former,  but  in 
order  to  safeguard  the  interests  of  the  workmen,  such  agreements 
must  be  approved  by  the  proper  authorities  familiar  with  the  law. 

The  following  procedure  is  established  with  this  object  in  view: 
Agreements  between  the  injured  pei-son  or  members  of  his  family  in 
regard  to  the  amount  of  compensation  must  be  in  writing,  signed  by 
both  parties,  and  certified  by  the  factory  inspector.  This  certifica- 
cation  is  in  the  nature  of  approval,  and  the  factory  or  minhig  ins[)ector 
must  refuse  his  certification  when  the  agreement,  in  his  opinion,  is 
obviously  and  substantially  contrary  to  the  requirements  of  the  law. 


^t- 


4 


f* 


The  original  copy  of  the  agreement  remains  with  the  factoiy  or  mine 
inspector,  while  certified  copies  are  given  to  each  party.  An  agree- 
ment thus  certified  is  binding  similarly  to  a  private  settlement  before 
a  justice  of  the  peace 

Further,  the  factory  or  mine  inspector  must  make  efforts  to  facili- 
tate such  agreements.  If  a  voluntary  agreement  has  not  been  accom- 
plished, either  party  may  petition  the  factory  or  mine  inspector  for  his 
opinion  as  to  their  rights  or  duties  in  the  case  under  the  law.  In  such 
cases  the  factory  or  mine  inspector  may  demand  additional  evidence 
and  ask  for  a  medical  examination,  and  he  may  suggest  the  proper 
conditions  for  a  settlement;  but  if,  notwithstanding  his  efforts,  the  two 
parties  can  not  be  brought  together,  or  if  the  inspector  declines  to  cer- 
tify to  the  agreement  because  an  unjust  one,  he  must  make  a  written 
statement  (''act")  to  that  effect,  stating  the  date  of  the  petition,  the 
time,  place,  and  circumstances  of  the  accident,  the  nature  of  the 
bodily  injury,  the  degree  of  disability,  or,  in  fatal  cases,  the  cause  of 
death,  the  demands  and  offer  of  the  respective  parties,  and,  finally, 
state  his  opinion  as  to  the  merits  of  the  case,  i.  e.,  the  rights  of  the 
injured  or  his  relatives  to  compensation,  and  its  amount.  Both  par- 
ties receive  certified  copies  of  this  ''act." 

Cases  in  which  voluntary  settlements  have  failed  may  be  brought 
to  trial  before  a  justice  of  the  peace  or  the  district  magistrate  {ZernsJci 
nachalnik). 

When  the  injured  is  a  minor,  and  not  living  with  his  parents  or 
guardians,  the  local  court  may  appoint  a  guardian.  The  factory  in- 
spectors may  recommend  persons  for  such  appointment.  Suits  may 
be  entered  by  the  injured  within  two  years  after  the  day  of  the  acci- 
dent, and  by  his  heirs  within  two  yeai*s  after  the  day  of  the  deatli  of 
the  injured,  as  against  the  10-year  limit  in  general  Russian  law,  but 
in  computing  this  time  limit,  the  time  elapsing  between  entermg 
the  case  with  the  factory  inspector  or  district  engineer  and  the  day  of 
furnishing  the  injured  party  a  copy  of  the  factory  inspector's  "act" 
is  omitted.  If  both  parties  have  come  to  a  voluntary  agreement, 
either  oral  or  written,  but  not  approved  in  accordance  with  the  rules 
above,  the  injured  workman  or  his  family  do  not  lose  their  right  of 
demanding  compensation  in  accordance  with  the  law,  even  if  moi^e 
than  two  years  have  elapsed,  and  all  the  time  during  which  this  volun- 
tary agreement  has  been  effective  is  left  out  of  consideration.  This 
protects  the  injured  or  his  family  from  any  settlement  which  the  pro- 
prietor may  agree  upon  with  the  view  of  living  up  to  it  only  v.  ithin 
the  two-year  limit. 

In  actions  instituted,  claims  are  entered  against  the  proprietor  of 
the  establishment,  either  at  the  place  of  the  accident,  or  at  the  place 
of  residence  of  the  proprietor  or  at  the  main  office  of  the  establish- 
ment.    Such  action  may  be  instituted  either  after  carrying  the  case 


2114 


REPORT  OF   THE  COMMISSIONER  OF   LABOR. 


through  the  office  of  the  factory  inspector,  or  without  bringing  it 
to  the  attention  of  this  officer,  but  the  law  discourages  the  latter 
procedure  by  depriving  the  claimant  in  such  cases  of  his  right  to 
receive  court  expenses.  The  same  rule  holds  good  if  the  court's 
judgment  is  for  a  compensation  no  greater  than  that  ofl'ered  by  the 
defendant  during  the  preliminary  negotiations.  But  on  the  other 
hand  the  law  endeavors  to  facilitate  just  claims  in  many  ways;  they 
are  free  from  court  fees,  must  be  conducted  under  a  simjjlified  mode 
of  procedure,  the  amount  of  attorney's  fees  is  strictly  regulated,  and 
all  contracts  for  excessive  fees  are  not  enforceable.  Appeals  against 
the  decisions  of  the  judges  of  the  first  instance  (justices  of  the  peace) 
may  be  had  to  circuit  courts  and  higher  courts  of  appeal;  in  such 
appealed  cases  the  lower  court,  upon  request  of  the  plaintiff,  may 
order  '^a  prehminary  award,"  with  or  without  bonds.  .Judgments 
obtained  from  the  courts  under  this  law  have,  a  preferred  claim  against 
the  property  of  the  defendant.  Private  settlements  of  the  cases 
brought  before  the  court  are  not  binding  ucdess  they  havt^  been  sanc- 
tioned by  the  court.  Private  arbitration  of  cases  under  this  law  is 
prohibited,  and  decisions  of  courts  of  arbitration  are  not  enforceable. 

REVISION   OF   COMPENSATION. 

Further  reconsideration  of  the  case  is  permitted  within  three  years 
after  the  compensation  has  been  granted  or  refused,  if  after  a  medical 
examination,  ordered  upon  demand  of  either  party,  changes  in  the 
condition  of  the  injured  are  found  to  have  taken  place.  Lump-sum 
settlements,  however,  can  not  be  changed  and  are  not  subject  to 
revision. 

REGULATIONS   AS   TO   METHODS    OF   PAYMENT. 

The  allowances  and  pensions  are  paid  periodically,  ns  follows: 
Payment  of  allowances  for  temporary  disabihty  must  be  made  at  the 
same  intervals  as  the  payment  of  w^ages.  The  time  of  payment  of 
pensions  for  permanent  disability  or  death  may  be  arranged  for  by 
both  parties,  but  in  absence  of  such  private  arrangemejit  the  pay- 
ments must  be  made  monthly  in  advance.  At  the  request  of  the 
persons  receiving  compensation,  payment  must  be  forwarded  to 
their  place  of  residence  at  their  expense. 

On  the  other  hand  the  pensioners  must  twice  a  year  (in  January 
and  July)  present  to  the  proprietor  of  the  establishment  or  to  his 
representative  certificates  to  the  effect  that  they  are  alive,  and  in 
case  of  widows,  that  they  have  not  remamed,  such  certificates  to  be 
filled  out  by  police  authorities,  and  unless  such  certificates  are  pre- 
sented the  employer  may  withhold  the  payments.  Such  certificates 
must  be  given  by  the  police  without  fee,  and  are  free  from  stamp 
taxes.     Unless  there  has  been  cause  for  d<day,  the  employer  must 


«T^ 


I 


CHAPTER   IX. — workmen's   INSURANCE   IN   RUSSIA.  2115 

pay  a  fine  for  delaying  the  payments,  equal  to  1  per  cent  of  the  sum 
retained  for  each  month,  and  when  the  delay  has  extended  over  more 
than  6  months,  he  may  be  forced  to  guarantee  the  payments  in  the 
future  according  to  the  same  rules  which  are  laid  down  for  cases  of 
liquidation  of  the  enterprise. 

SECURITY   OF   PAYMENTS. 

Since  the  Russian  law  does  not  introduce  any  compulsory  system 
of  insurance  and  throws  the  burden  of  compensation  upon  the  indi- 
vidual employer,  the  question  of  guaranteeing  the  payments  is  of 
great  importance.  In  case  of  voluntary  liquidation,  the  proprietor 
must  either  insure  the  beneficiaries  of  the  pensions,  to  the  amount  of 
paynients  due,  in  one  of  the  recognized  insurance  companies,  or  must 
turn  into  one  of  the  state  credit  institutions  a  sum  sufficient  to  meet 
such  payments.  Comprehensive  tables  giving  the  capitalized  value 
of  pensions  due  to  the  injured  workmen,  whether  adult,  youth,  or 
child,  to  the  widow,  and  to  relatives  in  ascending  and  descending 
line,  for  use  in  securing  such  pensions  w  ith  insurance  companies,  were 
published  by  the  Ministry  of  Interior  on  June  25  (July  8),  1905.  The 
factory  (or  mine)  inspector  must  be  notified  of  the  liquidation,  and 
also  of  the  measures  taken  to  secure  the  payment  of  these  obligations. 
In  case  of  death  of  the  proprietor  his  obligations  under  this  law  are 
transmitted  to  his  heirs.  In  case  of  voluntary  transfer  of  ownership, 
these  obligations  may  be  transferred  to  the  new  owner  with  his  writ- 
ten consent,  otherwise  the  original  proprietor  must  guarantee  the 
payments  in  the  future,  according  to  the  rules  laid  down  for  cases 
of  voluntar}^  liquidation. 

In  cases  of  bankruptcy,  enforced  liquidation,  or  public  sale  of  the 
establishment,  the  receivers  or  other  persons  in  charge  must  ascer- 
tain from  the  proprietor  and  from  the  factory  or  mine  inspector  the 
total  obligations  of  the  establishment  under  this  act.  A  computa- 
tion must  be  made  of  the  total  sum  required  to  insure  the  payment 
of  these  obligations  and  such  sum  becomes  a  preferred  claim  upon  the 
amount  received  from  the  enforced  sale.  After  the  liquidation  has 
been  accomplished,  the  factory  or  mine  inspector  must  be  informed 
as  to  the  amount  available  for  this  purpose.  He  must  indicate  what 
disposition  shall  be  made  of  these  funds,  and  in  what  insurance  or 
banking  institutions  they  may  be  deposited. 

ACCIDENT   REPORTS   AND   RECORDS. 

The  following  methods  of  procedure  are  prescribed  m  connection 
with  each  accident.  When  an  accident  occurs,  the  proprietor  or 
manager  of  the  establishment  must  immediately  communicate  the 
facts  to  the  local  police,  as  weU  as  to  the  factory  inspector  or  to  the 


mimm 


2116 


REPORT   OF   THE  COMMISSIONER  OF  LABOR. 


i 


1 1  i 


mining  inspector  (''district  engineer").  Immediately  after  receiving 
such  notice  the  local  police  must  send  an  officer  to  prepare  a  written 
report  in  presence  of  the  proprietor  or  the  manager  of  the  establish- 
ment, the  injured  person,  if  he  is  able  to  be  present,  a  physician,  the 
eyewitnesses  of  the  accident,  and  an  expert  on  the  nature  of  the  work, 
or  as  many  of  the  persons  designated  as  it  is  possible  to  summon. 
This  statement  must  contain  information  as  to  the  place  and  time  of 
the  accident,  the  names  of  the  injm^ed  persons,  and  their  occupation, 
the  names  and  addresses  of  the  eyewitnesses,  the  name  of  the  pro- 
prietor of  the  establishment,  a  description  of  the  circumstances  of  the 
accident,  as  obtained  from  the  statement  of  the  eyewitnesses  as  well 
as  the  results  of  a  personal  examination  of  the  place,  the  nature  of  the 
injuries,  and  the  statement  of  the  physician,  if  one  was  present,  and 
it  is  signed  by  all  persons  present. 

If  the  statement  is  made  without  a  plnsician,  one  must  be  invited 
by  the  proprietor  within  4  days  after  the  accident,  or  in  case  of  death, 
immediately.  The  physician  makes  a  medical  examination,  and 
makes  a  statement  either  of  the  death,  and  its  causation  by  the  acci- 
dent, or  of  the  nature  and  extent  of  the  bodily  injury  with  a  conclu- 
sion in  regard  to  the  probable  degree  of  disability.  Two  additional 
copies  are  made  both  of  the  police  '' statement"  and  the  medical  cer- 
tificate, and  one  of  each  is  given  to  the  proprietor  or  manager  and  to 
the  injured  person  or  some  member  of  his  family. 

A  record  is  kept  in  each  industrial  establishment  of  all  injmiea, 
with  statements  as  to  compensations  paid,  and  all  documents  ])ertain- 
ing  to  the  subject.  All  further  changes  in  i\i6  conditions  of  the  injured, 
such  as  recovery  from  the  injury,  or  the  propriety  of  rliscontinuing 
the  medical  treatment,  the  complete  recovery  from  disability,  the 
permanency  of  disability,  and  its  degree,  must  be  certified  by  medical 
certificate.  The  certificate  of  any  regular  practitioner  is  acceptable, 
and  if  his  decision  be  unsatisfactory,  the  police,  city  oi'  distiict  sur- 
geon may  be  called  upon  by  either  party  to  grant  these  certificates. 
A  complete  list  of  all  accidents,  with  tiie  statements  and  medical 
certificates  attached,  must  be  kept  at  each  establishment  and  presented 
to  tlie  factory  or  mining  inspector  on  demand.  Failure  to  keep  the 
necessary  records,  to  give  the  required  notice  to  the  police,  or  to  call 
in  a  physician  subjects  the  proprietor  or  manager  to  a  fine  of  from  25 
to  100  rubles  ($12.87  to  $51.50). 

FUNCTIONS   OF   THE   FACTORY   AND  MINE   INSPECIOUS. 

As  shown  above,  the  administration  of  the  law  is  placed  u])on  the 
factory  and  mine  inspectors.  This  includes  certification  and  approval 
of  the  voluntary  agreements,  explanation  and  interpretation  of  the 
law,  and  the  rights  and  duties  of  all  parties  under  it,  inspection  of 
the  accident  lists,  determination  of  average  wages  of  unskilled  labor, 


CHAPTER   IX.— WORKMEN 'S   INSURANCE   IN   RUSSIA.  2117 

nommations  of  guardians  for  minoi-s  in  cases  to  be  brou^^ht  to  fial 
certam  supervision  of  the  process  of  voluntary^  and  enforced  liquida- 
tions  etc      As  yet  the  system  of  factory  inspection  has  been  intro- 
duced only  m  European  Russia  and  four  of  the  Caucasian  provinces- 
no  factoiy  mspectors  are  provided  for  the  remaining  provinces  of 
Caucasus  and  throughout  Siberia  and  middle  Asia.     In  these  prov 
mces  the  funcdons  of  the  factoiy  inspectors  are  placed  upon  other  ad- 
mmistrative  officers,  known  as  provincial  mechanics,  but  in  view  of  the 
insufficiency  of  the  number  of  these  officers  (only  one  to  a  pro^once) 
local  judges  are  authorized  to  certify  and  approve  voluntary  settle- 
ments; m  addition,  the  injured  employees  or  their  heii^  are  per- 
mitted to  bnng  their  claims  into  court  without  any  prejudice  to  their 
-r^nfrSV  P'^.rr^/^  *^  resolution  of  the  Imperial  Council,  the 
Central  Council  of  Manufactures  and  Mines"  attached  to  the  Alin- 
istry  of  Finance  (and  since  transferred  to  the  Ministry  of  Commerce 
and  Industry)  was  directed  to  prepare  a  set  of  rules  and  regulations 
for  guidance  of  the  provincial  councils  of  manufacturer  and  mines 
of  the  factory  or  mme  inspectors,  or  the  officers  acting  in  their  places' 
where  no  factory  or  inspection  exists,  in  their  duties  under  this  law' 
buch  regulations  were  prepared  and  promulgate  by  the  minister  of 
finance  on  December  13  (26),  1903. 

Complete  fists  of  industrial  and  mining  establishments  in  each  dis- 

oTmTZfl"  '''^^^'^}'^  the  factory  or  mine  inspectors  and  kept 
on  fde  by  the  provmcial  councils  of  manufactures  and  mining  All 
establishments  subject  to  this  law  must  be  listed  whether  or  not  these 

ZuST.Z  r'^'"^'  ^"^^^'  ''  ^^^^^^  ^^  ^-^  inspection 
Doubtfu  estabhshments  must  be  entered  in  the  lists,  and  the  ques- 
tion of  he  app hcation  of  the  compensation  act  must  be  settled  bv 
the  local  council  or  referred  to  the  central  council  in  St.  Petersburg 
to  which  the  propnetor  of  the  establishment,  who  must  be  notified 
of  Its  inclusion  m  the  lists,  has  a  right  of  appeal.  Wliere  there  are 
no  factory  inspectors,  other  officers  are  instructed  to  collect  the  lists 

It  is  the  inspector's  duty  to  make  a  personal  investigation  of  everv 
mdustnal  accident  in  his  district,  which  takes  place  in  an  estab  i!  - 
f^rmal^^^^^^^^^      '  the   compensation   act,   without   waiting   for  the 

Sto TbI'in  r  '^^P^'^.P^-'  -<i  1-  --t  cooperate  with  the 
pouce  to  obtam  aU  possible  information.     It  is  his  duty  to  encoura-e 

failed  to  come  to  an  agreement,  a^  evidenced  by  a  proper  -act''  of 

iUhlT.   Yr'^'T'"''  '^^  "  *"^"^^^  *^^^  ^''^  ^tituted,  and  even 

a  rt utft  fo^'  'T  ^^^  ^'^P^^^^  nevertheless,  if  both  parties  ent^r 

fused      If  n    r        '''''^'^  agreement,  such  request  must  not  be  re- 

sed.     If  oral  agreements  are  presented  to  him  by  both  parties  he 


—4 


A 


2118 


REPOET  or   THE  COMMISSIONEK  OF  LABOR. 


can  not  declme  to  put  them  in  writing  as  a  preliminaiy  to  certifica- 
tion.    In  the  case  of  a  written  agreement,  acknowledged  by  a  notary 
appearance  of  the  agreeing  parties  is  not  necessaiy  and  the  requS 
for  certification  may  come  in  writing. 

The  inspector  must  dechne  to  certify  settlements  by  which  the 
employer  tnes  to  avoid  a  direct  obligation  imposed  by  the  law,  or 
the  employee  signs  away  one  of  his  undis,,uted  rights,  but  before 
domg  so  the  mspector  on  his  initiative  must  suggest  the  changes 
necessary  to  obtam  certification.  With  the  written  consent  of  both 
parties  he  may  certify  to  some  provision  of  the  settlements  and  except 
others.  When  requests  are  made  upon  the  inspector  by  one  party 
for  explanation  as  to  his  rights,  the  inspector  may  ask  the  other  party 
to  appear  before  him,  and  failure  to  appear  must  be  considered  as  a 
retusal  to  enter  into  a  voluntary  agreement. 

The  factory  inspectors  may  take  the  initiative  to  petition  the  court 
for  appomtment  of  the  guardian  for  minor  claunants.  In  case  of 
pending  voluntaiy  liquidation,  or  transfer  or  public  sale  of  an  estab- 
Iislmient,  the  mspector  must  remind  the  proprieto,^,  orally  or  in 
writing,  of  their  obligations  under  this  act,  and  also  inform  all  the 
beneficianes  asfar  as  possible,  of  the  coming  change  in  ownership. 
They  must  also  inform  the  official  conducting  such  liquidation  or  sale, 
of  the  obligations  under  this  law.  As  defined  by  the  regulation., 
the  duties  of  the  factory  and  mine  inspected  are  very  broad  and 
complex.  Besides  being  charged  with  almost  all  the  details  of  the 
execution  of  the  law,  they  are  practically  made  official  mediatoi^  and 
conciliators,  upon  whose  work  the  success  of  the  law  largely  depends. 

INSTRUCTION   TO   THE   POLICE. 

Rules  for  the  regulation  of  the  police  authorities  in  connection 
with  the  law  were  approved  by  the  ministere  of  interior  and  of  war 
on  December  11  (24),  1903.  The  obligations  of  the  police  are  mainly 
limited  to  making  an  official  record  of  the  accident  as  soon  after  its 
occurrence  as  possible  and  gathering  at  the  place  of  its  occ.rrence 
all  the  possible  information  from  the  eyewitnesses.  These  regula- 
tions to  the  factory  inspectors  and  the  police  were  also  intended  to 
materially  improve  the  statistics  of  accidents. 

INSURANCE. 

Willie  the  law  estabfishes  the  individual  fiabifity  of  the  employer 
and  all  proposals  to  estabhsh  a  system  of  com,,ulsorv  insurance  were 
declared  premature,  the  advantages  of  insurance  were  cleariv  recoe- 
nized  and  the  mtroduction  of  a  system  of  <ompulsory  insurance 
agamst  accidents  has  only  been  deferred  until  a  more  propitious  time 
ihe  law  tends  to  encourage  insurance  not  only  by  permitting  it  but 
also  by  providing  that  the  employer  may  be  entirely  refieved  from 


' 


CHAPTER   IX.— workmen's  INSURANCE  IN  RUSSIA.         2119 

all  obligation  imposed  if  he  insures  his  employees  in  an  authorized 
msurance  company  under  conditions  no  less  favorablT  th«n  Ti 
secured  by  the  law.    Both  private  insurance  compos  and  mSu3 
msurance  societies  are  authorized,  but  both  must  conform  to  tl^S 

uary  4,  1904  .     These  rules  are  discussed  more  fully  in  connection 
with  the  section  on  private  insurance  against  accidents     "°'^""''°" 

SPECIAL  PBOVISION  FOE  WOEKKEN  EMPIOYED  BY  THE  STATE. 

The  industrial  undertakings  of  the  Russian  Central  Government 
have  durmg  the  last  two  centuries  been  extensive,  and  ^13  o 

eXilSsiLrt'T  ^'  '""'^  ^^"^*"^'  eUablisWnTs  fo 
results  of  industrial  accidents  was  recognized  many  years  before  anv 

steps  were  taken  for  a  general  law  to  cover  privaLLdertri   ' 

CIVIL   EMPLOYEES   OF   NAVY-YARDS. 

.J^^  tr^'?  employed  in  the  navy-yards  and  their  famifies  were 
ratl?hv^h    ,'  '"  ^  P^T^e^l  for  in  case  of  accidentaHnTuries  or 
deadi,  by  the  law  o   October  8  (20),  1862,  wliich  remained  L  Lee 
untd  after  tiie  apphcation  of  the  provisions  of  the  general  com 
pensation  act  of  1903  to  this  class  of  state  employees  Tccordr; 

or  pLrrCrTh  T^'^"*  ^'^^  *'^"'*  ^  determine  thtS 
lil  !i  •  Tf'  ^^^  '*^  ^^  P«^ed  48  years  ago  and  estali- 
Lshed  pensions  which  have  remained  unchanged      The Taw^reserved 

tts  Si' nr"  •"T*™'--'  ioumeymen,  aLTpp;: 
fXwing  scaL?""'  '"°"'^*^  ""'  P™-^^  ^  -*='''  -«-ding  'to'  the 

ANNUAL  PENSIONS  GRANTED  TO  EMPLOYEES  OE  NAVY-YARDS.  BY  CLOSES 


Class. 


Annual  pension  paid  to— 


For  total  loss  of  sight. 


4. 


thougli  not  sufflcien? for  supTOrt  ^  ^  '™'  *""«  "^^' 

8t  some  other  wMu^Uonl';^.  !^.^    . '  »'^<"«>t  »mount  for  support 


se«=i-i~Hss;= 


-40 


p^>r^ 


2118 


REPORT  OF   THE  COMMISSIONER   OF  LABOR. 


can  not  decline  to  put  them  in  writing  as  a  preliminary  to  certifica- 
tion. In  the  case  of  a  written  agreement,  acknowledged  by  a  notary, 
appearance  of  the  agreeing  parties  is  not  necessary  and  the  request 
for  certification  may  come  in  writing. 

The  inspector  must  decline  to  certify  settlements  by  which  the 
employer  tries  to  avoid  a  direct  obligation  imposed  by  the  law,  or 
the  employee  signs  away  one  of  his  undisputed  rights,  but  before 
doing  so  the  inspector  on  his  initiative  must  suggest  the  changes 
necessary  to  obtain  certification.  With  the  written  consent  of  both 
parties  he  may  certify  to  some  provision  of  the  settlements  and  except 
others.  When  requests  are  made  upon  the  inspector  by  one  party 
for  explanation  as  to  his  rights,  the  inspector  jnay  ask  the  other  party 
to  appear  before  him,  and  failure  to  appear  must  be  considered  as  a 
refusal  to  enter  into  a  voluntary  agreement. 

The  factory  inspectors  may  take  the  initiative  to  petition  the  court 
for  appointment  of  the  guardian  for  minor  claimants.  In  case  of 
pending  voluntary  liquidation,  or  transfer  or  pubhc  sale  of  an  estab- 
lishment, the  inspector  must  remind  the  proprietors,  orally  or  in 
writing,  of  their  obligations  under  this  act,  and  also  inform  all  the 
beneficiaries,  as  far  as  possible,  of  the  coming  change  in  ownership. 
They  must  also  inform  the  ofiicial  conducting  such  liquidation  or  sale, 
of  the  obligations  under  this  law.  As  defined  by  the  regulations, 
the  duties  of  the  factory  and  mine  inspectors  are  very  broad  and 
complex.  Besides  being  charged  with  almost  all  the  details  of  the 
execution  of  the  law,  they  are  practically  made  official  mediators  and 
conciliators,  upon  whose  work  the  success  of  the  law  largely  depends. 

INSTRUCTION   TO   THE    POLICE. 

Rules  for  the  regulation  of  the  police  authorities  in  connection 
with  the  law  were  approved  by  the  ministei-s  of  interior  and  of  war 
on  December  11  (24),  1903.  The  obligations  of  the  police  are  mainly 
limited  to  making  an  official  record  of  the  accident  as  soon  after  its 
occurrence  as  possible  and  gathering  at  the  place  of  its  occurrence 
all  the  possible  information  from  the  eyewitnesses.  These  regula- 
tions to  the  factory  inspectors  and  the  police  were  also  intended  to 
materially  improve  the  statistics  of  accidents. 


INSURANCE. 

Wliile  the  law  establishes  the  individual  liability  of  the  employer, 
and  all  proposals  to  establish  a  system  of  compulsory  insurance  were 
declared  premature,  the  advantages  of  insurance  were  clearly  recog- 
nized and  the  introduction  of  a  system  of  compulsory  insurance 
against  accidents  has  only  been  deferred  until  a  more  propitious  time. 
The  law  tends  to  encourage  insurance  not  only  by  permitting  it  but 
also  by  providing  that  the  employer  may  be  entirely  reHeved  from 


CHAPTER   IX. workmen's   INSURANCE  IN  RUSSIA.  2119 


all  obligation  imposed  if  he  insures  his  employees  in  an  authorized 
insurance  company  under  conditions  no  less  favorable  than  those 
secured  by  the  law.  Both  private  insurance  companies  and  mutual 
insurance  societies  are  authorized,  but  both  must  conform  to  the  rules 
as  laid  down  by  the  minister  of  interior  on  December  22,  1903  (Jan- 
uary 4,  1904).  These  rules  are  discussed  more  fully  in  connection 
with  the  section  on  private  insurance  against  accidents. 

SPECIAL  PROVISION  FOR  WORKMEN  EMPLOYED  BY  THE  STATE. 

The  industrial  undertakings  of  the  Russian  Central  Government 
have  during  the  last  two  centuries  been  extensive,  and  the  need  of 
compensating  the  employees  of  these  industrial  establishments  for 
results  of  mdustrial  accidents  was  recognized  many  years  before  any 
steps  were  taken  for  a  general  law  to  cover  private  undertakings. 

CIVIL   EMPLOYEES   OF   NAVY- YARDS. 

The  workmen  employed  in  the  navy-yards  and  their  families  were 
among  the  first  to  be  provided  for  in  case  of  accidental  injuries  or 
death,  by  the  law  of  October  8  (20),  1862,  which  remained  in  force 
until  after  the  apphcation  of  the  provisions  of  the  general  com- 
pensation act  of  1903  to  this  class  of  state  employees.  According 
to  the  law  of  1862,  all  cases  of  disabihty  or  death  caused  by  acci- 
dents were  compensated  without  any  effort  to  determine  the  fault 
or  place  the  blame.  The  law  was  passed  48  years  ago,  and  estab- 
fished  pensions  which  have  remained  unchanged.  The  law  preserved 
the  distinction  between  masterworkmen,  journeymen,  and  appren- 
tices, with  different  amounts  of  pensions  to  each,  according  to  the 
following  scale: 

ANNUAL  PENSIONS  GRANTED  TO  EMPLOYEES  OF  NAVY-YARDS,  BY  CLASSES. 

[Source:  Otvietstvennost  predpriminatelei  za  uvlechla  i  smert  rabochikh,  V.  P.  Litwinov-FalinskiL 

1900.] 


A-nnual  pension  paid  to — 


Class. 


1.  For  total  loss  of  sight 

2.  Loss  of  life,  or  of  two  extremities,  or  such  injury  as  will  necessitate  con- 

stant care  of  injured  the  rest  of  his  life 

3.  Loss  of  one  extremity  or  such  Injury  as  will  cause  total  disability  to 

earn  a  living  but  does  not  necessitate  care  of  injured 

4.  Injury  resulting  in  disability  to  continue  employment  in  the  navy- 

yards,  but  not  altogether  destroying  abUity  to  earn  some  wages, 

though  not  sufficient  for  support '. 

5  Injury  re-sulting  in  disability  to  continue  in  employment  in  navy-yard, 
but  leaving  the  victim  able  to  earn  a  sufficient  amount  for  8upi)ort 
at  some  other  occupation 


15.45 


10.30 


Pensions  of  the  fourth  and  fifth  groups  were  either  permanent  or 
temporary,  depending  upon  the  duration  of  disability  resulting  from 
injury.     When  death  resulted  from  the  injury  the  widow  received 


67725°— VOL  2—11- 


-40 


2120 


REPOBT   OF   THE   COMMISSION EB   OF  LABOB. 


one-half  of  the  full  pension,  as  indicated  above,  and  each  of  the  chil- 
dren one-sixth,  so  that  the  full  pension  was  granted  to  tlie  family 
only  where  there  were  at  least  tliree  children.  Wlien  the  children 
remained  orphans  at  the  death  of  the  injured  workman,  each  child 
was  entitled  to  an  equal  share  of  the  pension,  but  not  more  than  one- 
fourth  each,  so  that  the  full  pension  was  granted  only  when  four 
orphans  remained.  The  widow  was  entitled  to  the  pension  until 
death  or  remarriage,  provided  she  led  a  sober  and  moral  life,  or  until 
she  entered  a  government  asylum.  Male  rhildren  received  their 
pension  until  14  years  of  age  and  female  children  until  15  years  of 
age;  but  when  crippled  or  suffering  from  incurable  diseases,  and 
therefore  unable  to  earn  a  hving,  the  pension  was  continued  for  life. 
The  dependents  were  entitled  to  a  pension,  not  only  when  death 
resulted  from  the  injury,  but  in  all  cases  of  death  of  a  workman 
receiving  a  pension.  The  procedure  was  entirely  through  tlie  officers 
administering  the  navy-yards.  On  May  17  (:^0),  1904,  the  provisions 
of  the  law  of  June  2  (15),  1903,  with  some  modification,  were  substi- 
tuted for  the  law  of  October  8  (20),  1862,  while  on  March  6  (19), 
1906,  a  special  act  was  passed. 

STATE   MINES   AND   METALLURGICAL    ESTABLISHMENTS. 

Labor  in  state  mines  and  metallurgical  estabhshments  before  the 
emancipation  of  serfs  in  1861  was  obhgatory  for  the  peasants  of  cer- 
tain mining  districts.  Since  1857  the  obUgation  of  the  State  to  care 
for  the  injured  and  the  invaUd  was  recognized,  though  the  compen- 
sation was  limited  to  2  poods  (72.2  pounds)  of  flour  for  an  adult  and 
1  pood  (36.1  pounds)  of  flour  for  a  minor  monthly,  and  money  pen- 
sions varying  from  1.87  to  72  rubles  (S0.96  to  $37.08)  per  annum  for 
the  injured  workman,  from  1.72  to  21  rubles  ($0.89  to  $10.82)  per 
annum  to  the  widow,  and  1.72  to  10  rubles  ($0.89  to  $5.15)  per  annum 
to  each  daughter.  By  the  law  of  March  8  (20),  1861,  the  relations 
between  the  state  mines  and  metallurgical  estabhshments  and  the 
peasant  population  of  the  mining  districts  was  regulated  anew,  and 
the  law  provided  for  mmers'  mutual  benefit  societies  for  the  care  of 
the  sick,  aged,  invahds,  widows,  and  orphans.  An  amendment  to 
this  law  stated  that  in  case  of  death  or  disability  due  to  an  industrial 
accident,  pensions  and  allowances  should  be  paid  from  the  treasury 
of  the  establislmients.  This  was  interpreted  to  mean  that  the  old 
provisions  of  the  law  of  1857  were  to  be  applied. 

A  suit  instituted  in  1894  by  an  injured  workman  led  to  a  decision 
that  the  law  of  1857  was  inapplicable,  and  that  the  injured  workman 
had  a  right  to  recover  under  the  provisions  of  the  general  laws.  A 
plan  of  a  special  law  providing  for  such  compensation  of  the  employees 
of  the  state  mines  and  metallurgical  establishments  was  being  i)re- 
pared  in  the  Ministry  of  Agriculture  and  State  Domains,  embodying 


/ 


CHAPTER  IX.— WORKMEN 'S  INSURANCE   IN   RUSSIA.         2121 

the  modern  principles  of  such  compensation,    and   this   plan   was 
finally  adopted  with  certain  modifications  on  May  15  (28),  1901. 

This  act  preceded  by  more  than  two  years  the  general  compensation 
act  of  1903,  and  for  some  time  in  the  history  of  the  deliberations 
leading  up  to  that  act,  served  as  a  model.  The  law  is  still  in  force 
and  IS  much  broader  than  the  act  of  1903  in  many  points,  so  that 
the  employees  of  the  government  mines  and  metallurgical  establish- 
ments are  the  best  protected  against  the  results  of  industrial  accidents. 
One  of  the  most  hnportant  points  of  distinction  is  found  in  the 
mclusion  of  disability  from  trade  diseases,  for  which  the  same  pen- 
sions are  paid  as  for  injuries  through  accidents. 

Another  distinction  of  unportance  is  that  only  such  injuries  and 
occupational  diseases  are  excluded  from  the  benefits  of  the  law  as 
have  been  intentionally  brought  about  by  the  victim;  so  that  negh- 
gence,  even  if  classified  as  gross,  does  not  deprive  the  injured  person 
of  the  compensation.  In  case  of  a  fatal  result  the  widow  and  orphans 
do  not  lose  the  right  to  compensation,  even  if  the  fatal  accident  or 
disease  had  been  brought  about  intentionally. 

The  general  level  of  compensation  for  the  permanently  disabled 
employee,  the  widow  or  dependent  widower,  children  or  relations 
under  ascending  fines  is  the  same  as  in  the  general  law  of  1903,  i.  e., 
two-thh-ds  of  the  pension  for  total  disability,  and  a  corresponding 
amount,  namely,  two-thu-ds  of  the  difference  between  the  old  and 
the  new  rate  of  wages,  in  case  of  partial,  though  permanent,  disability 
which  permits  his  reemployment  by  the  state  mines  at  a  lower  rate  of 
wages.  Thus  the  degree  of  disabifity  is  judged  (in  distinction  to  the 
methods  under  the  general  law)  primarily  with  reference  to  his 
employment  m  the  same  service  and  not  with  regard  to  his  general 
ability  to  work.  The  difi"erence  is  one  of  decided  advantage  to  the 
employee  of  the  state  mines.  i 

Only  when  the  injured  workman  sufl-ering  from  such  partial  disa- 
bifity dechnes  an  offer  of  employment  must  his  pension  be  computed 
a^-cordmg  to  the  degree  of  disabifity,  but  in  no  case  must  it  then 
exceed  one-half  of  the  pension  for  total  disabifity;  that  is,  33 J  per 
cent  of  the  average  annual  earnings. 

The  a^t  of  May  15  (28),  1901,  does  not  concern  itself  with  tJie 
numerous  cases  of  transitory  disabifity  from  minor  accidents  or 
ailments,  because  the  fraternal  organizations  of  the  miners  take  care 
of  that  part  of  the  problem,  but  in  the  provisions  for  reexamination 
and  revision  of  the  compensation  award  during  the  first  two  years 
after  the  accident  and  for  the  discontinuance  of  the  pension  in  case 
of  reestablished  abifity  to  work,  account  is  taken  of  briefer  periods 
of  disability.  In  case  of  the  accident  resulting  fatally,  the  pension 
of  the  widow  or  the  dependent  \vidower  amounts  to  one-half  of  the 
pension  for  permanent  disabifity,  the  children  under  16  years  of  age 


2122 


REPORT   OF   THE   COMMISSIONER  OF   LABOR. 


I 


receive  one-sixth  of  the  full  i)ension  each,  but  not  more  than  one-half 
of  the  full  pension  altogether,  the  pensions  of  orphans  being  dou])le 
that  amount.  The  pensions  of  the  children  run  until  the  completion 
of  the  sixteenth  year,  but  when  permanently  disabled  from  earning  a 
living  because  of  an  incurable  disease  tfley  may  receive  the  pension 
for  life.  The  pension  to  the  injured  is  discontinued  at  his  reemploy- 
ment at  the  old  wage,  at  his  reception  in  a  state  hospital,  at  his 
death,  at  his  entrance  into  a  monastery,  or  at  the  cure  of  the  disease. 
The  pension  of  the  widow,  widower,  or  daughters  stops  at  marriage. 
The  pensions  are  not  affected  by  any  other  benefits  which  the  injured 
or  his  heirs  may  be  receiving  either  from  a  mutual  benefit  fund  or  from 
the  treasury  because  of  any  special  law  or  grant. 

The  method  of  computation  of  wages  to  determine  the  amount  of 
pension  is  also  different.  It  is  based  upon  tht^  average  annual  earn- 
ings for  three  years  preceding  the  accident,  of  the  injured  employee 
himself,  or  an  employee  of  tlie  same  group  if  tlie  injured  person  had 
not  been  employed  this  length  of  time. 

The  application  of  the  law  is  very  much  simplified,  being  left 
almost  entirely  to  the  administration  of  the  state  mines  and  metal- 
lurgical establishments,  the  final  appeal  being  to  the  Ministry  of 
Agriculture  and  State  Domains  (now  the  Ministry  of  State  Domains). 
The  medical  questions  are  left  to  the  discretion  of  the  official  physi- 
cian of  the  mining  establishment. 

LEGISLATIVE   ACTS,    1904   TO    1906. 

The  majority  of  government  employees  are  protected  through 
an  extension  of  the  principles  of  the  compensation  act  by  separate 
enactments  during  the  years  1904  to  1906,  in  accordance  with  the 
demand  contained  in  the  original  law  of  1903.  Considerable  clianges 
were  made  in  some  of  the  features  of  the  law  as  appHed  to  government 
employees.  The  Ministry  of  War  was  first  with  a  plan  for  the  civil 
employees  of  the  arsenals  and  other  works  of  the  artillery  depart- 
ment. With  the  compensation  act  of  1903  as  a  basis,  a  special  act 
was  elaborated  and  approved  on  June  9  (22),  1904.  All  further 
enactments  in  regard  to  other  classes  of  government  employees  refer 
to  this  aict  of  June  9  (22),  1904,  and  extend  its  provisions,  and  not 
those  of  the  law  of  June  2  (15),  1903. 

On  June  6  (19),  1905,  a  law  was  accepted  covering  employees  of 
manufacturing,  mining,  and  metallurgical  establishments  owned  by 
the  Crown  and  the  appanages  (personal  property  of  the  Emperor 
and  of  the  members  of  the  imperial  family);  on  December  19,  1905 
(January  1,  1906),  the  wage- workers  and  civil  employees  of  the 
state  printing  office;  on  March  6  (19),  1906,  the  corresponding  classes 
of  employees  of  the  senate  printing  office  and  the  employees  of  the 
navy  department;  and  on  April  19  (May  2),  1906,  employees  of  the 


CHAPTER   IX.— workmen's  INSURANCE   IN   RUSSIA.         2123 

government  establishments  connected  ^ith  the  department  of  com- 
merical  ports.  Certain  additional  decrees  were  pubHshed  in  con- 
nection with  these  laws  at  various  dates: 

(1)  Instructions  referring  to  the  application  of  the  law;  for  the  war 
department  on  April  29  (May  12),  1905;  for  the  employees  of  the 
Crown  on  April  21  (May  4),  1906;  for  the  employees  of  the  navy 
department  on  December  28,  1906  (January  10,  1907). 

(2)  Rules  to  determine  the  degree  of  disabihty  for  the  war  depart- 
ment on  April  29  (May  12),  1905;  for  the  navy  department  on  Decem- 
ber 28,  1906  (January  10,  1907);  these  are  identical  with  those  issued 
in  connection  with  the  law  of  June  2  (15),  1903;  the  same  rules  are 
made  appUcable  to  the  employees  of  all  other  establishments  covered 
by  these  laws. 

(3)  Rules  for  medical  examination  of  new  appointees,  with  lists 
of  diseases  completely  or  conditionally  disqualif3dng  appHcants  for 
appointment:  In  the  war  department,  April  29  (May  12),  1905;  for 
the  establishments  of  the  Crown,  December  16  (29),  1905,  (practically 
identical  with  those  of  the  war  department) ;  for  the  senate  prmting 
office,  June  20  (July  3),  1906,  (identical  with  those  of  the  state  prm^ 
ing  office);  for  the  navy  department,  December  28,  1906  (January 
10,  1907),  (almost  identical  with  those  of  the  war  department). 

To  indicate  the  extent  of  modifications  introduced  in  the  law  of 
June  9  (22),  1904,  it  is  sufficient  to  say  that  of  the  53  sections  of  the 
original  law  17  sections  remained  unchanged;  18  sections  were 
omitted,  and  18  more  or  less  modified,  mostly  in  language,  but 
somewhat  in  substance,  wliile  14  new  sections  were  added  in  place  of 
those  omitted.  In  general  the  rate  of  pensions  and  allowances 
remained  the  same,  while  the  procedure  was  considerably  modified, 
since  the  government  industrial  establishments  are  not  subject  to  the 
supervision  of  the  factory  or  mine  mspectors.  But  in  addition  to 
these  administrative  details  some  important  changes  were  made  in 
the  most  essential  provisions  of  the  law. 

Complaint  has  been  made  that  the  denial  of  compensation  to 
workmen  guilty  of  "gross  negligence,  which  can  not  be  justified  by 
the  conditions  and  circumstances  of  work,"  was  one  of  the  weak 
points  of  the  law  of  June  2  (15),  1903.  Tliis  exception  was  only 
partly  preserved  in  the  law  of  June  9  (22),  1904,  concerning  the 
employees  of  arsenals,  which  provided  that  when  such  accident 
results  fatally  the  war  minister  may,  under  exceptional  circum- 
stances, allow  the  regular  pensions  to  the  members  of  the  family. 
In  all  later  enactments  in  regard  to  other  classes  of  government 
employees  all  references  to  ''gross  neghgence"  were  omitted,  and 
only  injuries  intentionally  self-inflicted  are  excepted. 

No  less  important  is  the  inclusion  of  the  occupational  diseases 
with  the  injuries  compensated.     This  apphes  to  all  classes  of  govern- 


2124 


REPORT   OF   THE  COMMISSIONER  OF  LABOR. 


ment  employees  affected  by  the  laws  passed.  No  definite  list  of 
trade  diseases  is  given,  but  disability  due  to  all  injuries  caused  by 
the  work,  or  resulting  from  it,  entitles  the  employee  to  a  pension. 
As  only  permanent  disability  or  death  from  trade  diseases  is  com- 
pensated, temporary  allowances  are  not  given.  Death  resulting 
from  such  injury  entitles  the  members  of  the  family  to  pensions 
under  the  same  conditions  as  death  from  accidental  injury. 

This  extension  of  the  conception  of  accidental  injury  necessitated 
complete  records  of  the  health  of  each  employee,  obtained  by  means 
of  medical  examinations  at  the  beginning  of  employment  and  also 
wherever  an  injury  to  health  is  claimed.  On  the  other  hand,  to 
guard  against  the  excessive  payments  of  pensions  due  to  injuries  to 
health,  a  certam  standard  of  health  is  required  at  the  time  of  entering 
employment,  and  Usts  of  diseases  disqualifying  from  employment  in 
the  governmental  establishments  have  been  pubHshed  in  connection 
with  each  extension  of  the  law  to  certain  classes  of  government 
employees.  This  list  includes  the  employees  of  the  arsenal,  the 
establishments  of  the  Crown,  and  of  the  navy  department. 

1.  Grave  incurable  disarrangements  of  nutrition,  resulting  from  protracted  and 
Berious  diseases  (malaria,  scurvy,  etc.),  or  from  chronic  poisonings  by  metals,  alka- 
loids, alcohol,  or  other  poisons. 

2.  All  acute  contagious  diseases,  and  chronic  contagious  diseases  during  the  con- 
tagious period. 

3.  Pronounced  tubercular  affections  of  lymphatic  gland,  scrofulous  with  e welling* 
hardening,  suppuration,  ulceration,  and  other  tubercular  affections. 

4.  Elephantiasis  in  the  pronounced  stages  of  development. 

5.  Leprosy. 

6.  Chronic  rheumatism,  deforming  inflammation  of  joints  with  hardening,  contrac- 
tions, and  other  permanent  results. 

7.  Leucaemia,  malignant  anaemia,  and  bleeding  diathesis. 

8.  Addison's  disease. 

9.  Diabetic  or  nondiabetic  polymresis. 

10.  All  malignant  tumors.  • 

11.  Benign  tumors,  when  interfering  with  work  or  with  the  function  of  important 
organs. 

12.  Myx oedema. 

13.  Lupus  vulgaris,  mycosis  fungoides,  multiple  molluscum  fibrosum,  pemphigus 
chronicus,  scleroderma,  prurigo,  ichthyosis,  psoriasis  vulgaris,  and  other  chronic  skin 
diseases  accompanied  with  grave  disturbances  of  general  nutrition. 

14.  Aggravated  cases  of  pediculosis  capitis,  with  ulcers  and  cruste. 

15.  Chronic  ulcers  of  syphilitic,  scurvic,  or  tubercular  origin. 

16.  Chronic  bone  diseases,  their  complications  and  results;  necrosis,  caries,  cold 
abscesses,  affections  of  muscles,  tendons,  and  cartilages. 

17.  Aneurisms  of  large  vessels. 

18.  Epilepsy,  hystero-epilepsy. 

19.  Unilateral  paralysis,  paralysis  of  one  upper  or  both  lower  extremities. 

20.  St.  Vitus'  dance,  paralysis  agitans,  and  other  chronic  general  twitching  affec- 
tions. 

21.  Chronic  neuritis  and  neuralgia,  interfering  with  work. 

22.  Diseases  of  spinal  cord  and  its  membranes. 

23.  Idiocy,  insanity,  and  mental  weakness  of  all  stages  or  forms. 


CHAPTER  IX. — workmen's   INSURANCE   IN   RUSSIA.  2125 

24.  Grave  forms  of  hysteria  and  traumatic  neurosis. 

25.  Progressive  muscular  atrophy. 

26.  Basedow's  disease. 

27.  Bronchial  asthma. 

28.  Scars  of  eyelids,  keeping  up  inflammation  of  cornea  or  conjunctiva. 

29.  Well  defined  granular  conjunctivitis,  with  deep  infiltration.  . 

30.  Well  defined  chronic  catarrh  of  the  conjunctiva  with  enlarged  follicles  and 
swelling. 

31.  Adhesions  between  the  eyelids,  or  between  either  and  the  eyeball  in  one  or 
both  eyes,  when  interfering  with  sight  or  with  the  free  motion  of  the  eyeball. 

32.  Decrease  of  over  one-half  in  the  power  of  sight,  notwithstanding  correction  by 
glasses,  because  of  permanent  changes  in  the  eye. 

33.  Permanent  paralysis  of  the  motor  nerves  of  the  eyelids  or  eyeballs. 

34.  Purulent  discharge  from  one  or  both  ears,  resulting  from  deep  destructive  afifec- 
tions  of  the  middle  ear. 

35.  Complete  deafness  of  both  ears,  or  such  limitation  of  hearing  that  the  examined 
workman  can  not  hear  a  low  voice  at  a  distance  of  1  arsheen  (2J  feet)  and  a  loud 
voice  at  a  distance  of  6  arsheens  (14  feet). 

36.  Loss  of  hearing  and  speech  (deaf-mutes). 

37.  Tumors  of  pharynx,  larynx,  or  nose,  when  subject  to  bleeding,  or  interfering 
with  deglutition  or  respiration. 

38.  Organic  diseases  of  larynx  or  trachea,  interfering  with  speech,  respiration,  or 
deglutition. 

39.  Stricture  of  oesophagus. 

40.  Chronic  catarrh  or  respiratory  ducts,  with  failure  of  general  nutrition:  bron- 
chiectasis and  well-defined  pulmonary  emphysema. 

41.  Tuberculosis,  chronic  pneumonitis,  and  pleuritis. 

42.  Organic  diseases  of  heart,  pericardium,  aorta,  ahd  pulmonary  arteries. 

43.  Organic  diseases  of  peritoneum,  liver,  epleen,  stomach,  intestines,  kidneys, 
and  other  abdominal  or  pelvic  organs,  with  disturbance  of  function  and  of  general 
nutrition. 

44.  Abdominal  hernia  of  any  degree.  (Dilatation  of  the  inguinal  canal  without 
protrusion  of  internal  organs  is  not  to  be  considered  a  hernia.) 

45.  Prolapse  of  all  layers  of  the  rectum  without  pressure,  rectal  fistula,  or  stricture 
of  rectum  or  anus. 

46.  Abnormal  anus. 

47.  Diseases  of  the  genito-urinary  organs,  leading  to  uncleanlineso. 

48.  Diseases  of  vertebra,  curvature  of  vertebra  columns  or  pelvis,  when  interfering 
with  work. 

49.  Absence  of  both  feet. 

50.  Considerable  dilatation  of  veins,  with  formation  of  many  large  knots,  interfering 
with  circulation  or  threatening  the  integrity  of  the  walls  of  the  blood  vessels. 

51.  Absence  of  one  thumb,  or  two  fingers  on  one  hand,  when  interfering  with  work. 

52.  Supernumerary  fingers,  curvature  of  fingers,  contractions,  or  other  deformities, 
when  interfering  with  free  action  of  hand. 

53.  Prolapse  of  vulva  and  uterus. 

54.  Grave  affections  of  uterus  or  appendages,  or  the  cellular  tissue  of  the  pelvis,  or 
pelvic  peritoneum. 

55.  Pregnancy,  during  the  last  three  months,  and  four  weeks  after  childbirth. 

A  modified  list,  much  briefer  and  less  severe  in  its  restrictions,  is 
applied  to  the  two  printing  offices,  where  much  less  physical  strength 
is  demanded  of  the  employees,  because  of  the  lighter  nature  of  the 
work.    The  list  includes,  briefly: 


2126 


REPORT  OF   THE  COMMISSIONER   OF   LABOR. 


Contagious  diseases,  and  primarily  syphilis  and  tuberculosis;  and 
general  noncontagious  diseases,  especially  general  disarrangenienta  of 
nutrition   because    of    chronic  lead,    alcohol,    or  other    poisoning; 
tumors,  malignant  or  benign;  all  mental  diseases;  organic  or  func- 
tional diseases  of  the  central  nervous  system,  organic  heart  diseases 
knotty  dilations  of  vems  and  varicose  ulcers ;  such  diseases  of  the 
respiratory  ducts  as  interfere  with  respiration  or  speech,  chronic 
pneumonia  and  pleurisy;  purulent  bronchitis  and  emphysema;  such 
digestive  diseases  as  have  produced  evident  disturbances  of  nutri- 
tion; u-reducible  hernia,  or  such  as  can  not  be  supported  by  a  truss; 
genito-urinary  diseases  which  threaten  to  cause  early  working  dis- 
ability; diseases  of  the  bones,  muscles,  joints;  chronic  contagious 
eruptions,  lupus  of  the  face;  such  scars,  or  unhealed  ulcers,  as  limit 
the  mobility  of  members,  blennorheic  eye  infections;  trachoma  and 
conjunctival  scars;  decrease  of  the  power  of  sight;  everted  or  uiverted 
eyelids;  purulent  otitis  media;  considerable  decrease  of  sense  of  hear- 
ing.    While  the  list  is  comprehensive,  in  the  majority  of  diseases  tlie 
addition  of  the  qualifymg  phrase  'Vhen  interfering  with  the  per- 
formance of  duties"  greatly  reduces  the  stringency  of  the  regulations 
and  simply  establishes  the  rule  that  only  men  physically  able  to  per- 
form the  work  satisfactorily,  and  not  likely  to 'lose  then-  working 
ability  m  the  near  future,  may  be  given  employment. 

While  the  general  law  includes,  in  addition  to  workmen,  the  tecli- 
nical  employees  only,  all  laws  in  regard  to  government  establish- 
ments include  aU  civil  employees  receiving  a  remuneration  at  a  rate 
of  not  more  than  1,500  rubles  (S772.50)  per  annum. 

A  change  of  some  importance  consists  m  granting  to  orphans  who 
through  illness  or  deformity,  are  incapacitated  from  earning  a  living' 
pensions  for  life  instead  of  to  the  completion  of  the  sixteenth  year 
^  Payment  of  pensions  for  permanent  disabUitv  is  discontmued  dur- 
ing the  time  the  injured  is  reemployed  in  the  same  establishment  if 
the  wages  paid  him  are  not  smaller  than  before.  When  such  wac^es 
are  smaUer,  the  pension  is  equal  to  only  two-thirds  of  the  difference^ 

The  pensions  granted  are  paid  irrespective  of  anv  subsidies  or  pen- 
sions which  the  pensioner  may  receive  from  the  Government  or  anvone 
else. 

The  substitution  of  a  lump-sum  payment  for  the  pensions  is  not 
permitted  when  the  pension  exceeds  24  rubles  ($12.36)  per  annum 
It  IS  the  practice  in  private  industrial  establishments  to  agree  upon 
lump-sum  payments,  but  these  are  not  considered  to  be  in  the  best 
interests  of  the  workmen. 

The  methods  of  administration  of  the  laws  have  been  considerably 
changed,  since  the  government  estabhshments  are  not  subject  to  the 
]unsdiction  of  the  factory  or  mine  inspectors  to  whom  the  larger  share 


1 


CHAPTER   IX. workmen's   INSURANCE   IN   RUSSIA.  2127 

in  the  administration  of  the  law  of  1903  is  intrusted.     These  func- 
tions are  intrusted  to  the  administrative  officers  of  the  establishments; 
a  conimittee  of  three  members  is  organized  for  this  purpose  \^'ith  the 
superintendent  of  the  estabhshment  as  chairman,  who  acts  inde- 
pendently in  case  of  emergency.     Thus,  notice  of  accident  must  be 
given  and  also  apphcation  for  pensions  or  allowances  made  to  him. 
He  also  grants  allowances  for  temporary  disabihty,  the  cost  of  medical 
treatment,  or  the  funeral  expenses,  unless  he  prefei-s  to  refer  them  to 
the  committee.     Cases  of  permanent  pensions  for  death  or  permanent 
disabihty,    accompanied    by  all    documentary    evidence,    must   be 
referred  to  the  committee,  which  renders  a  written  decision,  giving 
reasons  for  such,  and  the  superintendent  acts  upon  this  decision. 
The  procedure  is  different  from  that  of  the  law  of  1903,  wliich  requires 
friendly  agreements  between  both  parties,  wliile  here  a  purely  admin- 
istrative order  takes  its  place.     The  claimant  can  fUe  objections  to 
the  decision  witliin  two  months  from  the  day  of  receiving  notice  and 
demand  reconsideration  of  the  case.     The  committee  must  act  upon 
receiving  such  an  objection,  and  must  give  an  independent  consider- 
ation of  the  case  within  thirty  days.     If  stiU  dissatisfied,  the  claimant 
may  choose  one  of  two  ways:  He  may  either  carry  the  case  to  the 
head  of  the  ministry  in  whose  department  he  is  employed  or  enter  a 
suit  agamst  the  Government.     The  use  of  one  of  these  two  methods 
prevents  the  employee  from  taking  advantage  of  the  other.     Suits 
are  entered  against  the  Government  in  the  name  of  the  superintendent 
of  the  estabhshment.     The  essential  feature  of  this  system  is  the 
decentralization  of  the  administration,  with  a  right  of  appeal  to  the 
head  of  the  department. 

STATISTICS  OF  THE  OPEBATION  OF  THE  LAW. 

The  statistical  information  as  to  the  apphcation  of  the  law  of  1903  is 
limited  to  the  estabhshments  subject  to  factory  inspection^  and  then 
including  only  the  cases  resulting  fatally  or  in  permanent  disabihty. 
These  data  are  presented  in  the  following  six  tables. 

In  the  foUowmg  table  the  cases  wherem  settlements  have  been 
effected  in  accordance  with  the  law  and  have  been  certified  by  the 
factory  mspectors  are  compared  with  the  total  number  of  cases  reg- 
istered. The  percentage  has  increased  from  37.7  per  cent  in  1904,  to 
78.8  per  cent  in  1905,  and  90.6  per  cent  in  1906.  This  indicates  a 
growmg  frequency  of  peaceful  settlements  in  the  office  of  the  factoiy 
mspectors— i.  e.,  out  of  courts— though  the  low  percentage  of  the  year 
1904  may  be  explained  by  the  delay  in  settlements,  which  has  carried 
many  cases  over  into  1905.  The  cases  of  partial  disabihty  involving 
small  compensation,  are  most  frequently  settled  peacefully  and  the 
fatal  cases  least  frequently. 


2128 


REPORT  OF   THE  COMMISSIONER  OF  LABOR. 


NUMBER  OF  ACCIDENTS  REGISTERED  AND  NUMBER  AND  PERCENT  OF  CASES  CER- 
TIFIED BY  INSPECTORS,  BY  RESULT  OF  INJURY.  1904  TO  1906. 

[Source:  Ministerstvo  Torgovli  i  Promyshlennosti.    Statistlches  kia  SvedeniaoResultatakh  I'rimenenia 

Zakona  2  itinla  1903  goda.J 


1904. 

1905. 

1906. 

Result  of  injury. 

Cases 
regis- 
tered. 

Cases  certified 
by  inspectors. 

Cases 
regis- 
tered. 

Cases  oertlfied 
by  iuiipectors. 

Cases 
regis- 
tered. 

CsBM  certifi«Mi 
by  inspectors. 

t 

Num- 
ber. 

Per 
cent. 

Num- 
ber. 

Per 
cent. 

Num- 
ber. 

Per 
cent. 

Death 

382 
70 

5,783 

105 
17 

2.228 

27.5 
24.3 
38.5 

332 

59 

8,196 

197 

45 

6,524 

59.3 
76.3 
79.6 

371 

60 

10,296 

228 

46 

9,446 

61.5 

Total  permanent  disability 

Partial  permanent  disability — 

76.7 
91.7 

Total 

6,235 

2.350 

37.7 

8,587 

6,766 

78.8 

10,727 

9,720 

90.6 

In  the  following  table  are  shown  the  numb<>r  of  cases  for  which 
annual  pensions  are  actually  granted  and  those  for  which  the  capital- 
ized value  is  paid  instead  of  annual  pensions.  In  the  vast  majority  of 
cases  settled  (all  but  8  per  cent  in  1906)  the  annual  pensions  have 
been  capitalized.  Such  capitalization  of  the  annual  pensions  is  found 
to  be  particularly  common  in  cases  of  partial  disability  (93  ])er  cent 
in  1905  and  93.4  per  cent  in  1906)  where  the  computed  annual  pension 
is  often  very  low;  it  is  agreed  to  in  about  half  of  the  fatal  cases,  and 
in  comparatively  few  cases  of  total  permanent  disability  (31.1  per  cent 
in  1905  and  28.3  per  cent  in  1906).  This  frequent  capitalization  of 
the  pension  into  a  lump-sum  payment  is  considered  an  evil  by  most 
Russian  authorities  on  the  subject,  especially  in  fatal  cases.  When 
the  degree  of  partial  disabihty  is  low,  and  the  pension  therefore 
amounts  to  only  a  few  rubles  a  year,  such  capitahzation  is  justified, 
but  in  grave  or  fatal  cases  the  employer  may  often  force  the  employee 
to  agree  to  a  capitalization  by  refusing  a  peaceful  settlement  on  any 
other  conditions,  for  such  capitalization  at  a  sum  equal  to  ten  annual 
payments  is  often  very  advantageous  to  the  employer.  Within 
recent  years,  however,  a  considerable  increase  in  the  proportion  of 
cases  leading  to  pensions,  rather  than  to  lump-sum  payments,  has 
been  noticed.  From  7.9  per  cent  in  1906,  it  has  increased  to  12.5  per 
cent  in  1907  and  to  17.8  per  cent  in  1908.  This  may  be  explained 
by  a  gradual  increase  in  the  workmen's  familiarity  with  the  provi- 
sions of  the  law. 

The  table  also  shows  that  in  a  great  majority  of  cases  (about  two- 
thirds  in  round  numbers)  temporary  disability  allowances  are  granted 
before  the  degree  of  disability  can  be  established. 


CHAPTER  IX. — workmen's  INSURANCE   IN   RUSSIA.  2129 

NUMBER  AND  PER  CENT  OF  CASES  IN  WHICH  WERE  GRANTED  ANNUAL  PENSIONS, 
CAPITALIZED  PENSIONS,  AND  ALLOWANCE  FOR  TEMPORARY  DISABILITY,  1904 
TO  1908. 

[Source:  Ministerstvo  Torgovli  J  Promyshlennosti.    Statlstlcheskia  Svedenia  o  Resultatakh  Primeoenia 
Zakona  2  iunia  1903  goda.    Svod  otchotov  fabrichnykh  inspectorov  za  1908  god.] 


Result  of  Injury. 

Cases 

agreed 

to  and 

certified. 

Cases     In     which 
annual  pensions 
were  granted. 

Cases     in     which 
pensions  were 
capitalized. 

Cases      in      which 
temporary   d  i  s  - 
abihty    allow- 
ances     were 
grunted       l>efore 
final  settlement. 

Numl)er. 

Percent. 

Numlier. 

Per  cent. 

Numl»er. 

Per  cent. 

1904. 
Death ^... 

105 
17 

2,228 

55 

9 

142 

52.4 

52.9 

&4 

50 

8 
2,086 

47.6 
47.1 
93.6 

20 

7 

1,606 

19.0 
41.2 
72.1 

Total  permanent  disability 

Partial  i>ennanent  disability 

Total 

2,350 

206 

8.8 

2,144 

91.2 

1.633 

69.5 

1905. 

Death 

197 

45 

6,524 

91 

31 

454 

40.2 

68.9 

7.0 

106 

14 

6,070 

53.8 
31.1 
93.0 

33 
29 

4,626 

16.0 
64.4 
70.9 

Total  permanent  disability 

Partial  permanent  disal>ility 

Total 

6,766 

576 

8.5 

6,190 

91.5 

4.688 

69.2 

1906. 

Death 

228 

46 

9,446 

111 

33 

628 

48.7 

71.7 

6.6 

117 

13 

8,818 

51.3 
28.3 
93.4 

60 

30 

G.841 

25.2 
65.2 
72.4 

Total  permanent  disability 

Partial  permanent  disability 

Total 

9,720 

772 

7.9 

8,948 

92.0 

6,931 

71.2 

1907. 

Death 

a  213 

43 

10,076 

103 

22 

1,163 

45.8 
51.2 
11.5 

122 

21 

8,913 

54.2 
48.2 
88.5 

(«») 
(«») 
(«•) 

Total  permanent  disability 

Partial  permanent  disability 

Total 

a  10,332 

1.288 

12.5 

9,056 

87.5 

(*) 

(«>) 

1908. 
Death 

0  199 

42 

9,581 

121 

30 

1,596 

59.6 
71.4 
16.6 

82 

12 

7,983 

40.4 
28.6 
83.4 

(0) 

Total  permanent  disability 

Partial  permanent  disability 

Total 

«9,822 

1,747 

17.8 

8,077 

82.2 

(*) 

(6) 

o  In  1907  in  12  cases  and  In  1908  in  4  cases  some  dependent  relatives  accepted  pensions  and  some  lump 
sums.  For  this  reason  the  additions  of  pension  rewards  and  capitalized  rewards  gives  a  larger  total  than 
the  number  of  cases.    The  larger  total  was  used  in  computing  the  percentages. 

ft  No  data  available. 

In  the  following  table  are  computed  the  average  annual  earnings, 
the  total  and  average  amount  of  computed  pensions,  and  the  average 
proportion  of  the  pension  to  the  wages.  The  legal  rate  of  compensa- 
tion in  cases  of  total  permanent  disability  is  two-thirds  of  the  annual 
earnings,  and  this  proportion  is  upheld  in  practically  all  cases.  In  the 
fatal  cases  the  maximum  compensation  allowed  is  two-thirds,  but 
this  maximum  is  evidently  not  reached  in  a  great  number  of  cases, 
for  the  average  proportion  is  less  than  one-half  the  annual  earnings. 

The  average  pension  is  very  low  in  cases  of  partial  permanent  dis- 
ability. It  was  only  8.1  per  cent  of  the  earnings  in  1906,  7.8  per 
cent  in  1907,  and  8.8  per  cent  in  1908.  The  fact  that  the  number  of 
cases  of  partial  disability  in  1906  was  more  than  four  times  what  it 
was  in  1904  would  seem  to  indicate  that  lighter  injuries  are  being 


2130 


REPOET  OF   THE  COMMISSIONER  OF  LABOR. 


compensated.  The  average  is  nevertheless  remarkably  low,  when 
it  is  remembered  that  the  minimum  degree  of  disability  practically 
used  in  the  medical  certificates  is  5  per  cent,  \\  hich  would  correspond 
to  a  pension  of  3.3  per  cent,  and  that  in  the  vast  majority  of  per- 
manent injT^ries  the  degree  of  disability  is  much  higher.  In  fact, 
out  of  189  classes  of  injuries  contained  in  the  table  prepared  for  the 
guidance  of  the  certifying  physicians,  only  65  were  less  than  25  per 
cent  and  76  classes  were  50  per  cent  or  over. 

Because  of  the  great  predominance  of  cases  of  partial  disability 
over  those  of  complete  disability  or  death  the  grand  average  rate 
of  pension  in  1907  was  only  8.4  per  cent  of  the  annual  earnings,  and 
m  1908  only  9.8  per  cent.  The  average  computed  pension  in  1908 
was  $79.23  for  fatal  cases,  $129.72  in  cases  of  total  permanent  dis- 
abihty,  and  $14.87  for  cases  of  partial  permanent  disability,  the 
average  pension  for  all  cases  being  $16.66  in  1908  as  against  $15  03 
in  1907  and  $15.49  in  1906. 

^^^^^^.^^  ACCIDENTS  CERTIFIED.  ANNUAL  EARNINGS,  AND  COMPUTED  AMOUNT 
INJulyfrnfTO^m  ^''''  CERTIFIED  BY  FACTORY  INSPECTORS.  BY  RESULT  OF 

(Source:  ^iniste^tvo  TorgovlH  P^^^^^^  StaUsticheskia.Svedenia  o  Resultatakl.  PrimeBenia 

^dKonajiuniaimjgoda.    Svod  otchotov  fabnchnykh  impectorov  za  1908  god.]  ^=^«*^» 


Result  of  injury. 


1904. 

Death 

Total  permanent  disability.!! 
Partial  permanent  disability. 


Total. 


1905. 
Death 

Total  permanent  disability... 
Partial  permanent  disability. 

Total 

1906. 
Death 

Total  permanent  disability.!! 
Partial  permanent  disability. 

Total 

1907. 

Death 

Total  permanent  disability... 
Partial  permanent  disability. 

Total 

1908. 

Death 

Total  permanent  disability!!! 
Partial  permanent  disability. 


Num- 
ber of 
cases 
certi- 
fied. 


Annual  earnings  of 
Injured. 


105 

17 

2,228 


2,350 


197 

45 

6,524 


6,766 


228 

46 

9,446 


9,720 


Total. 


*13,594.85 

2,720.68 

344,855.20 


361.170.73 


26,151.00 

6, 151. 29 

1,045.205.65 


1,077,507.94 


30.279.40 

7.767.35 

1.629,094.47 


Aver- 
age. 


$129. 47 
ItiO.  04 
1 ')4. 78 


Computed  amount  of 
pensions. 


Total. 


irwi.  69 


132.24 

im.  70 

KiO.  21 


lf.9.  25 


127.  80 
It*.  86 
172.46 


$6, 749.  21 

1,815.00 

35,116.77 


43,680.98 


Aver- 
age. 


$64.28 

10(i.  76 

15.  76 


18,59 


12,093.08 

4, 107.  66 

96, 467.  43 


112,668.17 


14.248.74 

5,043.40 

131,317.46 


1,667,141.22     171.51 


Total. 


213 

43 

10,076 


10,332 


199 

42 

9,581 


9,822 


30.680.56 

7.844.53 

1,737.267.75 


1,775,792.84 


35,526.42 

8,349.65 

1,620,283.91 


144. 04 
182.  43 
172,  42 


1,662,159.98 


171  87 


178.  46 
198  80 
169  11 


150,609.60 


14,422.48 

5,219.28 

135,637.06 


61.38 
91.28 
14.79 


16.66 


Per 
cent  of 
earn- 
ings. 


49.6 

66.7 
10.2 


12.1 


46.2 

66.8 

9,2 


62,50 

109  66 

13.90 


10.4 


47.1 

649 
8.1 


155,278.82 


169.23 


15,765.82 

5,448.42 

142,443.03 


163,657.27 


15  49 


67  71 

121  37 

13  m 


15  m 


79  23 

129  72 

14.87 


16.66 


9.0 


47.0 

♦Kj.5 
7.8 


a4 


44.4 

65  3 
88 


0.8 


CHAPTER  IX.— workmen's  INSURANCE  IN  RUSSIA.         2131 

A  consideration  of  the  data  of  the  following  table,  where  the  actual 
pensions  paid  as  such  are  given  in  the  first  three  columns,  shows  that 
the  average  pensions  are  considerably  higher  for  the  cases  settled  by 
annual  pensions  than  for  those  settled  by  lump-sum  payments     To 
make  a  comparison  for  1908:  The  average  computed  pension  for  aU 
fatal  cases  as  shown  by  the  preceding  table  was  $79.23,  and  for  those 
cases  where  annual  pensions  were  actually  paid,  $89.45;  while  for  the 
cases  settled  by  lump  sums  the  average  computed  pension  was  only 
$63.36;  for  the  cases  of  total  permanent  disability  the  general  aver- 
age was  $129.72,  the  average  for  pension  cases  was  $146.46,  and  for 
lump-sum  cases  $87.88;  for  cases  of  partial  permanent  disability  the 
general  average  was  $14.87,  the  average  for  pension  cases  $28.17,  and 
for  the  lump-sum   payments   $12.21.    In   all  groups   of  cases   the 
tendency  is  to  convert  the  smaller  pensions  into  lump-sum  payments 
because  a  small  pension  loses  its  value,  and  a  lump  sum   is  therefore 
preferred.     Statements  are  also  often  made  that  in  their  anxiety  to 
get  a  lump  sum  the  claimants  are  often  willing  to  accept  a  smaller 
compensation. 

In  the  absence  of  adequate  mortahty  statistics  the  law  permits  the 
capitalization  of  pensions  at  ten  times  the  annual  value,  except  for 
such  pensions  as  are  not  expected  to  run  for  10  years;  in  these  cases 
the  capitalized  value  must  be  equal  to  the  annual  value  multiphed 
by  the  number  of  years  the  pension  h  as  to  run.  The  figures  show  that 
the  average  capitalization  is  actually  made  at  that  rate.  The  total 
.amount  paid  out  m  lump  sums  in  1908  was  $1,006,305.76,  while  the 
computed  value  of  the  annual  pensions  for  these  8,077  cases  was 
$103,486.42,  which  gives  a  rate  of  capitalization  of  9.72. 

......  ---^J,---- -^^^^^^^^  BV 


Result  of  injury. 


1904. 

Death 

Total  permanent  disability.."."." 
Partial  permanent  disability.! 

Total 

1905. 

Death 

Total  permanent  disability. ." ' " 
Partial  permanent  disability. . 

Total 


Cases  settled  by  pajrment  of 
annual  i)ensions. 


Num-  I  ^  Total 
jjpj.       computed 
pensions. 


Cases   settled   l)y   payment  of 
capitalized  value  of  pensions. 


Average 
pension 
per  case. 


55 

9 

142 


206 


91 

31 

454 


576 


$4,476.91 
1,116.59 
4, 743. 63 


10,337.13 


6,859.85 

3, 063. 01 

14,630.13 


$81.40 

124. 07 

33.41 


Num- 
ber. 


Total  com- 
pensation 
paid. 


Average 

compen- 
sation per 
case. 


50.18 


75.38 
98.81 
32.22 


24,552.99 


42.63 


50 

8 

2,086 


2,144 


106 

14 

6,070 


$21,491.84 

6,983.86 

304,483.40 


332,959.10 


51,824.20 

10,446.67 

828, 455. 57 


6,190 


890,726.44 


$429.84 
872.98 
145.97 


155.30 


488.91 
746.19 
136.48 


143.90 


2132 


REPOBT   OP   THE  COMMISSIONER  OF  LABOR. 


ANNUAL  PENSIONS  PAID  AND  LUMP-SUM  PAYMENTS  MADE  IN  CLAIMS  SETTLED  BY 
FACTORY  INSPECTORS,  BY  RESULTS  OF  INJURY,  1904  TO  1908-Conclu,Jed. 


Result  of  injury. 


1906. 

Death 

Total  permanent  disability.. 
Partial  permanent  disability 

Total 

1907. 
Death 

Total  permanent  disability.. 
Partial  permanent  disability 

Total 

1908. 

Death 

Total  permanent  disability.. 
Partial  permanent  disability 

Total 


Cases  settled  by  payment  of 
annual  pensions. 


Num- 
ber. 


Ill 

33 

628 


772 


103 

22 

1,163 


1,288 


121 

30 

1,596 


Total 
computed 
pensions. 


$8,508.55 

3,936.88 

20,533.87 


32,979.30 


8, 400. 93 

2, 782. 60 

32,211.94 


43,395.47 


10,823.99 

4,393.92 

44,952.94 


Average 
pension 
per  case. 


$76.65 

119.29 

32.70 


42.72 


8L56 

126.48 

27.70 


33.69 


1,747 


60,170.85 


89.45 

146.46 

28.17 


34.44 


Cases  settled  by  payment  of 
capitalized  value  of  ["ensions. 

Nimi- 
ber. 

Total  com- 
pensation 
paid. 

Average 

oompen- 

sat  on 

percaie. 

117 
13 

8,818 

$52,801.31 

10,66L54 

1,103,502.57 

$451  29 
820,12 
125. 14 

8,948 

1,166,965.42 

130.42 

122 

21 

8,913 

55,951.29 

23,988.36 

1,029,322.88 

458.62 

1,142  30 

115.49 

9,056 

1,109,262.53 

122.49 

82 
12 

7,983 

46,094.29 

10,484.80 

949, 726. 67 

562.12 
873.  73 
118.  97 

8,077 

1,006,305.76 

124.  69 

The  usual  amount  of  pensions  and  lump  sums  granted  may  be 
better  judged  from  the  following  two  tables,  in  which  aU  cases  of 
pensions  and  lump-sum  grants  for  1904  to  1908  are  classified  by 
amount  and  by  result  of  accidents.  It  appears  that  in  fatal  cases 
nearly  one-half  of  all  the  pensions  fall  between  the  limits  $25.75  and 
S77.25,  and  that  nearly  three-fifths  (58.2  per  cent)  are  not  over  the 
latter  amount.  In  total  permanent  disability  the  pensions  are 
usually  higher.  None  were  less  than  $25.75,  34.4  per  cent  were  not 
over  $77.25,  42.4  per  cent  were  from  $77.25  to  $154.50,  and  23  2  per 
cent  above  that  amount.  On  the  other  hand,  in  partial  permanent 
disability  nearly  three-fifths  (59.5  per  cent)  were  not  over  $25.75  and 
84.7  per  cent  not  over  $51.50. 

The  lump-sum  benefits  are  naturally  much  larger,  as  the  normal 
method  of  capitalization  is  by  multiplication  of  the  annual  pension 
by  ten.  The  average  capital  sum  paid  for  a  fatal  case  was  $478  33 
a  little  over  one-third  (34.1  per  cent)  were  comi)ensated  by  not  over 
$257.50,  a  httle  over  one-third  received  from  $257.50  to  $515  and 
less  than  one-third  received  over  $515.  In  cases  of  total  permanent 
disability  the  average  lump-sum  compensation  was  $920  08  or  nearly 
double  that  for  fatal  cases.  Only  in  a  very  few  cases  was  the  com- 
pensation less  than  $515,  and  payments  of  over  $1,030  were  not 
infrequent.  These  amounts  represent  small  fortunes  for  Russian 
workmen,  and  that  often  explains  the  willingness  to  capitalize  the 
pension. 


I*' 


! 


CHAPTER  IX. — workmen's  II^SURANCE  IN   RUSSIA.  2133 

The  lump  sums  paid  for  partial  permanent  disability  represent 
very  small  amounts,  so  that  in  a  great  many  cases  the  economic  use 
of  such  payments  may  be  questioned.  While  the  average  payment 
represented  $124.46,  nearly  two-thirds  (63.9  per  cent)  amounted  to 
$103  or  less,  and  about  two-fifths  (40.2  per  cent)  to  $51.50  or  less. 

NUMBER,  AMOUxNT,  AND  AVERAGE  OF  PENSIONS  PAID,  BY  RESULT  OF  INJURY  \ND 

CLASSIFIED  AMOUNTS  OF  PENSION,  1904  TO  1908. 

(Source:  Ministerstvo  Torgovli  i  Promyshlennosti.    Statisticheskia  Svedenia  o  Resultatakh  Primenenia 
Zakona  2  lunia  1903  goda.    Svod  otchotov  fabrichnykh  inspectorov  za  1908  god^  *^"™<'"*'*** 


Classified  annual  pension. 

Numl)er 
of cases. 

Percent. 

Total            .\verage 
amount  of      amount  of 
pensions.        pension. 

Fatal  cases: 

$5.15  and  under 

1 
55 
128 
101 
72 
71 
42 
11 

0.2 

n.4 

26.6 
21.0 
15.0 
14.8 
&7 
2.3 

$3.72 
1,026.11 
6,017.20 
6,269.30 
6,427.50 
8,851.98 
8,016.36 
3, 457.  56 

Over  $5.15  to  $25.75 

$3.72 

Over  $25.75  to  $51.50 

18.66 

Over  $51,50  to  $77.25 

38.20 

Over  177.25  to  $103 

62.08 

Over  $103  to  $154.50 

89.27 

Over  $154.50  to  $257.50 

124.68 

Over  $257.50  to  $515 

190.87 

314.32 

Total 

481 

100.0 

<)9,07u.  23 

81.23 

Permanent  disability  cases: 

Over  $25.75  to  $51.50 

13 
30 
28 
25 
17 
12 

10.4 
24.0 
22.4 

2ao 

13.6 
9.6 

587.18 
1,938.01 
2,556.83 
2,963.18 
3,362.99 
3,8S5.00 

Over  $51.50  to  $77.25 

45.17 

Over  $77.25  to  $103 

64.60 

Over  $103  to  $154.50 

91.32 

Over  $154.50  to  $257.50 

118.53 

Over  $257.50  to  $515 

197.82 

n^ni-al 

323.75 

1  ocai 

125 

100.0 

15,293.19 

122.35 

Partial  permanent  disability  cases: 
$5.15  and  under 

508 

1,863 

1,005 

337' 

142 

93 

32 

3 

12.7 

46.8 

25.2 

8.5 

3.6 

2.3 

.8 

.1 

1,753.40 
26,503.80 
36,538.40 
20,881.45 
12, 709.  58 
11,742.92 

5,985.06 
957.90 

Over  $5.15  to  $25.75 

Over  $25.75  to  $51.50 

Over  $51.50  to  $77.25 '. 

3.45 
14.23 
36.36 

Over  $77.25  to  $103 

61.96 

Over  $103  to  $154.50 

89.50 

Over  $154.50  to  $257.50 

126.27 

Over  $257.50  to  $515 

187.03 

319.  GO 

Total 

3,983 

100.0 

117,072.51 

29.39 

Total  cases: 

$5.15  and  under 

509 

1,918 

1,146 

468 

242 

189 

91 

26 

11.1 

41.8 

25.0 

10.2 

6.3 

4.1 

2.0 

.5 

1,757.12 
27,529.91 
42, 142.  78 
29,089.27 
21,693.91 
23,558.07 
17,364.41 

8, 300.  •16 

Over  $5.15  to  $25.75 

3.45 

Over  $25.75  to  $51.50 

14.35 

Over  $51.50  to  $77.25 

36.  <  1 

Over  $77.25  to  $103 

62.16 

Over  $103  to  S154.50 

S9.64 

Over  $154.50  to  $257.50 

124.65 

Over  $257.50  to  S515 

190.82 

. 

319.25 

Total 

4,589 

100.0 

171,435.93 

37.36 

X    ^ 


2132 


REPOBT   OF   THE  COMMISSIONER  OF  LABOR. 


ANNUAL  PENSIONS  PAID  AND  LUMP-SUM  PAYMENTS  MADE  IN  CLAIMS  SETTLED  BY 
FACTORY  INSPECTORS,  BY  RESULTS  OF  INJURY,  1904  TO  1908-Coiioluded. 


Result  of  injury. 


1906. 
Death 

Total  permanent  disability.. 
Partial  permanent  disability 

Total 

1907. 
Death 

Total  permanent  disability. . 
Partial  permanent  disability 

Total 

1908. 

Death 

Total  permanent  disability.. 
Partial  permanent  disability 

Total 


Cases  settled  by  payment  of 
annual  x)ensions. 


Num- 
ber. 


Ill 

33 

G28 


Total 
computed 
pensions. 


$8,508.55 

3, 936. 88 

20, 533. 87 


Cases  settled  by  payment  of 
capitalized  valuo  of  pensions. 


Average 
pension 
per  ease. 


772 


103 

22 

1,163 


1,288 


121 

30 

1,596 


1,747 


32,979.30 


8, 400. 93 

2, 782. 60 

32,211.94 


43,395.47 


10,823.99 

4,393.92 

44,952.94 


$76.65 

119  29 

32  70 


42.72 


81  56 

126  48 

27.70 


33.69 


60, 170.  85 


89  45 

146  46 

28.17 


34  44 


Num- 
ber. 


117 
13 

8,818 


8,948 


Total  wm- 

pensation 

paid. 


$52,801  31 

10, 661  54 

1,103,502  57 


1,166,965  42 


122 

21 

8,913 


9,056 


82 

12 

7,983 


8,077 


55,951  29 

23,9H8  36 

1,029,322  88 


1,109,262.53 


46,01)4.29 

10, 4H4  80 

949, 726.  67 


1,006,305.76 


Average 
compen- 
sation 
per  case. 


$451.29 
820. 12 
125. 14 


130.42 


458.62 

1,142.30 

115.  49 


122.49 


562.12 
873.  73 
118. 97 


124. 59 


The  usual  amount  of  ])ensions  and  lump  sums  granted  may  be 
better  judged  from  the  following  two  tables,  in  which  all  cases  of 
pensions  and  lump-sum  grants  for  1904  to  1908  are  classified  by 
amount  and  by  result  of  accidents.  It  appears  that  in  fatal  cases 
nearly  one-half  of  aU  the  pensions  fall  between  the  limits  $25.75  and 
S77.25,  and  that  nearly  tliree-fifths  (58.2  per  cent)  are  not  over  the 
latter  amount.  In  total  permanent  disability  the  pensions  are 
usually  higher.  None  were  less  than  $25.75,  34.4  per  cent  were  not 
over  $77.25,  42.4  per  cent  were  from  $77.25  to  $154.50,  and  23.2  per 
cent  above  that  amount.  On  the  other  hand,  in  partial  permanent 
disabihty  nearly  three-fifths  (59.5  per  cent)  were  not  over  $25.75  and 
84.7  per  cent  not  over  $51.50. 

The  lump-sum  benefits  are  naturally  much  larger,  as  the  normal 
method  of  capifalization  is  by  multiplication  of  the  annual  pension 
by  ten.  The  average  capital  sum  paid  for  a  fatal  case  was  $478  33 
a  little  over  one-third  (34.1  per  cent)  were  compensated  by  not  over 
$257.50,  a  little  over  one-third  received  from  $257.50  to  $515  and 
less  than  one-third  received  over  $515.  In  cases  of  total  i>ermanent 
disability  the  average  lump-sum  compensation  was  $920.08,  or  nearly 
double  that  for  fatal  cases.  Only  in  a  very  few  cases  was  the  com- 
pensation less  than  $515,  and  payments  of  over  $1,030  were  not 
infrequent.  These  amounts  represent  small  fortunes  for  Eussian 
workmen,  and  that  often  explains  the  willingness  to  capitaUze  the 
pension. 


CHAPTER  IX. — WORKMEN  S  INSURANCE  IN   RUSSIA. 


2133 


The  lump  sums  paid  for  partial  permanent  disability  re])resent 
very  small  amounts,  so  that  in  a  great  many  cases  the  economic  use 
of  such  payments  may  be  questioned.  While  the  average  payment 
represented  $124.46,  nearly  two-thirds  (63.9  per  cent)  amounted  to 
$103  or  less,  and  about  two-fifths  (40.2  per  cent)  to  $51.50  or  less. 

NUMBER,  AMOUNT,  AND  AVERAGE  OF  PENSIONS  PAID,  BY  RESULT  OF  INJURY  .^ND 

CLASSIFIED  AMOUNTS  OF  PENSION,  1904  TO  1908. 

[Source:  Ministerstvo  Torgovli  i  Promyshlennosti.    Statisticheskia  Sv^edenia  o  Resultatakh  Primeuenia 
Zakona  2  iunia  1903  goda.    Svod  otchotov  fabrichnykh  inspectorov  za  1908  god.] 


Cla.s.<iifled  annual  pension. 

Numl>er 
of  cases. 

Per  cent. 

Total            Average 
amount  of     amount  of 
pensions.        pension. 

Fatal  cases: 

$5.15  and  under 

1 

55 
128 
101 
72 
71 
42 
11 

0.2 
1L4 
26.6 
21.0 
15.0 
14.8 
8.7 
2.3 

$3.72 
1,026.11 
6,017.20 
6,269.80 
6,427.50 
8,851.98 
8,016.36 
3, 457.  56 

$3.72 
18  <i6 

Over  $5.15  to  $25.75 

Over  $25.75  to  $51.50 

39.30 
62  (K 

Over  $51.50  to  $77.25 

O  ver  $77.25  to  $103 

fi9  -27 

Over  $103  to  $154.50 

l'>4  (i8 

Over  $154.50  to  $257.50 

1Q«)  H7 

Over  $257.50  to  $515 

314  22 

Total 

481 

100.0 

39,070.23 

81.23 

Permanent  disability  cases: 

Over  $25.75  to  $51.50 

13 
30 
28 
25 
17 
12 

10.4 
24.0 
22.4 
20.0 
13.6 
9  6 

587.18 
1,9.38.01 
2,556.83 
2,963.18 
3,362.99 

45.17 
M  tin 

Over  $51.50  to  $77.25 

Over  $77.25  to  $103 

91.32 
118.53 
197.82 

'?'>'{  7=1 

Over  $103  to  $154.50 

Over  $154.50  to  $'257.50 

Over  $257.50  to  $515 

"•"            "» " 

Total 

125 

100.0  1        15,293.19 

122.  .35 

Partial  permanent  disability  cases: 

$5.15  and  under 

508 

1,863 

1,005 

337' 

142 

93 

32 

3 

12.7 

46.8 

25.2 

8.5 

3.6 

2.3 

.8 

.1 

1,753.40 
26,603.80 
36,538.40 
20,881.45 
12, 709.  58 
11,742.92 

5,985.06 
957.90 

•?   i^ 

0 ver  $5. 15  to  $25.75 

14.23 

36.36 

61.96 

89.50 

1-26.  27 

187.03 

319.  .00 

Over  $25.75  to  $51.50 

Over  $51.50  to  $77.25 

Over  $77.25  to  $103 

Over  $103  to  $154.50 

Over  $154.50  to  r257.50 

O ver $257.50  to$515 

Total 

3,983 

100.0 

117,072.51 

29.39 

Total  cases: 

$5.15  and  under 

509 

1,918 

1,146 

468 

242 

189 

91 

26 

11.1 

41.8 

25.0 

10.2 

6.3 

4.1 

2.0 

.5 

1,757.12 
27,529.91 
42, 142.  78 
29,089.27 
21,693.91 
23,558.07 
17,364.41 

8,300.<6 

3.45 

14.35 

36.  77 

62.16 

89.64 

124.65 

190.82 

319.25 

Over  $5.15  to  $25.75 

Over  $25.75  to  $51.-50 

Over  $51.50  to  $77.25 

Over  $77.25  to  $103 

Over  $103  to  $154.50 

Over  $154.50  to  $257.50 

Over  $257.50  to  $515 

Total 

4,589 

100.0 

171,435.93 

37.3»i 

2134 


EEPORT   OF   THE  COMMISSIONER   OF  LABOR. 


NUMBER,  AMOUNT,  AND  AVERAGE  OF  LUMP-SUM  BENEFITS  PAID,  BY  RESULTS  OF 
INJURY  AND  CLASSIFIED  AMOUNTS  OF  PAYMENTS,  1904  TO  1908. 

[Source:  Ministerstvo  Tor^ovli  i  Promyshlennosti.    Statistieheskia  Rvedenia  o  Resultatakh  Primenenia 
Zakona  2  iunia  1903  goda.    Svod  otchotov  fabrichnykli  iiispectorov  za  1908  god.] 


Classified  lump-sum  payments. 


"Fatal  cases: 

Over  $5.15  to  $25.75 

Over  $25.75  to  $.51.50... 

Over  $51.50  to  $103 

Over  $103  to  $154.50... 
Over  $154.50  to  $257.50. 
Over  $257.50  to  $515 . . . 

Over  $515  to  $1,030 

Over  $1,030 


Total. 


Total  permanent  disability: 
Over  $154.50  to  $257.50... 

Over  $257.50  to  $515 

Over  $515  to  $1,030 

Over  $1,030 


Total. 


Partial  permanent  disability: 

$5.15  and  under 

Over  $,5.15  to  $25.75 

Over  $25.75  to  $51.50 

Over  $51.50  to  $103 

O  ^er  $103  to  $154.50 

Over  $154.50  to  $'257.50... . 

Over  $257.50  to  $.515 

Over  $515  to  $1,030 

Over  $1,030 


Total. 


All  cases: 

$5.15  and  under 

Over  $5.15  to  $25.75.... 
Over  $25.75  to  $51.50... 

Over  $51.50  to  $103 

Over$103  to  $154.50... 
Over  $154.50  to  $257.50. 
Over  $257.50  to  $515... 

Over  $515  to  $1,030 

Over  $1,030 


Total. 


Number 
of  cases. 


15 

37 

109 

163 

110 

41 


477 


2 

3 
45 

IS 


68 


97 
6,324 
7,187 
8,017 
4,013 
3,944 
3,225 
946 
117 


33,870 


97 
6,326 
7,187 
8.032 
4,050 
4,055 
3,391 
1.101 
176 


34, 415 


Per  cent. 


0.4 


3.1 

7.8 
22.8 
34.2 
23.1 

8.6 


100.0 


Total  amount 
paid. 


$25. 33 


1.162.tl5 
4,998.05 
22, 770. 19 
61,221.93 
76,368.37 
61,617.00 


rb 


228,162.92 


2.9 

4.4 

66.2 

26.5 


100.0 


.3 

18.7 

21.2 

23.7 

11.9 

11.6 

9.5 

2.8 

.3 


100.0 


.3 

18.4 

20.9 

23.3 

11.8 

11.8 

9.8 

3.2 

.5 


434.14 

1.436.49 

33,3.33.00 

27,361.61 


62,565.24 


573. 52 
105,604.72 
274.980.3** 
599,082.11 
508.588.  3S 
783,831.82 
.143,882.95 
641,. 300.  30 
157,646.92 


4.215,491.10 


573. 52 
105,630.04 
274, 980. 38 
000.244.15 
513,586.44 
807.036.  Hi 
1,206,541.  ;k» 
751.001.67 
246,625.54 


100.0     4,506,219.20 


Avorage 

amount 

paid. 


$12.67 


77.47 
135.08 
208.90 
375.59 
694. 26 
1.602.85 


478.33 


217.07 

478.83 

740.73 

1.620.09 


920.08 


5.91 

16.70 

38.26 

74.73 

126.74 

198.74 

354.69 

677. 91 

1.347.41 


124.46 


5.91 

16.70 

38.26 

74.73 

126.81 

199.02 

355.81 

682. 11 

1,40L28 


130. 94 


The  expenses  for  temporary  allowances  ^iven  before  death  ensues 
or  the  degree  of  permanent  disability  is  established  are  shown  in 
the  following  table.  The  average  is  found  to  be  quite  small,  only 
$17.27  per  case  in  1906.  The  total  cost  in  1 906  was  $1 19,689.95.  It 
must  be  remembered  that  this  total  includes  only  the  cases  certified 
to  by  the  factory  inspectors  and  does  not  include  any  cases  of  purely 
temporary  disability. 


CHAPTER  IX. — workmen's  INSURANCE  IN   RUSSIA.         2135 


ALLOWANCES   PAID   FOR   TEMPORARY   DISABILITY   BEFORE   DEATH   OR   BEFORE 
PERMANENT  DISABILITY  WAS  ESTABLISHED,  1904  TO  1906. 

[Source:  Ministerstvo  Torgovll  i  Promyshlennosti.    Statistieheskia  Svedenia  o  Resultatakh  Primenenia. 

Zakona  2  iunia  1903  goda.) 


Result  of  injury. 


Death 

Total  permanent  dis- 
ability  

Partial  permanent 
disability 

Total 


1904. 


1905. 


Cases. 


20 

7 

1,606 


1,633 


Amount  of  tem- 
porary allowances. 


Total. 


$215.36 

239.50 

24.295.93 


24,750.79 


Aver- 
age 
per 

case. 


$10. 77 
34.21 
15.13 


15.16 


Cases. 


Amount  of  tem- 
porary allowances. 


Total. 


33 

29 

4,626 


$496.30 

1,917.23 

79,980.89 


Aver- 
age 
per 

case. 


$15.04 
66.11 
17.29 


1906. 


Cases. 


60 
30 

6,841 


4,688       82,  .394. 42       17.58     6,931 


Amount  ol  tem- 
porary allowances. 


Total. 


$784. 42 

1,167.75 

117,737.78 


119,689.95 


Aver- 
age 
per 

case. 


$13.07 
38.9^ 
17.21 


17.27 


The  data  in  regard  to  temporary  disability  were  not  included  in 
the  report  because  such  cases  seldom  come  up  before  the  factory 
inspectors.  In  fact  only  75  such  cases  were  certified  in  1904,  33  in 
1905,  and  30  in  1906  out  of  a  total  of  forty  to  fifty  thousand  cases 
annually.  The  claims  for  compensation  for  temporary  disability 
are  evidently  adjusted  without  reference  to  the  factory  inspector. 

A  proportion  of  cases  which  are  referred  to  the  factory  inspectors 
are  not  certified  by  them,  either  because  both  sides  fail  to  reach  an 
agreement  or  because  the  factory  inspectors  refuse  to  approve  the 
agreement  as  contrary  to  the  provisions  of  the  law.  The  number 
of  cases  of  the  latter  class  were  very  much  smaller  than  of  the  first 
class.  Only  113  cases  occurred  during  three  years  where  factory 
inspectors  on  their  own  initiative  refused  to  certify  the  agreements^ 
while  in  4,808  cases  no  agreement  was  reached. 

The  most  frequent  cause  of  refusal  to  certify  the  agreement  was 
the  determination  of  degree  of  disability;  on  the  other  hand,  disa- 
greements between  employer  and  employee  were  caused  most  fre- 
quently by  the  question  as  to  the  right  of  compensation,  and  next 
to  this,  by  the  question  as  to  the  amount  of  compensation. 

NUMBER  OF  CASES  LEADING  TO  DISAGREEMENT  OR  TO  REFUSAL  OF  INSPECTORS 

TO  CERTIFY,  1904  TO  1906. 

CSource:  Ministerstvo  Torgovll  i  Promyshlennosti.    Statistieheskia  Svedenia  o  Resultatakh  Primenenia. 

Zakona  2  iunia  1903  goda.) 


■ 

Total 
number 
of cases 

pre- 
sented 
to  in- 
spect- 
ors. 

Number  of  cases  wherein  the 
cause  of  disagreement  was — 

Total 
cases 
wherein 
no  agree- 
ment 
was 
reached. 

Number  of  cases  wherein 
the  cause  of  refusal  was— 

Total 
cases 

Year. 

Right 
of  com- 
pensa- 
tion. 

Amount 

of  com- 

I)enRa- 

tion. 

Form 
of  com- 
pensa- 
tion. 

Other 
causes. 

Degree 
of  disa- 
bility. 

Annual 
earn- 
ings. 

Other 
causes. 

wherein, 
certifi- 
cation 
was  de- 
clined. 

1904 

3,071 

8,406 

12,438 

316 

783 
1,446 

237 

633 

1,009 

47 
5.5 
80 

27 

71 

104 

627 
1,542 
2,639 

10 
30 
33 

1 
12 

1 

8 

13 

5 

19a5 

19 

1906 

55 

3» 

Total 

23,915 

2,545 

1,879 

182 

202 

4,808 

73 

14 

26 

113 

67725°— VOL  2—11- 


41 


2136 


REPOBT  OF   THE  COMMISSIONER  OF  LABOR. 


APPROXIMATE  COST  OF  THE  COMPENSATION  ACT  TO  INDUSTRY. 

While  the  data  quoted  above  as  to  the  activity  of  factory  inspectors 
in  adjusting  claims  under  the  compensation  act  do  not  in(;lude  the 
entire  number  of  accidents,  they  nevertheless  furnish  valuable  mate- 
rial for  an  approximate  estimate  as  to  the  financial  burden  whicli  the 
act  places  upon  the  entire  industry.  Taking  the  average  amount  of 
pension  for  fatal  cases,  and  all  cases  of  permanent  disability,  total 
as  well  as  partial,  the  total  amount  of  pensions  paid  for  all  accidents 
of  these  classes  may  be  computed  on  the  assumption  that  the  average 
compensation  in  cases  not  certified  by  ins[)ectors  was  equal  to  the 
average  in  cases  so  certified. 

To  eliminate  annual  fluctuations,  averages  for  the  3-year  period, 
1904  to  1906,  are  taken. 

NUMBER,  AMOUNT,  AND  CAPITALIZED  VALUE  OF  PENSIONS,  BY  RESULT  OF  INJURY, 

ANNUAL  AVERAGES  FOR  1904  TO  1906. 


Result  of  injury. 

• 

Number 
of  cases. 

Average 
pension. 

Total  pen- 
sions. 

Capitalized 
value. 

Death 

362 

63 

8,092 

$62.38 

101.54 

14.45 

$22,581.56 

6.397.02 

116,929.40 

$225,815.60 

63,970.20 

1.169,294.00 

Total  permanent  disability 

Partial  permanent  disability 

Total 

8,517 

17.13 

145,907.98 

1,459,079.80 

In  addition  to  this  the  cost  of  accidents  resulting  in  temporary 
disability  must  be  considered.  For  this  data  are  available  in  the 
statistical  reports  concerning  accidents  in  industry.  The  annual 
average  number  of  days  of  treatment  for  all  cases  of  injury  during 
the  three  years,  1904  to  1906,  was  1,340,868  days,  which  presupposes 
the  payment  of  an  equal  number  of  daily  allowances,  or  wages  for 
670,434  days;  taking  the  average  number  of  working  days  per  annum 
to  be  260,  according  to  the  Russian  compensation  act,  the  total  sum 
of  allowances  paid  must  be  equal  to  2,579  annual  wages. 

From  this  number  and  the  average  wages  the  cost  of  temporary 
disability  may  be  estimated.  The  average  aimual  wages  in  establish- 
ments subject  to  factory  inspection  in  1904  was  $110.17,  in  1905 
$105.84,  and  in  1906  $119.32;  and  the  average  for  1904  to  1906  is 
$111.78.  The  total  amount  paid  out  annually  in  allowances  for 
temporary  disability  may  be  computed  at  $288,280. 

The  average  amount  of  the  payments  made  annually  under  the 
compensation  act  may  thus  be  estimated  at  $1,747,360,  which  does 
not  include  the  cost  of  medical  treatment. 

The  total  amount  paid  out  in  wages  in  establishments  subject  to 
factory  inspection  is  not  available,  but  it  may  be  computed  since  the 
average  wages  for  about  75  per  cent  of  all  the  wage-earners  are  given. 
The  average  wage  being  $111.78,  and  the  average  number  of  wage- 
earners  about  1,678,000,  the  total  wage  expense  would  amount  to 
$187,566,840. 


CHAPTER  IX, workmen's  INSURANCE  IN  RUSSIA.  2137 

The  proportion  of  the  cost  of  the  compensation  act  to  the  total  wage 
expense  is  therefore  equal  to  about  1  per  cent  (0.93  per  cent).  To 
this  must  be  added  the  cost  of  medical  help.  The  total  cost  of 
medical  aid  in  factories  in  1907  has  been  determined  at  $4,874,052; 
but  what  share  of  it  should  be  charged  to  industrial  accidents  it  is 
impossible  to  determine.  In  view  of  the  low  rate  of  wages  and  the 
fairly  high  remuneration  of  medical  work,  the  cost  of  medical  help 
may  equal  the  amount  of  financial  assistance  in  cases  of  temporarv 
disability.  This  would  mean  an  additional  charge  of  about  0.15  per 
cent,  and  the  total  charge  upon  industry  equals  only  1.08  per  cent 
of  the  wage  expense. 

That  this  estimate  is  not  far  from  truth  is  evidenced  b}^  the  data  in 
regard  to  the  activity  of  mutual  accident  insurance  companies. 

In  1905  the  average  premium  amounted  to  1.46  per  cent  of  the 
wage  expense,  and  in  1906  to  1.55  per  cent.  If  for  the  previous 
years  the  premiums  were  very  much  lower,  it  was  not  only  because  it 
was  before  the  law  of  1903  went  into  effect,  but  also  because 
among  the  mutual  associations  existing  before  1905,  those  of  textile 
districts,  with  a  comparatively  low  accident  rate,  were  most  numerous. 

The  average  premium  is  higher  than  the  computed  cost.  It  may 
partly  be  accounted  for  by  the  added  cost  of  administration;  partly, 
perhaps,  by  the  fact  that  the  assumed  cost  of  medical  treatment  in 
the  computation  was  too  low.  With  an  average  daily  wat^e  of 
($111.78-4-260)  43  cents,  which  gives  a  daily  sick  allowance  of  21.5 
cents,  the  cost  of  medical  and  especially  surgical  treatment  in  acci- 
dents may  be  much  higher  than  that  of  the  sick  benefits,  as  assumed. 

It  may  safely  be  said  therefore  that  on  the  whole  the  system  of 
compensation  as  established  by  the  law  of  1903  has  added  less  than 
H  per  cent  to  the  wage  expense  of  Russian  manufacturing  industry, 
and  its  cost  to  the  employers  is  equal  to  about  1}  million  dollars 
annually. 

PRIVATE  VOLUNTARY  ACCIDENT  INSURANCE. 
COMMERCIAL    COMPANIES. 

Insurance  against  accidents  was  altogether  unknown  in  Russia 
before  1888,  when  a  Russian  fire  and  fife  insurance  company  beiran 
to  write  such  insurance.  In  the  preceding  year,  1887,  the  Ministry 
of  Interior  had  approved  the  conditions  under  which  such  insurance 
might  be  written,  and  these  became  the  standard  rules  for  all  other 
insurance  companies.  The  main  conditions  imposed  upon  the 
insurance  companies,  in  writing  accident  insurance  for  workmen,  by 
the  regulations  of  1887  were  as  follows:  The  workman  was  insured 
for  a  definite  sum  against  death,  permanent,  and  temporary  disabiUty 
caused    by    accidental    injury    while    at    work.(«)     Excepted    from 

«  Litwinov:  Otvietstvennost  predpriminatelei.  p.  234.     Press,  A.  A. :  Strakhovanie 
rabochikh,  p.  6. 


2138 


BEPOBT  OF   THE  COMMISSIONER   OF  LABOE. 


insurance  were:  (1)  All  usual  diseases  and  their  results  not  caused 
by  industrial  accidents,  ruptures,  or  other  injuries  caused  by  lifting 
excessive  weights,  etc.;  (2)  injuries  caused  by  vis  major,  by  cala- 
mities such  as  war,  illegal  acts  or  malicious  intent  of  the  insurer  (that 
is,  the  employer)  (")  or  of  the  injured  employee,  or  injuries  received 
in  fights,  quarrels,  state  of  intoxication  or  insanity;  and  (li)  injuries 
received  outside  of  regular  employment  of  the  insured. 

Thus  the  extent  of  apphcation  of  the  insurance  system  was  nearly 
equal  to  that  of  the  usual  compensation  act,  though  it  did  not  pre- 
vent Htigation.  In  case  of  death  the  total  sum  of  insurance  was  to 
be  paid  to  the  widow  and  orphans;  when  the  victim  was  single  one- 
half  of  the  sum  of  insurance  to  the  parents. 

Cases  of  permanent  disability  were  divided  into  three  degrees:  The 
first  degree  of  complete  disability  included  the  complete  loss  of  sight, 
or  of  both  arms  or  legs,  or  one  arm  and  one  leg,  or  complete  incurable 
insanity,  to  be  compensated  by  the  full  pension  specified;  the  second 
degree  included  cases  of  permanent  disability,  with  loss  of  one-half 
of  earning  power,  such  as  loss  of  one  extremity,  entitling  tlie  injured 
to  one-half  of  the  full  pension;  and,  third,  lighter  forms  of  injury, 
resulting  in  partial  though  permanent  disability  of  lower  degree, 
compensated  by  pensions  of  from  10  to  25  per  cent  of  the  full  pension. 
For  temporary  disability  the  insurance  company  was  to  pay  a  daily 
allowance,  agreed  upon  in  the  policy,  during  disability  not  exceeding 
200  days.  The  pensions  paid  for  permanent  disability  could  be 
changed  to  a  lump  sum  upon  agreement  between  the  insurance  com- 
pany and  the  insured  (the  employer) . 

Rossiia  was  a  general  insurance  company  which  introduced  accident 
insurance  in  Russia  in  1888.  Later  in  the  same  year  a  special  accident 
insurance  company  was  organized  and  another  one  in  1892;  two 
general  insurance  companies  began  to  write  accident  poHcies  in  1896 
and  four  in  1898.  Altogether  nine  insurance  companies  wrote  acci- 
dent policies  in  1903,  when  the  new  accident  compensation  law  was 
passed.  The  number  of  workmen  insured  in  these  companies  was 
as  follows: 


NUMBER  OF  PERSONS  INSURED  AGAINST  ACCIDENT  IN  PRIVATE  INSURANCE  COM- 
PANIES, 1888  TO  1903. 

(Source:  Press,  A.  A.:  Strakhovanie  rabochikh  v  Rossii,  St.  Petersburg,  1900.    Prokopovlrh   S  N  •  K. 

rabochemu  vaprosu  v  Rossii,  St.  Petersburg,  1905.]  ,    .     .. 


Year. 


1888. 
1889. 
1890. 
1891. 
1892. 
1893. 
1894. 
1895. 


Number 
insured. 


40,196 
70.807 
93,432 
106,227 
117,850 
133,952 
152,937 
205,274 


Year. 


1896. 
18tf7„ 
1898. 
1899. 
1900. 
1901. 
1902. 
1903. 


Number 
insiu-ed. 


274,066 
395, 148 
(>H4,766 
6  821,525 
936,309 
911,413 
8<K),  534 
7;»H,287 


t  NVt^cSrinfoneSl,^^^^^^^  ^'^"^^  ^^«  ""^^  «'  ^««^  ^^^-^'  ^^«  «-P'«7«r- 


CHAPTER  IX. workmen's   INSURANCE   IN   RUSSIA.  2139 

The  preceding  table  shows  that  this  form  of  meeting  the  liability  of 
employers  was  gaining  but  slowly  up  to  1894,  and  began  to  grow 
rapidly  about  1895.  The  increasing  popularity  of  private  insurance 
was  partly  due  to  rumors  of  coming  new  legislation  for  strengthening 
employers'  Hability  and  partly  to  a  gradual  change  in  the  policy  of 
the  insurance  companies.  In  the  earher  years  they  limited  their 
hability  to  the  amounts  of  insurance  specified.  While  this  was  satis- 
factory to  the  injured  in  the  majority  of  cases,  he  frequently  felt  that 
in  cases  of  evident  fault  of  the  employer  he  could  recover  through 
the  regular  courts,  and  thus  the  limited  insurance  did  not  altogether 
relieve  the  employer  of  the  danger  of  heavy  damages.  Gradually  the 
insurance  companies  were  forced  to  accept  the  civil  responsibility  for 
the  employers  and  the  obligation  to  meet  the  cost  of  litigation  (known 
in  this  country  as  employers'  habihty  insurance).  This  increased 
the  cost  of  insurance,  which  in  1890  was  only  1.87  rubles  (96  cents) 
per  insured  employee;  in  1898,  2.83  rubles  ($1.46);  and  in  1903,  3.55 
rubles  ($1.83) ;  nevertheless  under  these  new  conditions  the  number  of 
workmen  insured  increased  from  205,274  in  1895  to  395,148  in  1897, 
to  684,766  in  1898,  and  936,309  in  1900.  In  1903  the  number  had 
declined  to  738,287. 

The  decline  in  the  total  number  of  insured  during  the  years  1901  to 
1903  is  partly  explained  by  growth  of  mutual  insurance  and  partly  by 
the  increase  in  rates  by  the  companies  in  view  of  the  expected  pro- 
mulgation of  the  compensation  law. 

According  to  the  special  report  here  quoted,  600,000  out  of  the 
685,000  insured  in  1898,  or  about  88  per  cent  of  the  workmen  insured, 
were  employed  in  manufacturmg  and  mining  industries;  and  as  the 
total  number  of  workmen  employed  in  these  industries  at  that  time 
numbered  2,120,000,  it  follows  that  28.2  per  cent  of  all  the  workmen 
were  insured.  The  percentage  was  still  higher  in  some  branches; 
thus  in  the  iron  and  steel  industry  it  was  30.9  per  cent,  in  the  flour- 
millmg  industry  35.6  per  cent,  in  the  textile  industry  36.3  per  cent, 
in  the  woodworking  industry  48.3  per  cent,  in  the  chemical  mdus- 
try  53.6  per  cent,  and  in  the  oil  industry  62.0  per  cent.  In  most 
hazardous  industries,  then,  the  percentage  of  insured  was  from  one- 
thu-d  to  two-thu-ds  of  all  the  employees.  The  situation  was  less 
favorable  in  the  mming  industry,  where  only  10.5  per  cent  of  the 
workmen  were  insured.  From  1898  to  1900  the  number  of  persons 
insured  increased  36.7  per  cent,  so  that  by  the  end  of  the  nineteenth 
century  about  two-fifths  of  all  the  employees  enjoyed  the  protection 
of  accident  insurance. 

The  average  number  of  workmen  per  establishment  subject  to 
factory  inspection  in  Russia  in  1898  was  56;  for  the  establishments 
carrying  the  insurance  the  average  was  148,  almost  three  times  as 


2140 


REPORT  OF   THE  COMMISSIONER   OF  LABOR. 


great.     This  indicates  that  the  greatest  share  of  insurance  was  carried 
by  large  establishments. 

The  statistical  information  concerning  private  insurance  is  not 
complete.  In  fact,  little  is  available  besides  the  special  report  pre- 
pared by  the  Alinistry  of  Finance  for  the  Paris  Exposition  of  1 900, 
which  brings  the  data  down  to  1898  only.(«) 

Two  forms  of  accident  insurance  are  recognized  in  this  report — the 
collective  form  and  the  individual  form.  Under  the  latter  form 
individuals  privately  contract  for  accident  insurance  and  pay  the 
prenaium,  while  under  collective  insurance  the  employer  contracts 
for  insurance  of  his  employees.  The  individual  form  of  accident 
insurance  is  therefore  of  little  importance  from  the  point  of  view  of 
workmen's  insurance,  and  is  quoted  here  only  because  certain  data 
are  stated  for  both  forms  of  insurance  combined. 

The  number  of  persons  insured  collectively  against  accidents  in 
private  insurance  companies  increased  from  40,196  in  1888  to  684,766 
in  1898,  the  amount  of  insurance  against  death  outstanding  at  the  end 
of  the  respective  years  being  $14,498,051  in  1888  and  $235,358,916  in 
1898.  During  this  same  period  the  amount  of  insurance  against 
permanent  disability  increased  from  $15,315,407  to  $319,916,038. 
While  this  average  amount  per  person  of  the  msurance  against  death 
has  decreased  from  $361  in  1888  to  $344  in  1898,  the  average  amount 
of  insurance  against  permanent  disability  has  increased  during  this 
period  from  $381  to  $467.  The  premiums  received  increased  from 
$27,997  to  $998,147. 

The  amount  of  insurance  carried  by  the  employer  for  each  workman 
was  not  liigh.  It  depended  upon  the  wages  of  the  latter,  and  the 
usual  poHcy  called  for  800  or  1,000  times  the  daily  wage  of  the  work- 
man in  case  of  death  and  1,000  to  1,500  times  the  daily  wage  in  case 
of  total  permanent  disabihty.  This  means  three  to  four  times  the 
annual  earnings  in  case  of  death,  and  4  to  6  times  the  annual  earnings 
in  cases  of  total  permanent  disabihty.  As  was  shown  above,  in  case 
of  death  of  the  injured  person,  the  actual  sum  of  insurance  was  paid; 
while  in  cases  of  permanent  disabihty  the  wliole  sum  (or  a  part  of  it, 
depending  upon  the  nature  of  the  disabihty)  served  as  a  basis  for  a 
calculation  of  a  hfe  pension  or  annuity,  the  amount  of  sucJi  annuity 
depending  upon  the  age  of  the  injured  workman. 

The  average  sum  of  insurance  against  death  varied  from  $336  to 
$381,  and  for  total  permanent  disabihty  from  about  $381  to  $467. 
These  rates  of  compensation  do  not  appear  to  be  liigh,  but  this  may  be 
partly  explained  by  the  general  level  of  wages  in  Russia.  For' the 
last  decade  of  the  nineteenth  century  the  average  wages  of  an  indus- 
trial  worker   (men,  women,   and  cliildren)   is  stated  in  an  official 

O'X.  A.  Press:  Strakhovanie  robochikh  v  Rossii,.  1900. 


CHAPTER  IX. workmen's   INSURANCE   IN   RUSSIA.  2141 

report(«)  to  be  equal  to  187.60  rubles  ($96.61) ;  according  to  the  factory 
inspectors'  reports  for  1900  to  1904  the  annual  earnings  were  as  follows: 

AVERAGE  ANNUAL  EARNINGS  OF  WORKMEN  IN  RUSSIA,  1900  TO  1904. 


Average 

annual 

earniugs. 


1900... 
1901... 
1902... 
1903... 


1904. 


Average. 


$99.95 
103.64 
104.27 
111.77 
109.03 


105.73 


An  average  earning  power  of  about  $105  per  annum  gives  an  aver- 
age daily  wage  of  approximately  35  cents;  the  average  compensation 
for  death  contracted  for  by  the  employers  amounted  to  about  $350,  or 
1,000  times  the  daily  wages,  and  the  average  compensation  for  per- 
manent disabihty  was  about  $450  or  about  1,200  to  1,300  times  the 
daily  wage.  The  pension  for  permanent  disabihty  varied  from  about 
5  to  10  per  cent  of  tliis  sum,  depending  upon  the  age  of  the  injured, 
and  so  may  be  estimated  at  from  $22  to  $45  a  year.  Small  as  these 
compensations  were,  the  system  of  insurance  on  a  whole  was  more 
hberal  to  the  workman  than  the  then  existing  legislation.  An  ofiicial 
report  upon  the  activity  of  the  insurance  companies  in  this  hne 
stated  that  ''industrial  conditions  have  advanced  ahead  of  existing 
legislation  which  does  not  any  more  meet  the  demand  of  actual  hfe." 

The  number  of  persons  insured  individually  against  accidents  in 
private  insurance  companies  increased  from  1,148  in  1888  to  15,171  in 
1898,  the  amount  of  the  insurance  against  death  at  the  end  of  the 
respective  years  being  $5,198,956  in  1888  and  $41,652,216  in  1898, 
and  the  insurance  against  permanent  disabihty  $6,220,654  in  1888  and 
$50,770,406  in  1898.  The  average  amount  of  the  death  insurance  per 
person  decreased  during  tliis  period  from  $4,529  to  $2,746  and  that 
of  the  permanent  disabihty  insurance  from  $5,419  to  $3,347.  The 
amount  of  premiums  received  increased  during  the  ten  years  from 
$24,593  to  $181,598,  the  average  premium  per  person  being  $21  4'>  in 
1888  and  $11.97  in  1898.  These  figures  show  that  the  individual 
accident  insurance  included  few  persons  of  the  working  class. 

The  total  amount  of  premium  received  and  the  benefits  paid  bv  the 
insurance  companies  as  well  as  the  other  expenses  of  the  companies 
in  connection  with  accident  insurance  and  the  surplus  remaining,  are 
stated  for  both  forms  of  insurance  combined.  The  amount  of  benefits 
paid  under  the  two  forms  of  insurance  has  increased  from  $17  947 
inl888  to  $585,548  in  1898.     The  expenses  of  the  insurance  companies 

o  Strakhovanie  rabochikh  v  Roasii,  1909.     A.  A.  Press. 


2142 


KEPOBT  OF   THE  COMMISSIONER  OF  LABOE. 


Other  than  for  benefits,  amounted  to  $275,204  in  1898.     The  reserve 
surplus  and  profits  for  1898  was  $318,994,  or  46  cents  per  capita. 

The  business  of  accident  insurance  evidently  was  fairly  remunera- 
tive, and  the  total  profits  were  rapidly  growing,  amounting  for  the 
entire  decade  to  nearly  $900,000,  notwithstanding  the  very  high 
expenses  for  commission  to  obtain  business  (ove?  $560,000)  and  for 
administration  (nearly  $500,000).  Thus  for  the  eleven  years  for 
which  the  statistical  data  are  available  $3,859,871  was  rtjceived  as 
premiums  for  insurance,  wliile  only  $1,861,289  or  less  than  one-half 
was  used  for  actual  compensation  of  the  injured  employees. 

Wliile  with  the  increase  of  the  volume  of  business  the  average  per 
capita  charge  for  administration  had  dechned  materially  during  the 
ten  years,  1889  to  1898,  the  cost  of  commission  for  obtaining  new  busi- 
ness has  shown  a  shght  increase.  There  was  a  dechne  in  the  total  per 
capita  expense,  from  90  cents  in  1889  to  39  cents  in  1898,  and  appar- 
ently the  greater  part  of  it  appears  in  the  increased  per  capita  benefits 
paid  to  the  injured  employee.  The  per  capita  amount  of  compensa- 
tion increased  from  44  cents  in  1889  to  84  cents  in  1898,  while  the 
profits  of  the  insurance  companies  wliich  were  high  in  the  earlier  years 
dechned  considerably.  Under  the  influence  of  competition  from  newly 
organized  accident  insurance  companies,  the  proportion  of  the  pre- 
miums paid  to  the  insured  in  benefits  increased  from  21.6  per  cent  in 
1889  to  49.6  per  cent  in  1898.  In  1898  the  expenses  other  than  for 
benefits  were  23.4  per  cent  of  the  premiums  and  the  surplus  27  per  cent. 

The  average  premiums  increased  with  the  increase  of  the  sum  of 
insurance  and  also  with  the  assumption  by  the  companies  of  the  civil 
habihty  of  the  employers  from  $0.70  per  workman  in  1888  to  $1  46 
per  workman  in  1 898 .  Assuming  the  average  wages  for  these  1 0  years 
to  have  been  about  $105,  the  average  rate  of  insurance  increased  from 
seven-tenths  of  1  per  cent  to  about  1.4  per  cent  of  the  wage  expense- 
It  was  considerably  liigher  in  some  industries,  as  for  instance  in  mining' 
winch  perhaps  explains  the  small  number  of  miners  insured.  This 
excessive  cost  of  private  insurance  was  mentioned  as  an  argument  for 
compulsory  state  insurance  during  the  dehberations  of  the  C^ongress 
of  Commerce  and  Industry  in  1896.  It  was  also  claimed  that  in 
actual  practice  private  insurance  did  not  prove  as  favorable  to  the 
employees  as  in  theory,  the  insurance  companies  often  forcing  the 
injured  workman  to  accept  a  very  low  compensation. 
_  New  regulations  for  insurance  companies,  issued  after  the  act  of 
June  2  (15),  1903,  went  into  effect,  provide  substantially  that  the 
insurance  company  shall  assume  all  the  duties  and  responsibihties 
under  the  law  of  June  2(15),  1903,  in  consideration  of  the  payment  of 
a  premium,  agreed  upon  between  the  insurance  company  and  the 
employer,  in  terms  of  a  definite  percentage  of  the  latter^s  wage  expense. 
It  was  the  avowed  purpose  of  the  law  to  stimulate  the  insurance  of 


T 
I 


I 


CHAPTER  IX. workmen's   INSURANCE   IN   RUSSIA.  2143 

the  employers'  obligations  under  the  law,  although  such  insurance  was 
not  made  obUgatory.     Rules  for  the  regulation  of  such  insurance  were 
issued  by  the  minister  of  interior  on  December  22,  1903  (Januarv  4 
1904).  ^    ' 

The  insurance  company  may  decline  to  accept  any  msurance  with- 
out stating  its  reasons  for  so  doing.  The  employer*  must  furnish  the 
msurance  company  with  an  exact  account  of  its  wage  expense, 
including  the  expense  for  board  and  lodgmgs  of  the  employees  and 
other  forms  of  remuneration  for  work.  Such  a  contract  relieve*  the 
employer  of  all  responsibilities  accordmg  to  the  law,  the  insurance 
society  assummg  all  such  responsibihties;  it  receives  information  of 
all  accidents,  and  must  meet  its  obligations  without  delay;  and  it 
makes  agreements  with  the  injured  or  members  of  their  families. 
Whenever  the  accident  is  due  to  the  fault  of  the  insured  employer,  as 
established  by  the  courts,  this  does  not  relieve  the  msurance  company 
of  Its  responsibmty  to  the  injured  employee;  but  the  msurance  com- 
pany may  recover  the  cost  of  the  compensation  and  pensions  from  the 
employer.  Such  msurance  may  be  organized  with  participation  of 
the  msurmg  party  m  the  profits,  and  then  75  per  cent  of  the  profits 
must  be  redistributed  among  the  insured  employees  accordmg  to  the 
amount  of  annual  premiums  paid.  This  was  a  modification  of  the 
plan  of  collective  insurance. 

Another  form  of  insurance  is  also  recognized,  known  as  '^ insurance 
of  employers'  liability."     This  is  a  combined  form  of  insurance,  as 
It  covers  both  the  hability  under  the  new  law  of  1903,  and  under 
the  general  civil  laws  when  the  new  law  is  not  apphcable.     Under 
this  form  of  insurance  the  obligations  of  the  insurance  company 
are   toward   the  employer   and   not  toward  the  injured  employee, 
and  the  obligations  of  the  employer  toward  the  workmen   are  not 
transferred    by  law.     The  agreement    as    to    the  amount  of  com- 
pensation  IS   made   between   the   employer   and   employee,  but  m 
presence  of   a  representative   of  the  insurance  company,    and    the 
amount   of   the   compensation   agreed   upon   is   bindmg   upon    the 
insurance   company   only   when    approved    by   its   representatives; 
otherwise  the  msurance  company  assumes  obligations  only  up  to  the 
amount  approved  by  its  representatives.     It  is  evident  that  under 
such  contract  the  employer  wih  rarely  agree  to  anythmg  not  accepta- 
ble to  the  insurance  company.     If,  therefore,  an  amicable  settlement 
is  found  impossible,  the  msurance  company  assumes  all  obligations 
which  may  be  imposed  upon  the  employer  by  a  court  of  law,  pro- 
vided, however,  that  the  msurance  company  is  not  responsible  if  tlie 
accident  was  due  to  the  criminal  negligence  of  the  employer,  as  estab- 
lished by  the  verdict  of  the  court.     The  obligations  of  grantmg 
medical  assistance  are  not  assumed  by  the  msurance  company. 


2144 


BEPORT  OF   THE   COMMISSIONEfi   OF   LABOR. 


This  is  a  form  of  insurance  of  the  employer  rather  than  of  the 
employee,  and  it  does  not  fulfiU  the  requirements  of  the  compensation 
act  m  regard  to  insurance  of  workmen.  These  conditions  sf.mewhat 
approach  the  form  of  insurance  proposed  by  the  St.  Petersburg?  Mutual 
Insurance  Society,  which  failed  to  receive  the  approval  of  the  Gov- 
ernment in  1898. 

From  the  first  day  of  the  application  of  the  new  law  serious  diffi- 
culties arose  between  the  employers  and  the  insurance  companies. 
The  law  clearly  meant  an  important  extension  of  the  rights  of  the 
employees,  which  was  equivalent  to  an  increased  burden  upon  indus- 
try. But  there  were  no  definite  data  by  which  the  cost  of  this  law 
to  mdustry  could  be  determined,  for  the  available  statistics  of 
accidents  in  Kussia  were  for  only  one  year  and  were  incomplete. 
Insurance  seemed  the  only  way  for  the  manufacturers  to  protect 
themselves  from  excessive  losses;  but  in  view  of  the  increased  amount 
of  compensation  as  compared  with  that  paid  by  the  private  insurance 
companies  prior  to  1903  the  insurance  companies  were  uncertain  and 
the  rates  quoted  to  manufacturers  for  insurance  were  very  high,  bemg 
for  some  industries  10  or  even  14  per  cent  of  the  wages.  A  concerted 
movement  was  started  among  employers  to  ol)tain  from  the  Govern- 
ment some  delay  of  the  date  of  enforcement  of  the  law;  petitions  to 
that  effect  from  the  mining  operators  and  metallurgical  establish- 
ments of  the  south,  the  u-on  and  steel  manufacturers  of  the  Baltic 
Provinces  and  the  north,  and  from  the  manufacturers'  association  of 
St.  Petersburg.  But  all  these  petitions  were  declined  by  the  authori- 
ties, and  the  law  went  into  effect  on  June  1  (14),  1904. 

Two  courses  were  left  open  to  the  employers  who  objected  to  the 
excessive  rates  quoted  by  the  private  insurance  companies:  Either  to 
take  the  risk  upon  themselves  and  carry  no  insurance,  or  to  organize 
mutual  msurance  companies.  In  the  beginning  a  majority  of  em- 
ployers preferred  the  first  course,  while  the  larger  establishments 
organized  private  insurance  funds  for  themselves.  The  experience  of 
some  industries  during  the  first  year  established  the  fact  that  the 
cost  was  far  below  the  estimates  of  the  private  insurance  companies. 
As  a  result  the  amount  of  private  accident  insurance  rapidly  feU 
smce  1 903.  Unfortunately  it  was  impossible  to  obtain  complete  data 
in  regard  to  the  activity  of  all  private  accident  insurance  companies 
since  the  enactment  of  the  law.  But  the  tendency  is  sufficiently 
clearly  demonstrated  by  the  data  in  regard  to  the  insurance  company 
liossua,  which  was  the  leading  accident  insurance  company  in 
Kussia.  In  1898  356,179  wage-workers  out  of  a  total  of  684  766 
insured,  or  52  per  cent,  were  insured  in  ^^Rossiia."  In  the  year  1Q05 
there  were  only  87,015  persons  insured,  being  a  decline  of  75  per  cent 
in  8  years.  The  number  of  persons  insured  under  the  collective  form 
m  this  company  for  the  7  years  1900  to  1906  is  shown,  together  with 


CHAPTER  IX. WORKMEN  S   INSURANCE   IN   RUSSIA.  2145 

the  amount  of  insurance  carried,  in  the  following  table.  The  decrease 
is  seen  to  have  been  over  80  per  cent.  The  decline  began  as  early  as 
1901,  when  the  probability  of  some  law  granting  compensation  to 
injured  workmen  became  strong,  and  because  of  the  growth  of  mutual 
insurance.  From  1902  to  1903,  when  the  law  was  passed,  the  decline 
was  22.2  per  cent,  or  nearly  one-fourth.  In  1904,  when  the  law  went 
into  effect,  the  decline  was  almost  one-half. 

NUMBER  OF  PERSONS  INSURED  AND  TOTAL  AND  AVERAGE  AMOUNT  OF  INSURANCE 
AGAINST  ACCIDENTS  UNDER  THE  COLLECTIVE  ACCIDENT  INSURANCE  OF  THE 
ROSSIIA  COMPANY.  1900  TO  1906. 

[Source:  Assuranz  Compass,  1908,  p.  564.] 


s. 

Number 
insured. 

Amount  of  insurance  against — 

Year. 

Death. 

Permanent  (Usability. 

Temporary  disability 
(per  day). 

Total. 

Average. 

Total. 

Average. 

Total. 

Average^ 

1900 

464,612 
402, 144 
350,937 
279,919 
137,351 
87,015 
88,766 

$158,637,474 

138,230,612 

127,716.166 

96,578,910 

117.137,543 

63,975,809 

60,972,914 

$349 
344 
354 
345 
853 
735 
687 

$229,136,323 
201,568,836 
187,778,597 
143,114,424 
160.953.297 
90,029,701 
86,529,662 

$504 
501 
522 
511 
1,172 
1.042 
975 

$76,804 
61,615 
57,438 
39.523 
22,905 
11,544 
11, 161 

$0.17 
.15 
.16 
=  14 

1  *T 

1901 

1902 

1903 

1904 

1905 

.17 
.14 

1906 

employers'  mutual  accident   insurance   ASSOCIATIONS. 

A  movement  toward  mutual  accident  insurance  appeared  among 
the  more  progressive  manufacturers  in  the  middle  of  the  nineties, 
simultaneously  with  the  growth  of  private  insurance.  The  Riga 
plan  was  the  first  outgrowth  of  this  movement. 

The  authorization  by  the  Ministry  of  Finance  of  the  by-laws  of  the 
*'Riga  Society  for  Mutual  Insurance  of  Manufacturers  and  Artisans 
against  Accidents  to  their  Workmen  and  Employees"  in  January, 
1898,  marked  a  definite  step  toward  progress.  A  plan  of  a  mutual 
insurance  company  was  also  elaborated  by  the  manufacturers  of 
Odessa  which  was  more  liberal  than  the  Riga  plan,  but  aftei  the 
approval  of  the  Riga  plan  by  the  Government  the  Odessa  employers 
accepted  its  by-laws  for  their  own  organization. 

The  Riga  society,  though  a  purely  voluntary  association,  consid- 
erably influenced  further  legislation,  and  therefore  deserves  special 
consideration.  In  addition,  as  an  organization  of  the  employers  onlv, 
it  extended  its  liabiUty,  i.  e.,  the  Uability  of  employers,  beyond  the 
limits  estabHshed  by  law  and  most  favorable  judicial  decisions.  The 
society  undertook  to  conduct  the  defense,  in  all  cases  where  a  lawsuit 
had  been  instituted,  and  to  meet  the  burden  of  a  judgment.  Wiile 
this  determines  the  responsibihty  of  the  society  toward  the  employers, 
the  by-laws  separately  stated  the  obligations  toward  the  employee, 


2146 


REPORT  OF   IHE  COMMISSIONER  OF   LABOR. 


which  were  wider  than  those  imposed  by  the  law,  or  even  by  the 
private  insurance  companies.  According  to  section  3,  all  injuries  to 
workmen  and  employees  were  to  be  compensated  unless  caused  by— 

1.  Unpreventable  and  unexpected  external  forces  (vis  major); 

2.  By  acts  of  third  parties,  having  no  connection  with  the  industrial 
establishment ; 

3.  Such  intentional  acts  of  the  fellow-servants  as  are  not  connected 
with  the  nature  of  the  work; 

4.  Gross  negligence  of  the  injured. 

The  burden  of  proof  that  any  of  these  conditions  existed  was  placed 
upon  the  society.     Roughly,  then,  the  by-laws  of  the  Riga  company 
excluded  mjuries  due  to  ''vis  major,"  to  gross  negligence,  and  to 
willful  misconduct  of  employees  or  strangers.     By  this  exclusion  the 
protection  granted  extended  not  only  to  all  cases  where  negligence  of 
the  employer  or  fellow-employee  could  be  charged,  but  also  to  all 
cases  of  normal  trade  risk,  to  which  the  vast  majority  of  industrial 
accidents  is  due;  and  not  even  contributory  negligence  of  the  injured 
deprived  him  of  the  right  to  compensation.     As  was  shown  above, 
this  entire  section  went  into  the  governmental  plan  with  the  one 
change  of  ''gross  negligence"  for  ."malicious  intent."     The  amounts 
of  compensation  being  definite,  there  was  no  occasion  for  striking  any 
bargains;  but  the  workman  not  being  a  direct  party  to  the  contract, 
nothing  could  interfere  with  his  effort  to  obtain  a  remedy  under  the 
old  laws  of  civil  responsibility.     For  permanent  complete  disability 
a  life  pension  was  given,  amounting  to  the  last  year's  earnings  when 
not  over  240  rubles  ($123.60);  66?  per  cent  of  the  last  year's  earnings 
to  single  men  or  to  women,  and  75  per  cent  to  married  men,  but  in 
any  case  not  less  than  240  rubles   ($123.60)  when  the  last  year's 
earnings  were  over  that  amount.     In  case  of  death  resulting  from  the 
injury  within  one  year  after  the  accident  the  widow  or  dependent 
widower  was  entitled  to  a  pension  amounting  to  30  per  cent  of  the 
last  year's  earnings,  to  be  paid  until  death  or  remarriage;  to  each 
child  until  15  years  of  age,  15  per  cent  if  one  parent  survives,  and  20 
per  cent  if  neither  survives,  and  to  the  dependent  parents  15  per  cent 
each;  the  total  amount  of  the  pensions  not  to  exceed  60  per  cent  of 
the  annual  earnings,  and  the  shares  of  all  the  participants  to  be 
reduced   accordingly.     Temporary   disability   lasting   more   than   5 
days  entitled  the  injured  to  an  allowance  equal  to  one-half  of  the  daily 
earnings,  or  more,  in  the  discretion  of  the  society. 

The  compensation  system  of  the  Riga  society  was  more  liberal  than 
that  of  the  law  of  1903,  because  it  granted  a  pension  of  100  per  cent 
in  cases  of  complete  permanent  disability  where  the  annual  earnings 
were  less  than  240  rubles  ($123.60)  and  a  minimum  pension  of  240 
rubles  ($123.60)  where  the  earnings  were  larger  than  240  rubles 
($123.60),  while  the  law  of  1903  allows  only  66§  per  cent  of  the  earn- 


- 


CHAPTER   IX. — workmen's   INSURANCE  IN   RUSSIA.         2147 

ings.  This  may  easily  be  explained,  however,  by  the  fact  that  in  a 
law  intended  for  the  entire  Russian  Empire  the  minimum  wage  could 
not  be  as  high  as  for  the  modern  industrial  center  like  Riga,  where  the 
wages  are  considerably  higher  than  in  the  east.  It  was  shown  in  a 
preceding  section  that  the  average  wages  for  the  entire  country  were 
considerably  below  240  rubles  ($123.60).  The  Riga  mutual  insurance 
society  began  its  operations  in  1898  with  a  little  over  3,000  employees 
insured.  The  Odessa  society,  organized  under  the  same  by-laws 
began  its  operations  in  1900,  and  another  society  was  formed  in  the 
textile  center  Ivanovo  Vosnesensk  in  1901.  The  total  number  of 
employees  insured  in  these  mutual  insurance  companies  in  1900  was 
16,429;  in  1901,  29,048;  and  in  1902,  76,046.  The  three  mutual  insur- 
ance societies  named  above  existed  in  Russia  before  the  adoption  of 
the  law  of  1903.  When  the  rules  for  collective  insurance  were 
promulgated  by  the  minister  of  interior  these  three  societies 
were  provisionally  permitted  to  continue  their  activity  under  these 
new  rules.  Similar  mutual  insurance  companies  rapidly  sprang  up 
in  other  industrial  centers,  some  of  them  territorial  associations  of 
employers  of  various  industries,  others  combining  scattered  estab- 
lishments in  one  definite  branch  of  industry. 

The  Kieff  mutual  accident  association  began  its  operations  in  Sep- 
tember,   1904,   the  Moscow,   St.   Petersburg,   Warsaw,   Odessa,   and 
Kieff  sugar  manufacturers'  association  in  1905,  the  Bielostok  and 
Emseisk  associations  in  1906.     Similar  associations  have  been  estab- 
lished since  then  in  Vilna,  Lodz,  Tzaritzin,  and  other  industrial  centers 
As  examples  of  industrial  mutual  companies,  may  be  mentioned 
the  Mutual  Accident  Insurance  Society  of  Einseisk,   organized  in 
November,  1905,  by  the  association  of  the  gold  mine  operators  of  the 
Emseisk  mining  region,   and  the  ^' Black  Sea  Shipowners'  Mutual 
Association  for  Insurance  Against  Accidents  to  their  Employees  " 
orgamzed  in  Odessa  in  August,    1905.     Of  these  two,   the  former 
includes  some  establishments  to  which  the  law  of  1903  is  applicable 
and  others  still  subject  to  the  general  provisions  of  the  civil  law  and 
the  society  insures  against  liabihty  under  either,  according  to  the 
general  regulations  of  the  minister  of  interior  for  such  insurance 
While  the  by-laws  of  each  of  these  mutual  societies  must  be  specially 
approved  by  the  Ministry  of  Interior,  yet  with  very  few  minor  excep- 
tions they  are  modeled  after  one  uniform  plan.     Participation  in  these 
societies  is  altogether  optional,  and  may  be  canceled  at  will.     The 
societies  are  permitted  to  reinsure  their  risks;  they  are  also  permitted 
to  write  accident  insurance  for  individuals,  and  also  insurance  against 
hability  for  injuries  sustained  by  persons  who  are  not  employees 
The  management  of  the  society  is  intrusted  to  a  board  of  directors 
elected  by  the  members;  the  latter  have  a  vote  if  they  insure  at  least 
10  employees,  and  one  additional  vote  for  each  100  employees    but 


2148 


BEPORT  OF   THE   COMMISSIONER   OF   LABOR* 


not  over  5  votes  to  each  employer,  or  his  [)roxy.  The  determina- 
tion of  the  rate  of  the  premium,  which  must  vary  with  the  nature  of 
the  industry^  is  left  to  the  general  meeting  of  the  members.  All 
establishments  manufacturing  explosives  are  excluded.  Any  other 
industry  or  establishment  may  be  denied  admission  by  the  general 
meeting  of  the  members.  When  the  premiums  collected  are  not 
sufficient  to  cover  the  liabilities  incurred  by  the  societies,  the  members 
may  be  assessed  in  proportion  to  the  premiums  they  pay. 

In  Riga,  where  the  first  employers'  mutual  accident  insurance 
society  was  organized  in  1898,  a  new  mutual  society  was  formed  in 
1906  by  proprietors  of  commercial,  building,  and  construction  enter- 
prises, some  rural  industrial  establishments,  and  similar  fiinis  which 
do  not  come  under  the  action  of  the  law  of  1903,  for  insurance  against 
civil  liability;  but  the  important  feature  of  this  society  is  that  it  offers 
to  the  employees  a  system  of  compensation '' according  to  the  regula- 
tions of  the  law  of  1903."  This  is  a  direct  voluntary  extension  of  the 
law,  to  establishments  specifically  excepted  from  it,  by  the  employers 
who  prefer  the  obUgations  of  the  law  of  190;]  to  the  cost  and  results 
of  litigation. 

A  somewhat  similar  condition  is  found  in  the  Black  Sea  Ship- 
owners' Mutual  Association,  above  mentioned.  As  was  pointed  out 
previously,  the  law  of  1903  does  not  apply  to  shipowners,  which  are 
subject,  together  with  the  railroads,  to  the  special  law  of  the  civil 
code.  This  society  obligates  itself  to  pay  compensation  for  all  acci- 
dents, unless  due  to  the  malicious  intent  or  gross  negligence  of  the 
injured.  Its  scale  of  compensation  is  more  liberal  than  that  of  the 
law  of  June  2,  1903.  In  case  of  complete  permanent  disability  it 
pays  66J  per  cent  of  the  actual  annual  earnings  to  a  single  person 
and  75  per  cent  to  a  married  person,  but  in  no  case  is  the  pension  for 
total  permanent  disability  to  be  less  than  240  rubles  ($123.60).  A 
proportionate  part  of  this  pension  is  given  for  partial  disabihty. 
The  scale  of  pensions  in  case  of  fatal  accidents  is  the  same  as  in  the 
law  of  1903.  The  allowance  in  case  of  sickness  is  75  per  cent  of  the 
daily  earnings  (and  not  50  per  <;ent,  as  in  the  compensation  act), 
and  may  be  increased  to  the  full  daily  earnings,  in  consideration  of 
special  circumstances.  The  comparatively  favorable  conditions  of 
this  system  of  insurance  are  said  to  be  due  to  the  great  demand  for 
labor  in  Odessa. 

The  rapid  growth  of  insurance  of  workmen  in  such  mutual  em- 
ployers' associations  is  shown  by  the  following  table,  from  which  it 
appears. that  the  number  of  wage- workers  insured  has  increased  from 
76,046  in  1902  to  311,689  in  1906,  or  more  than  fourfold  iniour  years. 


CHAPTER  IX.— workmen's   INSURANCE   IN   RUSSIA.  2149 

NUMBER  OF  SOCIETIES,  PERSONS  INSURED,  WAGES  OF  INSURED     WD  VUVxirryMo 

PAID  IN  EMPLOYERS'  MUTUAL  ACCIDENT  INSURANCE  SOc'ETmS.  1^  TO   iLT 
[Source:  Soviet  Siezda  Gornopromyshlennikov  Iu.a  Rossli.  ^  Zakonoproekty  po  Stkakhovaniu  rabo^hikh. 


Year. 


18d8. 
1899. 
1900. 
1901. 
1902. 
1903. 
1904. 
1905. 
1906. 


Number 
of  active 
societies. 


1 
1 
1 
2 
3 
3 
4 
8 
10 


Number  (rf 
persons  in- 
sured. 


13,728 

17,000 

25,156 

27,831 

76,046 

94,403 

158,304 

258,033 

311,689 


Total  wages 
of  insured. 


(«) 

(«) 

(°) 
$3,861,698 

(«) 

8,558,292 

15,701,083 

28, 005. 587 

35,313,308 


Annual  premiums 


Amount. 


$15, 773 

33,046 

45,045 

42,786 

59,468 

75,982 

180,494 

409,618 

547,001 


Per  f  ►er- 
son  in- 
sured. 


$L15 
1.94 
L79 
L54 
.78 
.80 
1.14 
1.59 
L75 


Per  c-ent 

of 
wages. 


1 


Ml 


89 
15 
L46 
L55 


o  No  data  available. 

The  average  amount  of  premiums  per  person  insured  is  subject 
to  fluctuations,  which  may  be  explained,  however,  by  the  diflfer- 
ences  m  the  compensation  of  the  total  number  insured.  In  other 
words,  the  data  for  different  years  are  scarcely  comparable  in  any 
strict  way,  because  each  of  the  associations  covered  different  indus- 
tries, with  different  accident  rates,  different  wage  levels  etc  As 
the  number  of  associations  and  the  number  of  persons  covered  in- 
creases, the  averages  become  more  valuable;  the  increase  in  both 
averages  shown  (per  person  insured  and  per  $100  of  wages)  in  1904 
IS  easily  explained  by  the  effect  of  the  law,  and  for  1906  we  find  an 
average  premium  of  a  httle  over  IJ  per  cent  of  the  wage  expense 
which  corroborates  the  computation  made  on  page  2137  For  the 
separate  mutual  associations  the  data  are  more  comparable  from 
year  to  year.     They  are  shown  in  the  following  table: 

NUMBER  OP  PERSONS  INSURED,  WAGES  OF   INSURED    AND    PRFUTims   k.tt^  ,v- 

BrsocyE™s"""''^''  ^'''"^''^  ™^''«^'"^'=  -ocf^^^Zors^^r^iij^z^i 

fSourc:  Soviet  Sle,.da  «°™Pron.yshlcnnlkov^Iu._a^R<^^  Zatonoproek.y  p„  Stkakhovaain  raboohikh. 


Society. 


Number  of 

persons  in- 
sured. 


Riga  Mutual  Association: 

1898 

1899 

1900 

1901 

1902 

1903 

1904 

1905 

1906 " 


Total  wages 
of  insured. 


Annual  premiums. 


Amount. 


13,728 
17,000 
17, 210 
20,280 
22,848 
27,902 
57,223 
58,628 
63,681 

oNot  reported. 


«) 


(«) 
$3,014,304 
3,285,029 
3, 46(),  945 
6,907,178 
8,766,330 
8,661,662 


Per  per- 
son in- 
sured. 


$15,773 

$1.15 

33,046 

1.94 

33,193 

L93 

30,025 

L48 

35,017 

1.53 

45, 161 

1.62 

121,468 

Z12 

159,235 

2.72 

182,341 

2.86 

Per  cent 

of 
wages. 


(a) 

(") 


1.0 
1.1 
L3 
L8 
1.8 
2.1 


2150 


EEPOET  OF   THE  COMMISSIONER   OF  LABOR. 


NUMBER   OF    PERSONS  INSURED,  WAGES    OF   INSURED,  AND  PREMIUMS  PAID   IN 
EMPLOYERS' MUTUAL  ACCIDENT  INSURANCE  SOCIETIES,  FOR  SPECIFIED  YEARS 
BY  SOCIETIES  -Concluded. 


Society. 


Odessa  Mutual  Association: 

1900 

1901 

1902 

1903 

1904 

1905 

1906 

1907 !-!!!!!!!!;!]!!!! 

Ivanovo  Vosnesensk: 

1902 

1903 ; 

1904 

1905 

1906 

Kief:  

1904(6) 

1905 

1906 [[][]"" 

Moscow  ( First  Russian  Insurance  Association ) 

1906 ;".;;; 

St.  Petersburg: 

1905 

1906 '.'.'.'." 

Warsaw: 

1905 

1906 '".'.'.'." 

Kief  (sugar): 

1905 

1906 

1907 ;;;;;; 

Bielostok: 

1906(c) 

1907  («i) '.'.'.'.'.'... 

Eniseisk: 

1906(«) 

1907  (/) ;;;;; 


Number  of 
persons  in- 
sured. 


7,946 
7,551 
7,178 
6. 930 
6,694 
7,191 
7,372 
7,556 

46,020 
f9,571 
74,307 
74,699 
84,717 

20,080 
25,061 
33,272 

33,883 
48,356 

29,782 
34,470 

23,917 
28,633 

4,872 

7,246 

10,395 

3,942 
4,066 


Total  wages 
of  insured. 


$825,397 

847,393 

933.347 

937,  (J38 

962,:}66 

1,045,624 

1,040,114 

1,069,592 

(») 
4, 149, 159 
7,082,474 
6,584,140 
8,801,231 

749,  (i44 

960,«i84 

1,535,154 

3,382.890 
5,368,763 

4,280.979 
5,283.(100 

2,801,(30 
3,(31.780 

234.312 

32(5,  H09 
444,898 

467.203 
523  (134 

196.«»95 
•    303.263 


Annual  premiums. 


Amount. 


$11,853 
12,761 
13,218 
12,817 
22,659 
25,618 
26,233 
24,935 

11,224 
18,004 
29,318 
33, 547 
38,152 

7,048 
27,011 
36, 213 

42.565 
76,681 

52,205 
69,310 

63,129 
91,919 

6,307 

9,013 

10,306 

10,766 
15,817 

6,373 
9,611 


Per  per- 
son In- 
sured. 


$1  49 
1  69 
1.84 
1  85 
3  38 
3.56 
3.56 
3.30 

.24 
.30 
.40 
.45 
.45 

.35 
1.08 
1.09 

1.26 
1.59 

1.75 
2.01 

2.64 
3.21 

1.29 

1.24 

.99 

2.73 
3.89 


Per  cent 

of 
wages. 


L4 
1.5 
L4 
1.4 
2.4 
2.5 
2.6 
2.3 


(») 


,4 

.4 
.5 
.4 

.9 
2.8 
2.4 

1.3 
1.4 

1.2 
1.3 

2.3 
2.5 

2.7 
2.8 
2.3 

2.3 
3.0 

3.2 
3.2 


o  Not  reported. 

f>  From  September  to  December. 

c  December  1  1905,  to  December  31, 1906. 


d  January  1, 1907,  to  October  1,  1907. 

'  April  I  to  October  1, 1906. 

/  October  1, 1906,  to  October  1,  1907. 


PBOPOSED  BEFOBMS. 
BILL   OF    1905. 

The  step  from  voluntary  to  obligatory  insurance  was  proposed  in 
the  draft  of  a  law  which  was  first  published  early  in  1905.  When 
the  compensation  act  was  passed  the  minister  of  finance  w^as  directed 
to  prepare  plans  for  a  comprehensive  scheme  of  workmen's  insur- 
ance. In  accordance  with  an  imperial  ukase  the  committee  of 
ministers  on  December  24,  1904  (January  6,  1905),  instructed  the 
minister  of  finance  to  organize  in  conjunction  with  the  Bureau  of 
Industry  of  that  ministry  an  inter-departmental  commission  for  the 
preparation  of  a  plan  for  insurance  against  accidents,  sickness,  and 
old  age  and  invahdism.  Representatives  from  all  important  cham- 
bers of  commerce,  mutual  insurance  companies,  and  other  commercial 
bodies  were  invited  into  the  commission.     These  resolutions  of  the 


CHAPTER   IX. workmen's  INSURANCE   IN  RUSSLl.         2151 

minister's  committee  were  approved  by  the  Emperor  on  January  17 
(30),  1905;  and  the  first  draft  of  the  complete  law  for  all  three 
branches  of  workmen's  insurance  was  made  public  on  March  '>9 
(April  11),  1905. 

This  new  draft  did  not  change  the  essential  provisions  of  the  com- 
pensation act  of  1903  or  extend  its  scope,  but  simply  applied  the  prin- 
ciple of  obligatory  mutual  insurance  and  corrected  a  few  of  the 
defects  of  the  existing  system.  It  also  excepted  all  cases  during  the 
first  6  weeks  of  sickness,  which  were  to  be  transferred  to  the  sick  bene- 
fit associations  to  be  organized  in  connection  with  sickness  msurance. 
Each  employer  subject  to  the  law  of  1903  was  to  join  either  an 
mdustrial  or  a  territorial  association  of  employers;  in  exceptional 
cases  of  isolated  establishments  exceptions  might  be  granted,  and 
in  such  cases  the  old  rules  of  1903  remained  in  force  unchanged'. 

DRAFT   OF    1906. 

The  character  and  extent  of  the  Compensation  Law  of  1903  was 
not  affected  by  the  plan  of  1905.  But  within  the  last  three  or  four 
years  the  need  of  introducing  radical  changes  m  the  compensation 
law  was  widely  discussed.  In  April,  1906,  an  interdepartmental 
conference,  increased  by  invited  representatives  of  commercial  or- 
ganizations and  economic  science,  with  the  minister  of  commerce  and 
industry,  elaborated  a  new  draft  of  an  accident  insurance  law.  This 
draft  of  1906  represented  in  the  main  a  combination  of  the  law  of  1903 
and  the  plan  for  the  organization  of  the  territorial  insurance  associa- 
tions of  1905.  But  there  were  important  modifications.  The  excep- 
tion of  accidents  due  to  gross  negligence  from  the  application  of  the 
law  was  abolished,  only  accidents  due  to  the  malicious  intent  of  the 
injured  being  excepted.  Other  changes  suggested  are:  The  increase 
of  the  compensation  for  temporary  disability  from  one-half  the 
daily  earnings  to  two-thirds ;  but  with  it  a  transfer  of  the  care  of  all 
cases  during  the  first  six  weeks  from  the  accident  insurance  associa- 
tions to  the  sickness  insurance  societies,  the  organization  of  which  was 
contemplated;  the  increase  of  the  number  of  annual  working  days 
to  be  used  in  computing  annual  earnings  from  260,  as  in  the  law  of 
1903,  to  280. 

SILL   OF   THE   CONSTITUTIONAL   DEMOCRATIC   PARTY. 

In  the  first  Duma,  which  was  in  session  during  the  summer  of 
1906,  many  labor  bills  were  introduced.  The  bill  referring  to  work- 
men s  accident  insurance  was  based  upon  somewhat  broader  princi- 
ples than  the  draft  of  the  Ministry  of  Commerce  and  Industry  of  1906 
Proceedmg  from  the  existing  law  of  1903,  the  plan  embodied  the  foL 
lowing  general  principles:  The  extension  of  the  law  to  all  employees 


67725°— VOL  2—11- 


-42 


2152 


REPORT  OF   THE  COMMISSIONER  OF  LABOR. 


m  industry,  transportation,  agriculture,  and  building;  an  increase  of 
the  pensions  to  the  surviving  children  from  one-sixth  of  the  wages, 
as  in  the  law  of  1903,  to  one-fifth,  and  when  orphans  to  one-fourth^ 
the  total  limit  of  pensions  remaining  the  same,  namely,  two-thirds  of 
the  wages;  the  raising  of  the  age  limit  of  children  entitled  to  com- 
pensation from  15  to  17  years;  the  establishment  of  arbitration  courts 
with  representatives  of  capital  and  labor;  and  a  system  of  obligatory 
insurance,  with  the  privilege  of  choice  between  insurance  in  a  mutual 
employers'  association,  a  central  government  msurance  office,  or  a 
private  authorized  insurance  company. 

DRAFT  OF   1907. 

The  governmental  consideration  of  an  accident  insurajice  system 
continued  in  December,  1906,  and  February,  1907.  Anotlier  official 
draft  was  published  in  February,  1907.  The  draft  of  1907  did  not 
accept  the  suggestions  as  to  the  increase  of  the  allowance  for  tempo- 
rary disability  from  one-half  to  two-thirds  the  daily  wages,  nor  as  to 
the  increase  of  the  age  limit  of  the  children  from  15  to  17  years;  but 
the  number  of  annual  working  days  was  increased  from  260  to  280 
days,  the  qualification  of  gross  negligence  was  eliminated,  and  per- 
haps the  most  important  change  was  the  inchision  of  railroads,  steam- 
ship, and  street  railway  companies;  the  draft  is  also  moie  compre- 
hensive than  the  law  of  1903  as  to  the  size  of  the  manufacturing  or 
mmmg  establishments  covered,  including  all  establishments  using 
mechanical  or  animal  power  or,  when  not  using  such  power,  employing 
not  less  than  10  wage-earners. 

In  the  matter  of  organization  of  obligatory  insurance,  the  draft 
of  1907  adheres  to  the  Austrian  models  embodied  in  the  draft  of  1905; 
it  requires  the  establishment  of   territorial  employers'  organizations 
and  provides  for  industrial  employers'  organizations  in  exceptional - 
cases  by  special  permission  of  the  central  authorities. 

BILL  OF   1908. 

After  more  than  three  years  of  deliberation  a  draft  of  the  bill  was 
a^eed  upon  by  the  Government  and  introduced  into  the  Duma 
on  June  25  (July  8),  1908,  together  with  many  other  labor  bills. 

The  bill  of  June  25,  1908,  preserves  the  Austrian  form  of  territorial 
mutual  insurance  associations;  but  the  organization  of  industrial 
msurance  associations  in  exceptional  cases  may  be  permitted  by  the 
central  insurance  council  to  be  established  in  connection  with  the 
whole  insurance  system.  Government  establishments  are  excepted 
from  obligation  of  insurance,  also  estabfishments  owned  by  the 
"Zemstvos"  (provincial  organs  of  self-government)  and  by  munici- 
palities.    Isolated   establishments  may   also  be  relieved  from   the 


CHAPTER   IX. workmen's   INSURANCE   IN   RUSSIA.  2153 

obligation  by  the  insurance  council.  In  the  financial  arrangements 
the  Austrian  system  is  also  followed,  and  the  capitalized  value  of  the 
claims  annually  arising  must  be  met  by  assessments  for  that  year. 
The  insurance  associations  must  therefore  establish  a  reserve  and  a 
surplus  fund.  The  reserve  contains  the  capitalized  value  of  the 
obligations,  and  the  surplus  formed  from  the  profits,  etc.,  is  to  be  used 
to  meet  unexpected  losses.  The  funds  are  to  be  invested  in  govern- 
ment bonds  or  other  securities  guaranteed  by  the  State,  such  as 
municipal  land  bank  bonds  and  similar  securities  on  a  list  authorized 
by  the  Government,  and  must  be  deposited  with  the  state  bank  or  sub- 
treasuries.  By  special  authorization  of  the  insurance  council  they 
may  also  be  invested  in  real  estate,  in  construction  of  hospitals  and 
invalid  homes,  or  in  loans  to  members  for  construction  of  cheap 
dwellings,  schools,  hospitals,  or  similar  institutions  for  the  benefit  of 
the  employees. 

The  insurance  associations  are  to  be  self-governing  institutions 
under  the  supervision  of  the  central  workmen's  insurance  council. 
The  constitution  is  to  be  prepared  by  representatives  of  industrial 
establishments.  The  constitution  may  be  revised  by  the  insurance 
council  and  must  be  approved  by  the  minister  of  commerce  and 
industry  before  it  goes  into  effect.  In  case  of  failure  of  the  associa- 
tion to  prepare  the  draft  of  such  constitution,  the  council  may 
prepare  one  and  present  it  to  the  minister  for  approval.  The 
administration  of  the  affairs  of  each  association  must  be  lodged  in  the 
board  of  directors  and  the  general  meetings  of  the  members  or  their 
delegates,  also  an  auditing  committee  and  other  select  committees. 

The  general  meeting  must  prepare  the  scale  of  contributions  of  indi. 
vidual  members,  with  consideration  of  comparative  hazard,  and  pre- 
sent it  to  the  insurance  council  for  approval  of  the  minister  of 
commerce  and  industry.  In  case  of  failure  to  prepare  such  a  scale, 
or  if  the  scale  presented  is  not  approved,  the  council  mav  enforce  one 
established  according  to  its  judgment.  The  contribution  levied  by 
the  mutual  associations  must  be  paid  promptlv,  and  the  association 
IS  empowered  to  levy  fines  for  delay,  and  may  coUect  the  amounts 
due  through  the  police.  Such  fines  must  be  determined  by  the  general 
meetmg.  The  insurance  associations,  in  the  general  meeting,  may 
also  establish  rules  and  regulations  for  prevention  of  accidents  pro- 
vided they  do  not  conflict  with  existing  legislation,  and  enforce  them 
upon  the  members  by  means  of  fines  up  to  300  rubles  ($154  50) 
It  may  establish  premiums  for  saving  of  lives  and  for  mvention  of 
safety  appliances  and  devices. 

In  so  far  a*,  the  organization  of  these  mutual  employers'  insurance 
organizations  are  concerned,  this  bill  does  not  differ  in  its  principles 
from  the  drafts  of  1905  or  1907.     But  the  essential  difference  lies  in 


2154 


REPORT   OF   THE  COMMISSIONER   OF   LABOR. 


the  absence  of  any  provision  for  special  insurance  courts  with  repre- 
sentatives of  employers  and  employees,  which  courts  were  i)romised 
in  the  draft  of  1905  and  which  many  students  of  labor  insurance  in 
Russia  think  essential  to  the  proper  working  of  the  law. 

Many  more  or  less  important  modifications  of  the  law  of  1903  are 
introduced  in  this  bill.  The  primary  purpose  is  the  establishment 
of  a  system  of  compulsory  insurance.  On  the  other  hand,  many 
rules  of  1903,  which  the  draft  of  1907  showed  a  desire  to  amend, 
have  been  retained. 

An  important  amendment  of  the  law,  su«,'gested  in  th(i  draft  of 
1908,  is  the  exclusion  of  all  reference  to  neghgence,  only  self-infhcted 
injuries  barring  the  victim  or  his  dependents  from  the  right  to  com- 
pensation. On  the  other  hand,  the  ^ppHcation  of  the  law  is  con- 
siderably restricted  as  compared  with  the  <lraft  of  1907,  or,  in  some 
respects,  even  the  law  of  1903.  The  bill  includes  manufacturing, 
mining  and  metallurgical,  steamship,  railroad,  and  street  railroad 
estabhshments,  and  thus  seems  to  have  covered  the  main  branches 
of  transportation  service;  but  as  not  only  government  establish- 
ments but  also  privately  owned  pubHc  raikoads  are  s]>ecifically 
excepted,  this  leaves  only  the  small  private  industrial  raih-oads, 
while  the  bill  of  1907  mcluded  all  railroad  employees.  Again,  only 
those  estabhshments  are  included  which  employ,  steam  or  other 
mechanical  power  and  at  least  20  employees  permanently,  or  30 
employees  when  no  mechanical  power  is  used.  This  estabhshes  a 
much  narrower  restriction  than  the  draft  of  1907,  which  had  a  mini- 
mum of  10  employees  only,  and  no  minimum  of  the  number  of  em- 
ployees at  all  where  either  mechanical  or  animal  power  is  used. 

The  allowance  for  temporary  disabihty  is  increased  to  two-thirds 
of  the  wages,  as  proposed  in  1906,  and  against  one-half  granted  by 
the  law  of  1903 ;  but  the  payments  of  these  allowances  by  the  accident 
insurance  associations  is  to  begin  after  13  weeks,  as  against  6 
weeks  according  to  the  draft  of  1905.  Thus  an  increased  burden  is 
placed  upon  the  proposed  sick  benefit  funds,  to  which  the  employees 
contribute  an  equal  amount  with  the  employers,  and  only  for  the 
working  days  is  such  allowance  granted.  However,  when  the 
injured  is  not  a  member  of  any  sick  benefit  fund  he  is  entitled  to  the 
compensation  from  the  day  of  the  injury.  The  cost  of  medical 
treatment  must  be  paid  by  the  accident  insurance  fund  when  it  is 
not  furnished  by  the  sick  benefit  fund. 

The  annual  number  of  working  days  is  reduced  from  280,  as  sug- 
gested by  the  draft  of  1907,  to  260  days.  There  is  no  minimum  pen- 
sion for  complete  disability,  but  the  annual  eammgs  computed  as 
above  must  not  be  lower  for  an  adult  than  260  times  the  standard 
wages  of  unskilled  labor  in  the  district.  A  full  pension  of  100  per 
cent  is  granted  in  case  of  complete  helplessness,  which  is  defined  in  the 


CHAPTER  IX. WORKMEN  S   INSURANCE   IN   RUSSIA. 


2155 


text  to  include  only  cases  of  insanity,  total  bhndness,  and  loss  of 
both  hands  or  both  feet. 

These  are  the  important  modifications  proposed  in  the  rules  of 
compensation  as  established  by  the  law  of  1903,  the  bill  following 
quite  closely  the  law  in  regard  to  other  compensation. 

The  substitution  of  the  employers'  association  for  the  individual 
employers'  responsibiUty  has  necessitated  a  complete  change  in  the 
method  of  procedure.  The  essential  point  of  the  change  is  the  com- 
plete elimination  of  the  factory  or  mine  inspector,  who  fulfills  so 
important  a  function  in  the  administration  of  the  law  of  1903.  Notice 
of  accident  must  be  given  to  the  poUce  and  to  the  insurance  associa- 
tion, which  may  impose  a  fine  for  failure  to  give  such  notice.  The 
association  may  send  its  agent  to  investigate  the  conditions  of  the 
accident,  a  function  at  present  entrusted  to  the  factory  inspector. 
Both  the  claimant  and  the  association  may  select  their  physicians, 
but  the  injured  must  allow  himself  to  be  examined  by  the  associa- 
tion's physician,  and  on  refusal  to  do  so  may  be  deprived  of  the 
entire  compensation  or  part  of  it.  Claims  are  to  be  made  directly  to 
the  insurance  association,  which  must  render  a  decision  within  one 
month.  Dissent  from  this  decision  must  be  lodged  by  the  claimant 
within  two  months,  after  which  the  insurance  association  must 
reconsider  the  claim  within  one  month.  In  case  of  further  dissent 
with  the  decision,  the  case  may  be  carried  to  court  within  2  months. 
Wlien  the  difference  refers  to  the  amount  of  compensation,  the 
claimant  may  accept  the  amount  offered  without  prejudicing  his 
right  to  sue.  And  when  a  claim,  rejected  by  the  association,  is  allowed 
by  the  courts,  or  the  amount  granted  is  increased,  all  payments 
overdue  must  be  paid  up  with  interest  computed  at  6  per  cent  an- 
nually. The  bill  endeavors  to  discourage  premature  suing  in  courts 
by  providing  that  in  going  to  court  before  first  making  a  claim 
directly  to  the  insurance  association,  or  before  the  expiration  of  the 
terms  established  by  the  bill,  the  claimant  loses  the  right  to  receive 
court  expenses  and  court  fees. 

Thus  the  procedure  is  simplified.  Criticism  has  been  passed  upon 
this  procedure  because,  while  eliminating  the  factory  or  mine  in- 
spector, it  substitutes  no  one  to  guard  the  interests  of  the  workman. 
It  seems  to  be  assumed  that  in  dealing  with  the  insurance  associa- 
tion the  claimant  has  less  need  of  such  protection  than  when  dealing 
with  an  individual  employer,  but  the  wage-workers  are  not  repre- 
sented in  the  insurance  association.  The  plan  for  special  insurance 
arbitration  courts,  included  in  the  draft  of  1905  to  diminish  tedious 
htigation,  has  been  omitted  in  the  draft  of  1908. 


2156  KEPOBT  OF  THE  COMMISSIONER  OF  LABOE. 

STATISTICS  OF  ACCIDBNTS. 
ACCIDENTS   IN  MANUFACTUKINO   ESTABLISHMENTS. 

The  Statistics  of  industrial  accidents  in  Russia  are  available  for 
only  a  few  years.  Reports  of  industrial  accidents  were  made  obli- 
gatory on  Ju  y  1,  1895.  According  to  the  rule  promulgated  by  the 
Mm,stry  of  Finance,  reports  were  to  be  ma.ie  of  all  accidf  nts,  whether 
to  workmen,  other  employees,  or  strange  persons,  provided  the  injury 

results  of  this  order  were  so  meager  that  for  five  years  the  Bureau  of 
Indus  ry,  which  collected  these  data,  did  not  find  then,  worthy  o 
compilation  and  presentation.     There  was  an  improvement  evidenced 
by  the  rapid  increase  m  the  number  of  accidents  reported,  and  in  1901 

The  total  number  of  accidents  reported  to  the  factory  inspectors 

follSv  n1  lab      .  T"*^'  ''""'''^  ^^P^^"°"  "-^P"'*^'  '^  «how/in  the' 
ollmvmg  table  to  have  increased  from  27,135  in  1901  to  76,409  in 

1908,  or  has  nearly  trebled.  The  increase  came  mainly  in  1 9o4  after 
the  "^t'od-iction  of  the  compensation  law,  and  as  the  increase' since 
has  been  slight  the  data  for  the  later  years  appear  to  be  fairly  reliabk 

''-'''  '^^^.^.^t^k^eToS— ^^^^  -^--H. 


Year. 


Accidents  reported. 


Fatal. 


1901. 
1902. 
1903. 
1904. 


(«) 
(«) 
(«) 
395 


Nonfatal 


(«) 
(«) 
(«) 
60,302 


Total. 


27,135 
29,349 
35.138 
69,697 


■  Not  separately  reported. 


Year. 

Accidents  reported. 

Fatal. 

Nonfatal.     Total. 

1905 

337 
364 
453 
374 

71.008 

78. 370 
8;).«05 
76,035 

1906 

71.345 

1907 

78, 734 

1908 

84,358 

— 

76,409 

In  the  preparation  of  the  special  statistical  reports,  a  number  of 

rie  withT  T "?''  'r  "'^"^  "^^'^"^'  '^  ^'^^  *i^«  j^^-^- 

parable  with  the  statistics  of  persons  employed.     Since  1 904  the 


acci- 


he  law    Tn  r   /  1  '"  "^  t°  ^o^er  only  accidents  as  define.l  in 

the  law.  In  the  foUowing  table  is  given  the  number  of  accidents 
compared  with  the  number  of  persons  em,,loved.     The  proporUon 

SeTper  Toor  T^-^^' ^--  ''■'  P-  1.000  employees  InTool t 
36.3  per  1  000  employees  m  1906;  even  this  proportion,  however  is 
very  small  as  compared  with  that  in  other  in.iustrial  countries 


CHAPTER   IX. workmen's   INSURANCE   IN   RUSSIA.  2157 

ESTABLISHMENTS  SUBJECT  TO  FACTORY  INSPECTION  AND  EST  ^BLISHMFXTS 
REPORTING  ACCIDENTS,  WITH  NUMBER  OF  WORKMEN  EMPLOYED '  \ND  NUMBER 
OF  ACCIDENTS  REPORTED,  1901  TO  1906.  '  ^vlmbj^k 

[Source:  Ministerstvo  Torgovli  i  Promyshlennosti.  Otdiel  Promyshlennosti.  Statistika  neschastnvkh 
1^1-S.]  '^^"^^"^  ''  promyshlennykh  zavedeniakb,  podchinionnykh  nadsoru  librfchnoTii^SLu^ 


Year. 


Establi  s  h  m  e  n  t  s 
subject  to  factory 
inspection. 


1901. 
1902. 
1903. 
1904. 
1905. 
1906. 


Num- 
ber, (a) 


■ 


17,538 
16,085 
16, 579 
14.066 
13,292 
12,903 


Workmen 
employed. 


Establishments  reporting  accidents. 


1,690.906 
1,649,972 
1,682,672 
1,651.957 
1,044,218 
1.658.985 


Num- 
ber. 


2,919 
2,856 
3,165 
3,612 
3,488 
3,593 


Per 

cent 

of  total. 


Workmen  employed. 


Number. 


16.6 
17.8 
19.1 
25.7 
26.2 
27.8 


(6) 
1,025,508 
1,071,290 
1,172,426 
1,201,772 
1,234,766 


Per  cent 

of  all 
workmen 
subject 
to  factory 
inspec- 
tion. 


Accidents  reported. 


Number. 


60.2 
63.7 
71.0 
7.3.1 
78.0 


Per 

1,000 
work- 
men. 


24,744 
25,847 
31,319 
47,205 
52,655 
60,142 


14.6 
15.7 
18.6 
28.6 
32.0 
36l3 


Per 
1.000 
:  work- 
I  men  in 
I  estab- 
lish- 
'  ments 
I  report- 
i  ing  ac- 
cidents 


25.2 
29.2 
40.3 
43.8 
48.5 


a  The  reduction  in  the  number  of  establishments  is  explained  by  actual  siisnension  of  som^  h.,t  xnaini^ 

SJh^r^^*?"*''  of  estab  ishments  from  the  jurisdiction  of  faetorv  insp^^on      lXuitS.isrh?smanerTt^lJ 

6  Not  rep'^rtld"^^  affected,  as  indicated  by  the  uniformity  iE  the  number  of  workmen  emp^oyeS^ 

Only  16.6  per  cent  of  all  establishments  reported  accidents  in  1901, 
but  by  1906  the  proportion  of  establishments  reporting  increased  to 
27.8  per  cent.  The  number  of  workmen  in  establishments  reporting 
accidents  in  1902  was  60.2  per  cent  of  the  total  number  of  workmen 
subject  to  factory  inspection,  while  in  1906  the  proportion  increased 
to  78  per  cent.  The  increase  both  in  the  number  of  establishments 
reportmg  and  of  the  workmen  employed  in  these  establishments  was 
greatest  in  1904,  when  the  accident  compensation  law  first  went  into 
effect,  thus  indicating  direct  dependence  of  accident  statistics  upon 
the  accident  compensation  law. 

But  while  the  number  of  establishments  reporting  increased  from 
3,165  in  1903  to  3,593  in  1906,  or  13.5  per  cent,  and  that  of  workmen 
m  the  establishments  reporting  increased  from  1,071,290  to  1,234,766 
or  15.3  per  cent,  the  number  of  accidents  increased  from  31,319  to 
60,142,  or  nearly  doubled.  It  would  appear  that  the  serious  omis- 
sions m  the  statistics  of  accidents  before  1904  were  not  due  so  much 
to  establishments  failing  to  report,  altogether,  as  to  reports  from  the 
larger  estabhshments  being  incomplete. 

For  a  proper  application  of  the  data  presented  in  the  tables  which 
follow  these  facts  must  be  considered:  (1)  While  accidents  to  stran-ers 
were  reported,  they  were  excluded  from  the  compilation;  (2)  accidents 
to  office  employees  subject  to  tlie  law  of  1903  were  reported,  but 
excluded  because  the  total  number  of  employees  not  being  known 
then-  mclusion  would  be  a  disturbing  factor;  (3)  in  the  reports  of 


2158 


REPORT  OF   THE  COMMISSIONER  OF  LABOR. 


1901  to  1903  accidents  causing  disability  of  not  more  than  two  days 
were  excluded,  and  in  the  report  of  1904  all  accidents  causing  dis- 
abihty  for  not  more  than  three  days.     This  limits  the  comparative 
value  of  the  reports  for  different  years.     In  the  vast  majority  of 
accidents  the  injuries  are  of  slight  duration;  in  1904  out  of  40  505 
cases  of  temporary  disabihty  12,441  cases,  or  30.7  per  cent,  lasted  four 
to  seven  days;  the  number  of  cases  lasting  three  days,  not  reported 
f^^u^  though  reported  in  earlier  years,  must  have  been  considerable. 
(4)  The  data  of  mdustrial  accidents  collected  by  the  factory  inspectors 
refer  only  to  those  industries,  estabhshments,  and  locahties  whicli  are 
subject  to  factory  inspection.     Therefore   the   so-called  "artisans' 
shops"   are  excluded-i.   e.,   the  smaller  industrial  esta])lishments 
havmg  less  than  20  and  in  some  cases  less  than  15  employees    and 
not  employmg  mechanical  power;  also  mines  and  metallurgical  estab- 
lishments,  for  which   separate    accident  statistics    and   a  separate 
system  of  inspection  exist,  all  state  factories  and  mills,  and  all  indus- 
trial establishments  under  the  jurisdiction  of  the  Ministrit^s  of  War 
Navy,  and  Ways  of  Communication.     While  these  data  refer  mainly 
to  the  manufacturing  industry,  another  important  limitation  is  found 
in  the  circumstance  that  factory  inspection  has  as  yet  been  introduced 
only  in  the  60  Provinces  of  European  Russia  and  in  some  parts  of 
Caucasus-namely,  the  Provinces  of  Baku,  Til  lis,  Ku  tais,  Cheniomorsk 
and  Batum.     Accidents  in  the  industrial  establishments  of  the  remain- 
mg  Caucasian  Provinces  in  Siberia  and  central  Asia  are  also  required 
to  be  reported  by  the  act  of  1903,  but  because  the  reports  were  in- 
sulhcient  and  statistics  of  the  number  of  workmen  were  lacking  these 
have  not  been  included. 

Accidents,  by  Industry,  Sex,  and  AGE.-In  the  tables  following 
are  sho^vn  the  number  of  workers  employed  in  each  industrial  group 
the  number  of  accidents,  and  the  number  of  accidents  per  1  000 
workers  from  1904  to  1906.  The  data  are  given  for  all  workers  and 
separately  for  male  and  female  workers;  and  also  for  adults  (17  years 
and  over),  young  persons  (15  and  under  17  years),  and  children  (12 
and  under  15  years).  The  number  of  reported  accidents  per  1  000 
workers  has  increased  from  28.6  in  1904  to  36.3  in  1906.  For' the 
male  workers  the  number  of  accidents  per  1,000  in  1906  was  45  9 
and  for  the  female  workers  only  13.1.  This  is  partly  due  to  the  fact 
that  women  are  mainly  employed  in  those  industries  where  accidents 
are  less  frequent,  namely,  the  manufacture  of  textiles  and  food 
products,  these  two  industrial  groups  employing  in  1906  82  per  cent 
of  all  female  wage-workers  and  only  52  per  cent  of  the  male  workers. 
But  a  difference  in  the  frequency  of  accidents  to  males  and  to  females 
m  noticed  m  each  industrial  group,  indicating  that  the  men  are  pre- 
ferred for  the  more  dangerous  kinds  of  work,  requiring  close  contact 
with  power-generating  engines  and  compHcated  machinery 


I 


chapter  IX. WORKMEN  S   INSURANCE   IN   RUSSIA.  2159 

A  comparison  by  the  main  age  groups  indicates  that  in  1906  the 
average  number  of  accidents  per  1,000  adults  was  38.2,  per  1,000 
young  persons  20.3,  and  per  1,000  children  15.3.  No  such  concen- 
tration of  the  workers  below  17  years  of  age  exists  as  was  found  in 
the  case  of  women,  and  the  difference  in  the  proportionate  number 
of  accidents  seems  to  be  mainly  due  to  the  nature  of  work  intrusted 
to  the  younger  employees. 

The  comparative  frequency  of  accidents  in  various  branches  of 
industry  is  also  shown  in  these  tables.  In  the  following  statement  the 
industries  are  arranged  in  order  of  the  accident  frequency  during  1900 : 

ACCIDENT  RATE   PER  1,000  EMPLOYEES,    IN    MANUFACTURING    ESTABLISHMENTS, 

BY  INDUSTRIES  AND  SEX,  1906. 

[Source:  Ministerstvo  Torgovli  i  Promyshlennosti.    Otdiel  Promyshlennosti.    Statistika  neschastnvkli 

slucliaev  s  rabochinii,  1906.] 


Industry. 


Machinery 

Iron  and  steel 

Mineral  products,  not  speci 

fled 

Mineral-oil  products 

Chemicals. 

Explosives 

Lumber  sawing 

Metal  work,  not  specified 

Woodworking,  not  specified  . 

Paper  manufactures 

Glass 

Cotton  manufactures 

Flax,  hemp,  and  jute 

Flour  millmg 


Accident  rate   per 
l,Ouo  employees. 


Males. 


141.1 
143.2 

69.5 
6L6 
48.3 
.50.2 
38.2 
40.9 
32.3 
41.7 
27.6 
33.3 
22.8 
21.0 


Fe- 
males. 


19.3 
32.0 

22.4 


1L9 
16.5 
49.6 
23.8 
42.4 

7.0 
15.5 
14.9 
20.0 

3.8 


Total. 


140.2 
136. 6 

64  6 
51.4 
47.3 
42.4 
38.5 
38.5 
35.0 
26.3 
25.8 
24.1 
21.4 
20.7 


Industry. 


Sugar 

Chemical  industry,  not  spec- 
ified  r... 

Paper,  parchment,  and  wall 
paper 

Animal  products  (hides, 
leather,  etc. ) 

Food  products,  not  specified . 

Wool  manufactures 

Textiles,  mixed 

Printing  and  engraving 

Chinaware 

Silk  manufactures : 

Earthen  and  stone  ware 


Accident  rate  per 
1,000  employees. 


Males. 

Fe- 
males. 

21.6 

lag 

28.9 

7.0 

27.3 

4.8 

lao 

11.6 

18.9 

ai 

16.4 

as 

1&9 

2.9 

7.1 

3.8 

6.1 

2.9 

7.8 

2.1 

3.6 

3.6 

2a2 

19.8 


19.5 

15.4 

15l1 

115 

9.3 

as 

5.1 
4.4 

3.6 


Thus  accidents  are  shown  to  be  most  frequent  in  the  machinery 
and  iron  and  steel  industries,  being,  respectively,  140.2  and  136.6 
per  1,000  employees.  In  the  cotton-goods  industry,  which  is  the 
most  important  in  Russia,  the  rate  is  24.1  accidents  per  1,000,  and 
in  the  otlier  branches  of  textile  industry  much  lower.  The  differences 
in  the  frequency  of  accidents  in  the  various  branches  of  the  textile 
industries  may  be  explained  by  the  larger  size  of  the  cotton  mills 
where  machinery  and  mechanical  power  are  used  extensively,  while 
in  the  woolen  and  silk  industries  hand  looms  are  still  the  rule.  Thus 
in  1906  the  average  number  of  employees  per  establishment  in  the 
cotton  industry  was  614,  in  the  woolen  industry  139,  and  in  the  silk 
industry  129. 

In  the  table  following  the  accidents  and  accident  rates  are  shown 
by  industries  and  sex  for  the  years  1904  to  1906. 


bn 


2160 


REPORT  OF   THE   COMMISSIONER  OF   LABOR. 


NUMBER    OF    EMPLOYEES,    NUMBER    OF    ACCIDENTS      \ND    ACCIDFNTq    y^vji    i  ^^ 


Industry  and  year. 


Cotton  manufactures: 

19,)4 

1305 

1906 

Wool  manufactures: 

1904 

1905 ::: 

1900 

Silk  manufactures: 

1904 

1905 

190G 

Flax,  hemp,  and  jute 
manufactures: 

19i)4 

1905 ;. 

1906 

Textile  industries,  not 
specified; 

1904 

1905 

1906 '_ 

Paper,  parchment,  and 
wall  paper: 

1904 

1905 

1906 ;;; 

Printing  and  engrav- 
ing: 

1904 

1905 

1906 ;; 

Paper  and  printing, 
not  specified: 

1904 

1905 

1906 ,,"[ 

Total  paper  and  m-int- 


1904 

1905 

1906 ;;. 

Lumber  sawing: 

1904 

1905 

1906 ;. 

Wood    working,    not 
specified: 

1904 

1905 

1906 ; 

Total  wood  manufac- 
tures: 

1904 

1905 

1906 ].'.'; 

Iron  and  steel: 

1904 

1905 

1906 ;;;; 

Machinery: 

1904 

1905 

1906 


Mall's. 


Employ- 
ees. 


213,613 
209.682 
220, 175 

92.722 

88,281 
87,988 

12,590 

10, 401 

9,623 


39, 470 
45.104 
44,928 


12,605 
11.705 
11,785 


18.729 
18. 419 
18,753 


31.217 
30.501 
30.978 


8,548 
7.763 
8,994 


58,494 
56.683 
68,725 

50.480 

49,487 
49, 732 


19.948 
19,036 
19. 178 


70.428 
68,523 
68,910 

76.357 
74.824 
71,402 

140.549 
146, 697 
134, 109 


Accidents. 


Num- 
ber. 


4.567 
5.003 
7,325r 

940 
l.rXM 
1,442 

57 

60 
75 


659 

887 

1,025 


123 
135 
199 


539 
569 
512 


219 
187 
221 


354 
412 
375 


1,112 
1,1X8 
1,108 

1.779 
1.732 
1,901 


574 
607 
619 


2,353 
2.  .339 
2,520 

9.  .317 

9.671 

10,227 

15.321 

18,807 
18,923 


Per 
1,000 
em- 
ploy- 
ees. 


21.4 
23.9 
33.3 

10.1 
11.4 
16.4 

4.5 

5.8 
7.8 


16.7 
19.7 
22.8 


9.8 
11.5 
16.9 


28.8 
32.0 
27.3 


7.0 
6.1 
7.1 


41.4 
53.1 
41.7 


19.0 
21.0 
18.9 

3.5.2 
35.0 
38.2 


28.8 
31.9 
32.3 


33.4 
34.1 
36.6 

122.0 
129.2 
143.2 

109.0 
128.2 
141.1 


Females. 


Em- 
ploy, 
ees. 


201 . 720 
206.780 
220,017 

51,952 
50,876 
51,434 

16,913 
14.288 
14,035 


37,455 
42,341 

44,586 


15. 152 
13.850 
14,044 


10. 143 
9.587 
9,955 


3,048 
3,310 
3,453 


6,546 
6,326 
7,180 


19. 737 
19,223 
20,588 

1,425 
1,470 
1.392 


6,682 
6,511 
7,245 


8,107 
7.981 
8,637 

3,989 
4.136 
4,526 

1,132 

1,098 

983 


Accidents. 


Num- 
ber. 


2.041 
2,107 
3,284 

289 
312 
436 

18 
23 
30 


434 
521 
891 


36 
43 
41 


66 
47 

48 


21 
32 
13 


42 

42 
50 


129 
121 
111 

23 
24 
69 


208 
204 
307 


231 
228 
376 

132 
143 
145 

12 
44 
19 


Per 
1,000 
em- 
ploy- 
ees. 


10.1 
10.2 
14.9 

5.6 
6.1 
8.5 

1.1 
1.6 
2.1 


11.6 
12.3 
20.0 


2.3 
3.1 
2.9 


6.5 
4.9 
4.8 


6.9 
9.7 
3.8 


6.4 
6.6 
7.0 


6. 
6. 
6. 

16. 
16. 
49. 


31.1 
31.3 
42.4 


28.5 
28.6 
43.5 

33.1 
34.6 
32.0 

10.6 
40.1 
19.3 


Total. 


Employ- 
ees. 


415.333 
416. 462 
440, 192 

144,674 
139.157 
139, 422 

29,503 
24,689 
23,658 


76, 925 
87,445 
89,514 


27.757 
25,555 
25,829 


28.872 
28,006 
28,708 


34,265 
33,811 
34,431 


15,094 
14,089 
16, 174 


78,231 
75.906 
79,313 

51,905 
50,957 
51, 124 


26,630 
25,547 
26,423 


78,535 
76,504 
77,547 

80.346 
78,960 
75,928 

141,681 
147,795 
135.092 


Accidents. 


Num- 
ber. 


6,608 

7,110 

10,606 

1,229 

1,316 

1,878 

75 

83 

105 


1,093 
1,408 
1,916 


158 
178 
240 


605 
636 
560 


240 
219 
234 


396 
454 
425 


1  241 
1  .309 
1,219 

1  802 
1  756 
1,970 


782 
811 
926 


2,584 
2,5(37 
2,896 

9.449 

9.814 

10,372 

15.333 
18.  851 
18,942 


Per 
1,000 
em- 
ploy- 

6€S. 


15.9 
17.1 
24.1 

8.5 

9.5 

13.5 

2.5 
3.4 
4.4 


14.2 
16.1 
21.4 


5.7 
7.0 
9.3 


21.0 
22.7 
19.5 


7.0 

6.5 
6.8 


26.2 
32.2 
26.3 


15.9 
17.2 
15.4 

34.7 
34.5 
38.5 


29.4 
31.7 
35.0 


32. 
33. 
37. 

117. 
124. 
136.6 

108.2 
127.5 
140.2 


CHAPTER  IX. workmen's   INSURANCE  IN   RUSSIA.  2161 

NUMBER    OF    EMPLOYEES,    NUMBER    OF    ACCIDENTS,    AND    ACCIDENTS    PER    1000 
EMPLOYEES  IN  MANUFACTURING  ESTABLISHMENTS,  BY  INDUSTRIES  AND  SEX 

1904  TO  1900-Continued.  "  ' 


Industry  and  year. 


Metal    working,    not 
specified: 

1904 

1905 

1906 

Total  metals,  machin- 
ery and  implements: 
1904 

iyu<) ............... 

Glass  manufactures: 

1904 

1905 

1906 

China  ware: 

1904 

1905 

1906 

Earthenware: 

1904 

1905 

1906 

Mineral  products,  not 
specified: 

1904 

1905 

1906 

Total      stone,      clay, 
chin»,  and  glass  ware: 

1904 

1905 

1906 

Animal    products 
(hides,  leather,  ete.): 

1904 

1905 

1906 

Flour  milling: 

1904 

1905 

1906 

Sugar  and  sugar  refin- 
ing: 

1904 

1905 

1906 

Food    products,    not 
specified: 

,1  •'04  ............... 

1906 

Total  food  products: 

1904 

1905 

1900 

Chemicals: 

1904 

1905 

1906 

Mineral  oils: 

1904 

1905 

.1906 

Explosives: 

1904 

1905 

1906 


Males. 


Employ- 
ees. 


39,359 
39, 125 
39,683 


256,205 
260,  f>46 
245, 194 

36,817 
33, 261 
33,311 

13,740 
13.501 
13,040 

55,946 
51.503 
44,114 


13,888 
12.945 
11.764 


120.391 
111.270 
102,219 


41.280 
42.665 
40,172 

33,873 
a3. 169 
34.700 


121,386 
126. 839 
132, 166 


76,269 
70, 147 
70.048 

231,528 
230, 155 
236,914 

13,054 
10,483 
11,847 

4,625 
4,241 
3,511 

1,367 
1,444 
1,614 


Accidents. 


Num- 
ber. 


1,364 
1,376 
1,625 


26.002 
29.854 
30,775 

924 
892 
921 

53 
47 
79 

145 
134 
158 


534 
674 
817 


Per 
1,000 
em- 
ploy- 
ees. 


34.7 
35.2 
40.9 


101.5 
114.5 
126.5 

25.1 
26.8 
27.6 

3.9 
3.5 
6.1 


38.5 
44.3 
69.5 


1,656 
1,647 
1,975 

13.8 
14.8 
19.3 

456 
52? 
641 

11.0 
12.2 
16.0 

579 
585 
728 

17.1 
17.6 
21.0 

2,155 
2.259 
2,851 

17.8 
17.8 
21.6 

1.133 
1.240 
1,324 

14.9 
17.7 
18.9 

3.867 
4,084 
4,903 

16.7 
17.7 

20.7 

467 
519 
572 

35.8 
49.5 
48.3 

218 
160 

181 

47.1 
37.7 
61.6 

73 
94 
81 

53.4 
65.1 
50.2 

Females. 


Em- 
ploy- 
ees. 


5.796 
0,604 
6,765 


10,916 
11,838 
12,274 

6,945 
5,850 

5,928 

5,503 
6,3.36 
5,946 

6.605 
7.435 
6,408 


1,099 
1,125 
1,381 


20,152 
19. 746 
19,663 


5.228 
5.720 
6,442 

487 
437 
529 


15.957 
17,661 
19,778 


36.280 
36.735 
37.971 

52,724 
64.833 
58,278 

1,941 
250 
335 

12 
36 
13 

430 
620 
484 


Accidents. 


Num- 
ber. 


95 
115 
161 


239 
302 
325 

78 
86 
92 

12 
12 
17 

17 
25 
23 


25 
23 
31 


132 
146 
163 


24 
25 
63 

3 

"'2' 


105 
154 

215 


187 
269 
308 

295 
423 
625 

2 

7 

4 


1 

4 
8 


Per 
1,000 
em- 
ploy- 
ees. 


16.4 
17.4 
23.8 


2L9 
25.5 
26.5 

1L2 
14.7 
15.5 

2.2 
2.2 
2.9 

2.6 
3.4 
3.6 


22.7 
20.4 
22.4 


6.6 
7.4 
8.3 


4.6 

4.4 

1L6 

6.2 

"'3.'8 


6.6 

8.7 

10.9 


9.0 

1.0 
27.0 
1L9 


2.3 

7.7 

16.6 


Total. 


Employ- 
ees. 


45,154 
45,729 
46.448 


Accidents. 


Num- 
ber. 


1.459 
1.491 
1,786 


267,181  26.241 
272,484  '  30.156 
257,468  I  31,100 


43,762 
39.111 
39, 239 

19,243 
18.897 
18,986 

62.551 
58.938 
60,522 


14,987 
14.070 
13,135 


140,543 
131,016 
121,882 


46.508 
48.385 
45.614 

34.360 
33.606 
35,229 


137,343 
144.500 
161,944 


112.549 
106,882 
108,019 

284,252 
284,988 
295,192 

14.995 
10. 742 
12,182 

4,637 
4.277 
3,524 

1,803 
1.964 
2,098 


1.002 

978 

1,013 

65 
59 
96 

162 
159 
181 


559 

597 

848 


1,788 
1.793 
2,138 


480 
547 
704 

582 
585 
730 


2,260 
2,413 
3,066 


1.320 
1.509 
1,632 

4.162 
4.507 
6,428 

460 

526 
W6 

218 
160 
181 

74 
96 


Per 
1,000 

em- 
ploy- 

CS6S* 


32.3 
32.6 
38.5 


98.2 
110.7 
120.8 

22.9 
25.0 
25.8 

3.4 
3.1 
5.1 

2.6 
2.7 
3.6 


37.8 
42.4 
64.6 


12.7 
13.7 
17.5 


10.3 
11.3 
15.4 

16.9 
17.4 
20.7 


16.5 
16.7 
2a2 


n.7 

14.1 
15.1 

14.6 
15.8 
18.4 

31.3 
49.0 
47.3 

47.0 
37.4 

51.4 

41.0 
49.9 
42.4 


2162 


BEPOBT  OF   THE   COMMISSIONER  OF  LABOR. 


1904  TO  1906-Concludeci.  i^t^l ABLISHMENTS,  BY  INDUSTRIES  AND  SEX. 


Industry  and  year. 


Males. 


Females. 


Chemical  industry,  not 
specified: 

1904 

1905 

1906 [[] 

Total  chemical  prodl' 
ucts: 

1904 

1905 

1900 .'.■;;;; 

All  other  industries: 

1904 

1905 

1906 !.'.'!.'; 

All  industries: 

1904 

1905 

1906 


Employ- 
ees. 


Accidents. 


Num- 
ber. 


23.001 
25,080 
24,353 


42,047 
41,248 
41,325 

2.169 
3,140 
3,382 


Accidents. 


Per 
1,000 
em- 
ploy- 
ees. 


1,193,602 
1,179,503 
1,171,340 


602 
632 
703 


1,360 
1,405 
1,537 

77 
138 
242 

43.229 
48, 266 
53,764 


Em- 
ploy- 
ees. 


Num- 
ber. 


26.2 
25.2 
28.9 


32.3 
34.1 
37.2 

35.5 
43.9 
71.6 

36.2 
40.9 
45.9 


15.808 
16, 143 
17,355 


18, 197 

16,958 
18, 187 

102 
281 
460 

458,355 
464. 715 
487, 645 


106 
127 
121 


109 
138 
133 


Per 
1,000 
em- 
ploy- 
ees. 


Total. 


Employ- 
ees. 


6.7 
7.9 
7.0 


6.0 
8.1 
7.3 


Accidents. 


3.976 
4,:«9 

6.378 


8.7 

9.4 

13.1 


38,809 
41,223 
41,708 


60,244 
58. 2lXi 
59, 512 

2,271 
3,421 
3,842 

1,651,9.')7 
1,644,218 
1, 658, 985 


Num- 
ber. 


Per 
1,000 
em- 
ploy- 
ees. 


708 
759 

824 


1,469 
1.543 
1,670 

77 
138 
242 

47,206 
52. 6t.5 
60,142 


18.2 
18.4 
19.8 


24.4 
26.5 
28.1 

aio 

40.3 
63.0 

28  6 
32  0 
36.3 


year.  1904  to  1906  are  shown  by  industries  and  age  groups. 

GROUPS,  1904  TO  1906.  ^ESTABLISHMENTS,  BY  INDUSTRIES  ANJ)  AGB 


Industry  and  year. 


Adults 


Em- 
ployees. 


Cotton  manufactures: 

1904 

1905 

1906 .".'.".'.'.""■ 

Wool  manufactures: 

1904 

1905 

1906 .'."."; 

Silk  manufactures: 

1904 

1905. ..•.., 

1906 '."'.'.'.'.." 

Flax,  hemp,  and  jute 
manufactures: 

1904 

1905 

1906 ;;;;; 

Textile  industries,  not 
specified: 

1904 

1905 

1906 ! 


368,341 
369, 857 
394,098 

127, 182 
123,225 
122, 879 

25,352 
21,856 
21,001 


65,944 
75, 142 
76,268 


23,567 
22,056 
22,337 


Children. 


Accidents. 

Per 

Num- 

1,000 

ber. 

em- 

ployees. 

112 

17.2 

109 

16.8 

151 

24.6 

8 

3.7 

13 

8.0 

13 

8.0 

CHAPTER  IX. workmen's   INSURANCE   IN   RUSSIA.  2163 

NUMBER  OF  EMPLOYEES,  NUMBER  OF  ACCIDENTS,  AND  ACCIDENTS  PER  1000 
EMPLOYEES  IN  MANUFACTURING  ESTABLISHMENTS,  BY  INDUSTRIES  AND  AGE 
GROUPS,  1904  TO  1900— Continued. 


Industry  and  year. 


Pai)er,   parchment,   and 
wall  paper: 

1904 

1905 

1906 

Printing  and  engraving: 

1904 ... 

1905 

1906 

Pai>er  and  printing,  not 
specified: 

1904 

1905 

1906 

Total  paper  and  printing: 

1904 

1905 

1906 

Lumber  sawing: 

1904 

1905 

1906 

Woodworking,  not  speci- 
fied: 

1904 

1905 

1906 

Total  wood  manufactures: 

1904 

1905 

1906 

Iron  and  steel: 

1904 

1905 

1906 

Machinery: 

1904 

1905 

1906 

Metal  working,  not  speci- 
fied: 

1904 

1905 

1906 

Total  metals,  machinery, 
and  implements: 

1904 

1905. 

1906 

Glass  manufactures: 

1904 

1905 [ 

1906 

China  ware: 

1904 

1905 .' 

1906 

Earthenware: 

1904 

1905 

1906 

Mineral     products,     not 
specified: 

1904 

1905 ; 

1906 

Total  stone,  clay,  china, 
and  glass  ware: 

1904 

1905 

1906 


Adults. 


Em- 
ployees. 


25,804 
24,801 
25,610 

26,650 
26,339 
27,130 


11,714 
11,263 
13,020 

64,168 
62,4a3 
65,760 

49,534 

48, 712 
48,610 


23,981 
22,842 
23,505 

73,515 
71,554 
72,115 

70,327 
71,746 
68,805 

129,801 
135,554 
124, 620 


39.758 
39,309 
40,257 


239.886 
246.609 
233,682 

30,668 
27.338 
27,823 

16, 131 
16.369 
16,077 

58,287 
55,403 
47,380 


14,088 
13, 521 
12,450 


119, 174 
112,631 
103,730 


Accidents. 


Num- 
ber. 


566 
587 
521 

177 
163 
185 


376 
430 
404 

1,119 
1,180 
1,110 

1,745 
1,699 
1,884 


702 
762 
853 

2,447 
2.461 
2,737 

8,905 

9,301 

10,024 

14.585 
17.979 
18, 245 


1,343 
1,400 
1,675 


24,833 
28,680 
29,944 

807 
766 
802 

62 
56 
92 

147 
143 
166 


538 
586 
832 


1,554 
1,551 
1,892 


Youths. 


Per 
1,000 
em- 
ployees. 


21.9 
23.7 
20.3 

6.6 
6.2 
6.8 


32. 

38. 


3L0 


17. 
18. 


16.9 

35.2 
34.9 
38.8 


29.3 
35.4 
36.3 

33.3 
34.4 
38.0 

126.6 
129.6 
145.7 

112.4 
132.6 
146.4 


33.8 
35.6 
4L6 


103.5 
116.3 
128.1 

26.3 
28.0 
28.8 

3.8 
3.4 
5.7 

2.5 
2.6 
3.5 


38.2 
43.3 
66.8 


13.0 
13.8 
18.2 


Em- 
ployees. 


2.712 
2,799 

2,708 

6,136 
6,005 
6,806 


2,629 
2,200 
2,579 

11,477 
11.004 
11,093 

2.269 
2,141 
2,350 


2,299 
2,379 
2,606 

4,568 
4,520 
4,956 

9.674 
6.752 
6,564 

11,617 
12. 0.33 
10,306 


4.975 
5.991 

6.788 


26.266 
24.776 
22,658 

7.577 
6.752 
6,572 

2.256 
1,783 
2,189 

3.703 
3,064 
2,801 

863 
529 
665 


14,399 
12, 132 
12,227 


Accidents. 


Num- 
ber. 


38 
47 
37 

51 

43 
35 


12 
23 
21 

101 

113 

93 

52 
53 

78 


67 
41 
56 

119 

94 

134 

526 
550 
336 

729 
860 
686 


111 

91 

108 


1,366 
1,451 
1,130 

115 
160 
132 

1 
2 
4 

11 
16 
13 


21 
11 
15 


148 
149 
164 


Per 

1,000 
em- 
ployees. 


14.0 
16.8 
13.7 

8.3 
7.2 
6.0 


4.6 

10.5 

8.1 

8.8 

10.3 

8.4 

22.9 
24.8 
33.2 


29.1 
17.2 
2L5 

26.1 
20.8 
27.0 

64.4 
74.1 
51.2 

62.8 
71.5 
66.6 


22.3 
15.2 
18.7 


62.0 
68.6 
49.9 

15.2 
17.8 
20.1 

.4 

LI 
L8 

3.0 
6.2 
4.6 


24.3 
20.8 
22.6 


10.3 
12.3 
13.4 


Children. 


Em- 
ployees. 


356 
406 
390 

1,479 

1.467 
1,496 


751 
626 
575 

2,586 
2,499 
2,460 

102 
104 
164 


350 
326 
312 

452 
430 
476 

345 

462 
559 

263 
208 
166 


421 
429 
403 


1,029 
1.099 
1,128 

5,517 
5.017 

4,844 

856 
745 
720 

561 
471 
341 


36 
20 
20 


6,970 
6.253 
6,925 


Accidents. 


Num- 
ber. 


Per 

1,(J00 
em- 
ployees. 


1 

2 
2 

2.8 
4.9 
5.1 

12 
13 
14 

8.1 
8.9 
9.4 

8 

1 

10.7 
L6 

21 
16 
16 

8.1 
6.4 
6.5 

5 

4 
8 

49.0 
38.5 
4S.8 

13 

8 

17 

37.1 
24-5 
54  5 

18 
12 
26 

39.8 
27.9 
52.5 

18 
13 
12 

52.2 
28.1 
2L5 

19 
12 
11 

72.2 
57.7 
66.3 

5 

1L9 

3 

7.4 

42 
25 
26 

40.8 
22.7 
23.1 

80 
92 
79 

14.5 

ia3 

16.3 

2 
1 

2.3 
L3 

4 

7.0 

2 

5.9 

i' 

""56.0 

86 
93 
82 

12.3 
14.9 
13.8 

2164 


EEPOET  OF   THE.  COMMISSIONEK  OF  LABOR. 


NUMBER    OF     EMPT.OVVtpq     xtttw^^^ 

EMPLOYEES  l"  ^^.N^^KAVumNO  rs^Lu'^^^JI-   ^'^'^   ACCIDENTS    PER    , «« 
GROUPS,  1904  TO  190fr-C„ncluded  "ESTABLISHMENTS,  BY  INDU.STEIES  AND  AOE 


Industry  and  year 


Animal  products  (hides, 
leather,  etc.): 
1904 
1905 

190G 

i'lour  niillinc: 
1904 
1905 

190o  _ 

Sugar  and  sugar  refinine- 
1904  ^' 

1905 

1906, 

Food  products,  not  spcci 
fied : 
1904 
1905 
1900 
Total  food  products: 
1904 
1905 
190G... 
Chemicals: 
1904 
1905 

1906 

Mineral  oils: 
1904 
1905 
1900... 
Explosives 
1904 
1905 
1900. 

Chemical    industry, "  not 
specified 

1904 

1905 

1906.. 

Total  chemical  products": 

1905 

1906 

All  other  industries 

1904 

1905 

1906 
All  industries: 

1904 

1905.. 

1906 


Children. 

Accidents. 

Em- 
ployees. 

Num- 
ber. 

Per 

1,000 

em- 

ployifes. 

261 
304 
223 

1 
2 

3.8 
9.8 

60  6 
307.7 
222,2 

24.7 
48.1 
72.6 


.6 

6  1 
16.8 


«  Entered  &s  found  In  the  original  report. 

specified  eaut  ^7:;^^  1^  sv^r Lr^r  ^T'  *^-  r 

are  separated  into  two  main  classes-  Thol  ,'''""«•  ,  A^'  accKlents 


CHAPTER   IX. workmen's   INSURANCE   IN   RUSSIA.  2165 

42.61  per  cent  in  1902,  41.91  percent  in  1903,  38.05  per  cent  in  1904, 
and  37.8  per  cent  in  1906.  This  proportionate  decline  is  probably 
due  to  a  better  recording  of  minor  accidents,  while  those  due  to 
machinery  or  dangerous  substances  are  usually  of  the  graver  kind. 
The  most  frequent  cause  of  accidents  is  found  in  shop  machinery 
operated  by  mechanical  power.  In  1906  this  claimed  27.19  per  cent 
of  all  industrial  accidents;  following  this  were  accidents  caused  by 
loading  and  unloading,  17.11  per  cent;  hand  implements,  15.07  per 
cent;  collapse  of  buildings  and  falling  weights,  7.70  per  cent;  and 
dangerous  substances,  5.04  per  cent.  Falls  claimed  only  3.38  per 
cent,  and  elevators  2.03  per  cent.  The  number  of  accidents  due  to 
power-generating  engines,  belts,  and  steam  boilers  are  comparatively 
few,  all  these  three  classes  claiming  only  2.91  per  cent. 

The  comparative  frequency  of  accidents  due  to  any  one  cause  differs 
considerably  in  various  branches  of  industry.  Thus,  in  the  textile 
industries  machines  with  mechanical  power  are  responsible  for  from 
one-half  to  two-thirds  of  all  accidents,  while  in  metal  industry  only 
about  one-fifth,  and  in  that  of  mineral  products  about  one-sixth  are 
due  to  this  cause.  In  these  last  two  branches  a  great  many  accidents 
are  due  to  loading  and  unloading  heavy  materials;  this  is  also  true  of 
the  woodworking  industry,  food  products  (mainly  sugar  industry),  and 
chemical  industry  (oil  refining).  Accidents  from  dangerous  sub- 
stances are  met  with  most  frequently  in  the  chemical  industry  (manu- 
fa<;ture  of  explosives)  and  m  animal  products  (hides,  leather,  etc.). 
Hand  implements  are  found  to  be  most  dangerous  in  the  metal 
works  and  in  the  chemical  industry. 


2166 


BEPOET  OF   THE   COMMISSIONER  OF  LABOB. 


Mar- 
ginal 
num- 
ber 


NUMBER  OF  ACCIDENTS  DUE  TO  EACH  CAUSE,  IN  MAKU 
[Source:  Minlsterstvo  Torgovli  i  Promyshlennostl.    OtUiel  promysh 


1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 


Industry. 


Accidents  caused  by  machinery  and  dancerous 
substances. 


Po\^er- 
generat- 
inji  ma- 
chines. 


Belts, 
etc. 


1901. 


Machin- 
ery with 
mechan- 
ical 

power 


Machin- 
ery 

without 

mechan- 
ical 

power. 


Cotton  manufiactures 

Wool  manufactures 

Silk  manufactures 

Flax,  hemp,  and  jute  maiiuf^VuresV 
Textiles,  not  specified. 

Paper,  and  printing.  

Wood  manufactures..         

Metals  machinery,  and 'iinpliii'eiiYs 
Mmeral  products.. 

Animal  products  (hidesVleather;  etco' 

Food  products ^ 

Chemical  products.   

All  other  industries 


Eleva 
tors,  der- 
ricks, 
etc. 


Steam 
boilern 

and 

steam 

fittings. 


Total. 


1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 


1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 


1903. 

Cotton  manufactures 

Wool  manufactures 

Silk  manufactures 

Flax,  hemp,  and  jute  nmiiufectures 
Textiles,  not  specified 
Paper  and  printing. . . 

Wood  manufactures 

Metals,  machinery,  and  jmpiem^nts 

Mineral  products.. 

Animal  products  (hides,  leather,"  etc:).' 

Food  products ^ 

Chemical  products. 

All  other  industries. 


Total. 


1903. 


1 
2 
3 
4 
5 
6 
7 
8 
9 

10 

11 

12 

13 


Cotton  manufactures 

Wool  manufactures 

Silk  manufactures \\ 

Flax,  hemp,  and  jute  manufactures' 
Textiles,  not  specified. 

Paper  and  printing .".' 

Wood  manufactures 

Metals  machinery,  and  impienients 

Mineral  products.. 

Animal  products  (hides,  leather,"  etc!) 

J'ood  products 

Chemical  products ] 

All  other  industries 


Total. 


1904. 


Cotton  manufactures 

Wool  manufactures...  

Silk  manufactures '."  .* 

Flax,  hemp,  and  jute  manufactures 

Textiles  not  specified . 

Paper  and  printing \\\ 

Paper,  parchment  'and  wairpapef 
Pnntmg  and  engraving. . 

ysiJ^A^^  ^"/'  printing,  not  sp^ifiedii 
Wood  manufactures 

Lumber  sawing. 

Woodworking,  not  "specilfied." '. 

Metals,  machinery,  and  implements 


3 

749 

318 

50 

47 

14 

4 

1 

3 

3 

4 

1 

19 

26 

li 

16 

4 

5 

4 

5 

56 

5 

53 

4 

3 

1 

795 

43 

CHAPTER  IX. WORKMEN  S   INSURANCE   IN   RUSSIA. 


2167 


FACTURING  ESTABLISHMENTS,  BY  INDUSTRIES,  1901  TO  1906. 
lennosti.    Statlstika  neschastnykh  sluchaev  s  rabochimi,  1901-1906.] 


Accidents  caused  bv  ma- 

chiner 

V  and   danger- 
t)stances. 

Accidents  from  other  causes. 

oussu 

Mar- 

Col- 

Run 

Grand 

ginal 

Danger- 
ous sul>- 
stances. 

Explo- 
sives. 

Total. 

lapse  of 
build- 
ings 
and 
falling 

Falls. 

Load- 
ing, im- 
loading, 
etc. 

Hand 
imple- 
ments. 

over 
by 
wag- 
ons, 
etc. 

Rail- 
road 
acci- 
dents. 

All 

other 

causes. 

Total. 

total. 

num- 
ber. 

objects. 

142 

1 

2,960 

200 

189 

409 

216 

52 

14 

418 

1,498 

4,458 

1 

31 

750 

27 

46 

51 

37 

8 

2 

32 

203 

953' 

2 

2 
11 

22 
458 

1 

27 

2 

50 

3 
55 

1 
38 

1 
56 

8 
244 

30 
702 

3 

14 

4 

4 

2 
21 

49 
536 

1 
65 

3 
41 

2 

87 

2 
45 

8 
320 

57 
856 

5 

57 

14 

19 

6 

12 

832 

146 

86 

223 

84 

14 

29 

29 

611 

1.443 

7 

806 

10 

4,306 

1,038 

493 

2,354 

2,533 

115 

276 

596 

7,405 

11,711 

8 

47 

3 

230 

98 

58 

89 

59 

20 

43 

56 

423 

653 

•   9 

25 

120 

9 

25 

35 

25 

5 

2 

41 

142 

262 

10 

,187 

1,031 

365 

244 

431 

174 

30 

226 

243 

1,713 

2,744 

11 

178 

1 

375 

61 

63 

129 

91 

11 

34 

66 

455 

830 

12 

9 

25 

5 

4 

2 

6 

1 

2 

20 

45 

13 

1,473 

15 

11,694 

2,033 

1,304 

3,870 

3,321 

283 

650 

1,587 

13,050 

24,744 

• 

183 

3,017 

262 

190 

577 

314 

104 

10 

890 

2.347 

5,364 

1 

27 

730 

25 

45 

86 

37 

8 

3 

65 

269 

999 

2 

1 
6 

37 
372 

3 
22 

2 
15 

1 

28 

6 
79 

12 
200 

59 

572 

3 

41 

10 

5 

4 

3 

80 

7 

4 

12 

8 

2 

16 

49 

129 

5 

24 

520 

63 

27 

148 

69 

15 

2 

61 

385 

905 

6 

17 

780 

98 

58 

305 

94 

38 

9 

99 

701 

1,481 

7 

579 

i2 

3,779 

861 

310 

2,379 

2,495 

256 

78 

1,260 

7,639 

11.418 

8 

25 

2 

181 

75 

49 

66 

57 

58 

10 

88 

403 

584 

9 

30 

111 

12 

21 

30 

20 

5 

1 

42 

131 

242 

10 

256 

2 

976 

481 

164 

501 

198 

114 

161 

366 

1,985 

2,961 

11 

182 

10 

394 

94 

51 

149 

161 

44 

8 

153 

660 

1,054 

12 

11 

1 

36 

3 

6 

5 

20 

1 

4 

14 

53 

89 

13 

1,344 

27 

11,013 

2,006 

942 

4,287 

3,514 

655 

291 

3.139 

14,834 

25,847 

240 

1 

3,400 

254 

202 

850 

422 

101 

6 

1,250 

3,085 

6,485 

1 

35 

786 

43 

48 

75 

50 

3 

1 

67 

287 

1,073 

2 

3 

55 

2 

2 

1 

5 

1 

14 

25 

80 

3 

4 

337 

27 

12 

42 

31 

6 

2 

86 

206 

543 

4 

6 
34 

i' 

79 
516 

6 
56 

5 
36 

8 
138 

3 

63 

6 

78 

28 
393 

107 
909 

5 

6 

16 

6 

23 

1,032 

113 

84 

439 

149 

45 

8 

148 

986 

2,018 

7 

987 

i5 

4,934 

1,333 

402 

2,964 

3,-046 

109 

242 

1,448 

9,544 

14,478 

8 

32 

1 

223 

86 

41 

83 

78 

26 

36 

103 

453 

676 

9 

20 

113 

16 

17 

41 

30 

4 

44 

152 

265 

10 

236 

i 

1,159 

552 

182 

505 

204 

195 

98 

486 

2,222 

3,381 

11 

226 

3 

464 

112 

63 

237 

145 

8 

32 

175 

772 

1,236 

12 

8 

28 

3 

7 

10 

4 

9 

2 

5 

40 

68 

13 

1,854 

22 

13,126 

2,603 

1,101 

5,393 

4,230 

513 

443 

3,910 

18,193 

31,319 

190 

1 

3,379 

247 

194 

641 

371 

92 

6 

1,678 

3,229 

6,608 

1 

46 

765 

58 

53 

97 

56 

15 

185 

464 

1.229 

2 

4 
13 

44 
604 

1 
67 

2 
44 

2 
79 

11 
53 

15 

227 

31 
489 

75 
1.093 

3 

18 

1 

4 

12 

96 

5 

5 

11 

2 

35 

62 

158 

5 

57 

692 

63 

33 

155 

105 

13 

3 

177 

549 

1.241 

6 

28 

354 

31 

12 

67 

49 

9 

2 

81 

251 

605 

7 

3 

26 

181 
157 

3 

29 

9 
12 

17 
71 

5 
51 

25 

71 

59 

239 

240 
396 

8 

4 

1 

9 

29 

1,284 

146 

89 

548 

164 

34 

14 

305 

1.300 

2,584 

10 

18 

712 

124 

77 

498 

107 

30 

12 

242 

1.090 

1.802 

11 

11 

572 

22 

12 

50 

57 

4 

2 

63 

210 

782 

12 

2,036 

U 

8,633 

2,194 

589 

5,469 

1     5,113 

242 

98 

3,9G3 

17,608 

26,241 

13 

67725*'— VOL  2—11- 


43 


2168 


Mar- 
ginal 

ber. 


EEPOBT  OF   THE   COMMISSIONER  OF   LABOR. 
NUMBER  OF  ACCIDENTS  DDE  TO  EACn  CAUSE,  IX  MA  NUPACTUEINO 

1 


14 

15 

16 

17 

18 

19 

20 

21 

22 

23 

24 

25 

26 

27 

28 

29 

30 

31 

32 


Industry. 


Accidents  caused  by  machinery  and  dangerous 

substances. 


Power- 
Renerat- 
ing  ma- 
chines. 


1904— Concluded. 

Metals,  machinery,  and  implements- 
Concluded. 


Iron  and  steel 

Machinery  and  implements." 
Metal  working,  not  specified. 


Stone,  clay,  china,  and  gbss 

Glass  manufactures 

China  ware 

Earthenware .'."..'." 

Mineral  products,  not  specified  "  * 
Animal  products  (hides,  leather,  etc!) 
iood  products ' 

Flour  milling ...".'. 

Sugar  and  sugar  refining.'. . .' 

Food  products,  not  specified  ..*."' 
Chemical  industry 

Chemicals !!!!!! 

Mineral  oils .,', 

Explosives ''.''.. 

*  n  ^i^^'emical  industry,  notspecifiedV.' 
All  other  mdastries 


1 
2 
3 
4 
5 
6 
7 
8 
9 

10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
25 
26 
27 
28 
29 
30 
31 
32 


Total. 


1905. 


1 
2 
3 
4 
fi 
6 


Cotton  manufactures 

Wool  manufactures .' .' 

Silk  manufactures .....'. 

Flax,  hemp,  and  jute  manufactures 

Textiles,  not  specified. . 

Paper  and  printing 

Paper,  parchment,  and  waU  paper 
Pnntmg  and  engraving 

itr    ^^P®^  ^^  printing,  not  specified". .' 
Wood  manufactures 

Lumber  sawing 

-  -  ^  Y°**^^^'''^'''^S,  not  specified! '. 

Metals,  machinery,  and  implements 

iron  and  steel 

Machinery  and  implements. 

Metal  working,  not  specified... 
Jstone,  clay,  china,  and  gfess 

Glass  manufactures 

China  ware 

Earthenware .\\\ 

Mineral  products,  not  specified 

Animal  products  (hides,  leather,  etc!) "" 
Food  products ' 

Flour  milling !!!!!!!! 

Sugar  and  sugar  refining. 

Food  products,  not  specified . .'.' 
Chemical  industry 

Chemicals ! ! ! ! ! 

Mineral  oils !!!!!!! 

Explosives ! ! ! ! ! 

Chemical  industry,  notspecifiedV.'.' 
All  other  mdustries 


Total. 


1906. 


Cotton  manufactures 

Wool  manufactures 

Silk  manufactures 

Flax,  hemp,  and  jute  manufactures". 
1  e-\t,iie  industries,  not  specified 
Pai)er  and  printing. . 


23 

39 

19 

7 

3 

1 

1 

2 

2 

59 

14 

28 

17 

15 

6 

1 


237 


40 
14 


5 
1 

15 

5 

5 

5 

11 

11 


13 

40 
6 
9 
1 
1 
1 
6 
1 

51 

18 
20 
13 

8 

4 

2 


223 


Belts, 
etc. 


96 

99 

14 

A3 

11 

9 

10 

23 

11 

203 

111 

48 

44 

27 

6 


21 
2 


780 


106 

71 

2 

39 

6 

52 

39 

6 

7 

74 

61 

13 

338 
89 

229 
20 

33 
7 
5 
3 

18 

8 

206 

108 

51 

46 

28 

11 
2 
3 

12 


Machin 
ery  with 
mechan- 
ical 
power 


2,198 
2,661 
376 
205 
96 
14 
26 
69 
91 
535 
157 
164 
214 
195 
31 
18 
14 
132 
4 

12,077 


3,118 
764 
39 
691 
74 
474 
236 
139 
99 
1,069 
539 
530 
6,561 
2,200 
3,865 
496 
210 
79 
19 
33 
79 
87 
586 
121 
247 
218 
203 
41 
5 
9 
148 
14 


Machin- 
ery 

without 

mechan- 
ical 

power. 


Eleva- 


Steam 


tors.der-i  ^^^^^P 
ricks,        fnd 
pj.„  '       steam 
^^-       fittings. 


52 

161 

7 

96 

1 

6 

65 

2 

4 

16 

50 

962       13,890 


4,423 
936 

46 
916 

98 
474 


109 

71 

40 

12 

2 

1 

4 

5 

9 

39 

4 

7 

28 

13 

4 


415 


13 
3 
1 

13 
6 

26 
3 

14 
9 

10 

2 

8 

170 

76 

66 

28 
5 


3 

2 

10 

58 

1 

22 

35 

9 

1 


244 

530 

12 

33 

2 

3 

8 

20 

9 

111 

23 

59 

29 

16 

5 


11 
1 


1,109 


51 
U 


17 
4 
39 
24 
5 
10 
34 
30 
4 
782 
243 
525 
14 
23 
1 
1 
6 
15 
12 
108 
25 
56 
27 
16 
6 
2 
1 
7 
4 


324 


25 
11 


25 
4 

37  I 


MOl 


78 
7 
1 

10 
1 

29 


12 

21 

10 

1 


1 

1 

87 

9 

64 

14 

12 

6 

3 

1 

2 

1 


234 


49 
9 
1 

10 
2 

14 
6 


8 
12 
7 
5 
40 
18 
22 


1 

6 

56 

6 

38 

12 

8 

2 

4 


209 


111 
18 

7 
16 

4 
15 


CHAPTER  IX. WORKMEN'S   INSURANCE  IN   RUSSIA. 

•  ESTABLISHMENTS,  BY  INDUSTRIES,  1901  TO  1906— Continued, 


2169 


Accidents    caused    by 
machinery  and  dan- 
gerous substances. 

Accidents  from  other  causes. 

Grand 
total. 

Danger- 
ous sub- 
stances. 

Explo- 
sives. 

Total. 

Col- 
lapse of 
build- 
ings 
and 
faUing 
objects. 

Falls. 

Load- 
ing, un- 
loading, 
etc. 

Hand 
Imple- 
ments. 

Run 
over 
by 
wag- 
ons, 
etc. 

Rail- 
road 
acci- 
dents. 

All 

other 

causes. 

Total. 

Mar- 
ginal 
num- 
ber. 

953 

971 

112 

207 

172 

5 

6 

24 

36 

218 

10 

120 

88 

217 

120 

35 

IT 

45 

18 

1 

6 
7 
2 

2* 

7* 

5 
1 
1 
4 
2 

2* 

3,636 

4,398 

599 

520 

286 

33 

55 

146 

159 

1,259 

333 

491 

435 

499 

180 

57 

35 

227 

29 

647 

1,406 

141 

121 

59 

5 

16 

41 

18 

321 

23 

235 

63 

121 

32 

23 

7 

59 
5 

164 

384 

41 

75 

40 

5 

9 

21 

26 

214 

39 

114 

61 

78 

29 

17 

4 

28 

8 

2,224 

3,060 

185 

318 

138 

9 

31 
140 

45 
958 

44 
634 
280 
272 

88 

27 

12 
145 

13 

1.260 

3,633 

220 

238 

143 

5 

7 

83 

50 

250 

39 

129 

82 

183 

56 

50 

10 

67 

9 

121 
113 

8 
49 

3 

2 

8 
36 

5 
75 

4 
61 
10 
31 

7 

43 

51 

4 

18 

1 

e' 

11 
4 

203 
2 

198 

3 

25 

8 

1.3^ 

2,288 

231 

449 

332 

6 

30 

81 

173 

882 

98 

398 

386 

260 

69 

44 

4 

143 

10 

5.813 

10.935 

860 

1,268 

716 

32 

107 

413 

321 

2,903 

249 

1.769 

885 

970 

289 

161 

39 

481 

48 

9.449 

15,333 

1,459 

1,788 

1,002 

65 

162 

559 

480 

4,162 

582 

2,200 

1,.320 

1,469 

469 

218 

74 

708 

77 

14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
25 
26 
27 
28 
29 

1 

23 

3 

1 

16 

30 
31 
32 

3,083 

28 

17,963 

3,367 

1,410 

8,608 

6,607 

579 

372 

8,299 

29,242 

47,205 

228 

3^ 

1 

18 

8 

64 

37 

6 

21 

18 

13 

5 

2,390 

1.030 

1,230 

130 

214 

199 

1 

1 

13 

47 

243 

3 

161 

79 

265 

149 

27 

21 

68 

16 

3' 

i7* 

7 
3 
7 
1 

i' 

3' 

2 

i* 

5 

4' 

1 
1 

3,605 

914 

44 

793 

101 

684 

350 

175 

159 

1,228 

663 

565 

10,357 

3,676 

5,980 

701 

496 

287 

27 

48 

134 

171 

1,310 

284 

595 

431 

542 

214 

42 

38 

248 

45 

234 

53 

2 

70 

6 

87 

43 

8 

36 

160 

131 

29 

2,220 

595 

1,551 

74 

140 

39 

7 

23 

71 

42 

402 

24 

275 

103 

135 

29 

10 

16 

80 

12 

161 
45 
1 
42 
5 
41 
23 

""is" 

102 
90 
12 

810 

204 

553 
53 

106 

06 

1 

9 

30 

40 

219 
46 

102 
71 
75 
35 
11 
1 
28 
22 

821 

98 

11 

114 

19 

195 

74 

14 

107 

524 

456 

68 

6,131 

2,288 

3,632 

211 

366 

177 

9 

20 

160 

73 

942 

74 

641 

227 

273 

92 

29 

10 

142 

27 

381 

71 

8 

96 

13 

118 

51 

7 

60 

164 

103 

61 

6, 172 

1.280 

4,tai 

241 

371 

277 

4 

14 

76 

102 

371 

57 

198 

116 

212 

77 

52 

18 

65 

14 

109 
14 

8 
2 

1,791 

121 

17 

253 

33 

157 

75 

15 

67 

320 

250 

70 

4.041 

1,597 

2,247 

197 

227 

124 

11 

14 

78 

112 

918 

90 

295 

534 

254 

69 

12 

15 

158 

14 

3,505 

402 

39 

615 

77 

625 

286 

44 

295 

1.339 

1,093 

246 

19.799 

6.138 

12,871 

790 

1.297 

691 

32 

111 

463 

376 

3,197 

301 

1.818 

1,078 

1,001 

312 

118 

60 

511 

93 

7,110 

1,316 

83 

1,408 

178 

1,309 

636 

219 

454 

2,567 

1,756 

811 

30,156 

9.814 

18,851 

1,491 

1,793 

978 

59 

159 

597 

547 

4,507 

585 

2,413 

1,509 

1.543 

526 

160 

98 

759 

138 

1 
2 
3 

38 

1 
24 
18 

2 

3' 

2 

4 
5 
6 
7 
8 

6 

62 

56 

6 

319 

139 

170 

10 

72 

5 

1 

7 
7 

"'ioe' 
35 

67 

4 

15 
3 

9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 

29 
38 

7 
306 

4 

275 

27 

44 

9 

1 

2 
10 

"""39" 
6 
32 
1 
8 
1 
3 

'20 
21 
22 
23 
24 
25 
26 
27 
28 
29 
30 

34 
3 

4 
1 

31 
32 

3,551 

30 

20,290 

3,563 

1,669 

9,592 

8,093 

999 

191 

8,255 

32.365 

52.655 

279 
40 

4 
22 

5 
43 

i" 

5,129 

1,115 

59 

1,060 

119 

664 

431 

102 

3 

94 

10 

131 

282 
75 

6 
58 

7 
46 

1.290 

194 

10 

158 

34 

115 

608 
81 
11 

105 
18 
92 

151 
22 

1 
24 

32 
2 

"""is" 

2,683 
287 

15 
402 

52 
148 

5,477 
763 
46 
856 
121 
555 

10.606 
1,878 

105 
1.916 

240 
1,219 

1 
2 
3 
4 
5 

7 

ie 

6 

2170 


BEPOET   OF   THE   COMMISSIONER  OF  LABOR. 
NUMBER  OF  ACCIDENTS  DUE  TO  EACH  CAUSE.  IN  MANUFACTURINQ 


Mar- 
ginal 
num- 
ber. 


7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
25 
26 
27 
28 
29 
30 
31 
32 


Industry. 


Accidents  caused  by  machinery  and  dangerous 
substances. 


Power- 
generat- 
ing ma- 
chines. 


1906— Concluded. 

Paper  and  printing— Concluded. 

Paper,  pa-chment,  and  wall  paper. 

Printing  and  engraving 

Paper  and  printing,  not  specified.! 
Wood  manufactures 

Lumber  sawing 

Woodworking,  not speciJaed! '.'.'.'.'.'. 
Metals,  machinery,  and  implements. . 

Iron  and  steel 

Machinery  and  implements  .J 

Metal  working,  not  specified ." ." 

Stone,  clay,  china,  and  glass 

Glass  manufactures... 

China  ware ...'..'.'.'..' 

Earthenware .'..'...". 

Mineral  products,  not  specified .  . 
Animal  products  (hides,  leather,  etc.). . 
Food  products ^ 

Flour  milUng !!!!!!!!!!!! 

Sugar  and  sugar  refining ...!!!!!" 

Food  products,  not  specified 

Chemical  industry 

Chemicals 

Mineral  oils 

E  xplosi  ves '.'.'.'.. 

Chemical  industry,  not  specified .'.' .' 
All  other  industries 


Total, 


6 
8 
2 
8 
7 
1 

68 

18 

35 

15 

13 

5 

2 

1 

5 

2 

39 

19 

12 

8 

13 

6 

3 


4 

6 

233 


Belts, 
etc. 


Machin- 
ery with 
mechan- 
ical 
power 


34 

6 

10 

66 

m 

8 

352 

95 

230 

27 

28 

5 

3 

7 

13 

9 

284 

118 

97 

60 

26 

12 


1 

12 
1 

1,141 


221 

134 

119 

1,271 

567 

704 

6,934 

2,401 

4,014 

519 

210 

85 

10 

34 

81 

131 

714 

166 

304 

244 

186 

43 

9 

9 

125 

16 

16,355 


Machin- 
ery 

without 

mechan- 
ical 

power. 


12 

21 

4 

6 

1 

5 

176 

73 

61 

52 

5 

2 


3 

10 

46 

3 

7 

35 

11 

3 

1 

1 

6 

1 

356 


Eleva- 
tors, der- 
ricks, 
etc. 


Steam 

boilers 

and 

steam 

fittings 


14 

13 

3 

12 

2 

50 

10 

40 

8 

10 

2 

858 

69 

248 

28 

594 

33 

16 

8 

27 

5 

2 

2 

1 

1 

5 

19 

2 

7 

10 

123 

88 

16 

22 

74 

48 

34 

18 

25 

14 

12 

8 

2 

2 

9 

6 

2 

8 

1,218 


376 


CHAPTER  IX. workmen's  INSURANCE  IN   RUSSIA.         2171 


j    ESTABLISHMENTS,  BY  INDUSTRIES,  1901  TO  1906— Concluded. 


Accidents    caused    by 

machinery  and  dan- 

Accidents from  other  causes. 

gerous 

substances. 

Mar- 

Col- 

Run 
over 
by 
wag- 
ons, 
etc 

Grand 

ginal 

Danger- 
ous sub- 
stances. 

Explo- 
sives. 

Total. 

lapse  of 
build- 
ings 
and 
falling 

Falls. 

Load- 
ing, un- 
loading, 
etc. 

Hand 
imple- 
ments. 

Rail- 
read 
acci- 
dents. 

All 

other 

causes. 

Total. 

total. 

ninn- 
ber. 

objects. 

15 

315 

41 

26 

45 

43 

5 

10 

75 

246 

660 

7 

5 

177 

11 

7 

16 

6 

1 

16 

57 

234 

8 

23 

172 

79 

13 

54 

43 

2 

5 

57 

253 

425 

9 

18 

1,429 

217 

154 

614 

177 

41 

41 

323 

1,467 

2,896 

10 

12 

693 

184 

143 

487 

124 

36 

38 

265 

1,277 

1,970 

11 

6 

736 

33 

11 

27 

63 

5 

3 

68 

190 

926 

12 

1,811 

14 

10,282 

2,702 

829 

5,886 

6,688 

220 

234 

4,259 

20,818 

31.100 

13 

719 

9 

3,591 

797 

191 

2,352 

1,601 

129 

80 

1,731 

6,781 

10,372 

14 

948 

2 

5,907 

1,758 

571 

3,289 

4,911 

86 

148 

2,272 

13,035 

18,942 

15 

144 

3 

784 

147 

67 

245 

276 

5 

6 

266 

1,002 

1.786 

16 

166 

2 

455 

179 

119 

463 

450 

58 

61 

363 

1,683 

2,138 

17 

130 

1 

232 

66 

49 

200 

274 

3 

2 

197 

781 

1,013 

18 

3 

20 

11 

10 

14 

12 

3 

5 

21 

76 

96 

19 

4 

51 

26 

10 

24 

10 

17 

16 

27 

130 

181 

20 

28 

1 

152 

86 

50 

225 

154 

35 

28 

118 

696 

848 

21 

63 

232 

49 

42 

116 

129 

6 

6 

126 

472 

704 

22 

303 

1 

1,597 

513 

293 

1,184 

439 

376 

37 

989 

3,831 

5,428 

23 

8 

361 

47 

64 

98 

65 

7 

1 

97 

379 

730 

24 

204 

746 

351 

143 

803 

251 

353 

24 

395 

2,320 

3.066 

25 

91 

1 

500 

115 

86 

283 

123 

16 

12 

497 

1,132 

1,632 

26 

254 

5 

633 

177 

96 

283 

213 

25 

66 

278 

1.137 

1,670 

27 

143 

1 

228 

39 

29 

98 

63 

12 

20 

87 

348 

576 

28 

26 

41 

7 

22 

32 

59 

2 

1 

17 

140 

181 

29 

12 

4 

29 

11 

2 

16 

19 

4 

8 

60 

89 

30 

73 

235 

120 

42 

137 

72 

ii 

41 

166 

589 

824 

31 

24 

68 

25 

26 

43 

64 

2 

2 

32 

184 

242 

32 

3,031 

23 

22, 732 

4,633 

2,032 

10,290 

9,066 

932 

501 

9,95;j 

37,410 

60,142 

2172 


REPORT  OF   THE   COMMISSIONER  OF  LABOR. 


PER  CENT  OF  ACCIDENTS  VUE  TO  EACH  CAUSE,  IN  MANU 
{Source:   Ministerstvo  Torgovli  i  Promyshlennosti.    Otdiel  promysh 


Mar- 
ginal 
num- 
ber. 


1 
2 
3 
4 
5 
6 

^ 

i 

8 
o 

10 
11 
12 
13 


1 
2 
3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 


1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 


1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 

14 


Industry. 


Accidents  caused  by  machinery  and  dangerous  sub- 
stances.' 


Power- 
generat- 
ing ma- 
chlnes. 


1901. 

Cotton  manufactures 

Wool  manufactures 

Silk  manufactures 

Flax,  hemp,  and  jute  manufactiires . . 

Textiles,  not  specified 

Paper  and  printing 

Wood  manufactures 

Metals,  machinery,  and  implements! '. 

Mineral  products 

Animal  products  (hides,  leather,  etc.) 

Food  products ' 

Chemical  products !!!!!!!!! 

All  other  industries ......'''. 


Total. 


1902. 


Cotton  manufactures 

Wool  manufactures \\\ 

Silk  manufactures '..'..'.'.'.'..'. 

Flax,  hemp,  and  jute  maniifactures. . 

Textiles,  not  specified 

Paper  and  printing 

Wood  manufactures 

Metals,  machinery,  and  implements! '. 

Mineral  products 

Animal  products  (hides,  leather"  etc!)\ 

Food  products 

Chemical  products \\\', 

All  other  industries ' 


Total. 


1903. 


Cotton  manufactures 

Wool  manufactures '..'.'.'.. 

Silk  manufactures ..'.'..'.... 

Flax,  hemp,  and  jute  manufactures. .' 

Textiles,  not  specified 

Paper  and  printing ] " ' 

Wood  manufactures 

Metals,  machinery,  and  implements! ! 

Mineral  products 

Animal  products  (hides,  leather,' etc!)! 

Food  products 

Chemical  products !!!!!! 

All  other  industries ! 


Total. 


1904. 


Cotton  manufactures 

Wool  manufactures ! 

Silk  manufactures !!!!!!!!! 

Flax,  hemp,  and  jute  manufactures.'!! 

Textiles,  not  specified 

Pai)er  and  printing !.!.!!!!!!! 

Paper,  parchment,  and  wall  paper 

Prmting  and  engraving 

Paper  and  printing,  not  specified. . 
w  ood  manufactures 

Lumber  sawing 

,_    Woodworking,  not  specified'!!!!!!! 
Metals,  machinery,  and  implements. . 

Iron  and  steel 


1.03 

1.05 

10.00 

1.71 


1.99 

.83 

.59 

.77 

1.53 

2.08 

1.20 

2.22 


1.00 


.75 

,50 


.70 

1.55 

1.99 

.88 

.45 

.68 

2.89 

1.59 

.85 

12.36 


,86 


.45 
.84 

2.50 
.55 
.93 

1.54 
.99 
.31 
.44 
.75 

2.22 

.49 

10.29 


,69 


.42 

.49 

1.33 

.37 


1.29 
1.82 
.42 
1.01 
.58 
.72 
.26 
.31 
.24 


Belts, 
etc. 


2.22 
6.61 
6.66 
4.27 
5.26 
6.78 
4.57 
1.10 
4.90 
3.44 
6.09 
1.93 


Machin 

ery 

with 

mechan- 
ical 

power. 


Machin- 
ery 

without 

mechan- 
ical 

power 


56.66 
64.01 
50.00 
54.70 
66.66 
43.34 
47.54 
21.89 
17.00 
21.19 
13.96 
17.59 
28.89 


0.56 
.95 


.71 

7.02 

3.04 

.83 

1.25 

1.22 

.76 

.69 

.48 


Kleva- 
lofs, 
der- 
ricks, 
etc. 


1.37 
.73 


2.72  I      31.98 


14 
71 
04 
45 
87 
75 
85 
21 


5.65 
3.31 
5.23 
1.52 


47.86 
60.26 
65. 31 
58.92 
50.39 
40.44 
43.68 
21.20 
16.61 
22.32 
11.95 
13.47 
8.99 


1.05 


.45 

1.00 

4.08 

.52 

1.55 

3.54 

.61 

.90 

.69 

1.65 

.64 

.57 


1.14 
3.51 
3.27 
2.64 
4.41 
3.37 
1.53 
4,96 
.96 
4.45 


Steam 

)>oilers 

and 

.iteam 

fittings. 


1.35 
2.10 


1.14 


1.75 

.42 

.57 

.31 

3.81 

2.98 

1.45 


3. 36 


2.48 


29.76 


.84 


2.11 
4.66 
3.75 
2.39 
1.87 
3.74 
3.22 
1.03 
3.70 
4.53 
5.97 
1.86 
1.47 


44.53 
61.. 51 
51.25 
55.61 
62.62 
42.25 
42.81 
20.83 
19.53 
23.39 
12.87 
12.70 
11.77 


.33 

,28 


.74 

2.80 

1.87 

.94 

.87 

.74 

1.89 

.53 

1.13 

1.47 


2.29         28.78 


,75 


1.36 
6.10 
2.67 
2.29 
2.53 
2.90 


63 
67 
01 
66 
11 
64 
80 
02 


44.84 
49.88 
42.67 
49.31 
45. 57 
39.00 
38.68 
60.00 
26.77 
42.92 
32.30 
67.39 
19.95 
23.27 


.86 

.70 

2.04 

.52 


2.65 
1.69 
3.81 
2.40 
2.89 
2.a3 
.95 
2.25 


2.52 


.43 

.74 

1.25 

.74 


2.31 
1.49 
3.70 
2.81 
2.64 
2.43 
1.05 


2.39 


1.14 


,78 
,20 


.87 

2.33 

1.44 

.81 

.36 

.34 

.41 

2.20 

1.80 

3.37 


,84 


.86 
1.96 
6.25 
1.29 


1.21 

.55 

.42 

.89 

1.89 

3.25 

1.78 

4.41 


1.02 


.15 

.76 

.71 

.57 

1.14 

.33 

1.33 

l..'{3 

4.00 

1.46 

.27 

.37 

4.43 

1.53 

4.35 

2.10 

4.29 

1.S2 

2.64 

8.33 

1.67 

2.08 

2.02 

1.01 

1.26 

1.05 

2.17 

.19 

.22 

2.94 

.22 

2.94 

..-iS 

.13 

.84 

3.(»3 

.16 

1.15 

2.58 

.13 

CHAPTER  IX. WORKMEN  S   INSURANCE  IN   RUSSIA. 


2173 


FACTURINO  ESTABLISHMENTS,  BY  INDUSTRIES,  1901  TO  1906. 
lennosti.    Statistika  nesehastnykh  sluchaev  s  rabochimi,  1901-1906.] 


Accidents  caused  by  ma- 
chinery and  dangerous 
substances. 

Accidents  from  other  causes. 

Mar- 
ginal 
num- 
ber. 

Danger- 
ous sul>- 
stances. 

Explo- 
sives. 

Total. 

Collapse 
of  build- 
ings and 
falling 
objects. 

Falls. 

Load- 
ing, un- 
load- 

ing, 

etc. 

Hand 
imple- 
ments. 

Run 
over 

by 
wag- 
ons, 
etc. 

RaU- 
road 
acci- 
dents. 

AU 

other 

causes. 

Total. 

3.19 

0.02 
3.25 

66.40 
78.70 
73.33 
65.24 
85.96 
62. 62 
57.66 
36.77 
35.22 
45.80 
37.57 
45.18 
55.56 

4.48 
2.83 
3.33 
3.85 
1.76 
6.43 

10.12 
8.86 

15.01 
3.44 

13.30 
7.35 

ILll 

4.23 
4.83 
6.67 
7.12 
5.26 
4.79 
5.96 
4.21 
8.88 
9.54 
8.89 
7.59 
8.89 

9.17 

5.35 

10.00 

7.84 

3.51 

10.16 

15.45 

20.10 

13.63 

13.36 

15.71 

15-54 

4.45 

4.84 
3.88 
3.33 
5.41 

L16 

.84 

0.31 
.21 

9.41 
3.36 
3.34 
7.98 
3.51 
5.48 
2.01 
5.09 
8.59 
15.65 
8.86 
7.95 
4.44 

33.60  ' 
21. 30 

1 
2 

6.07 

1.57 

3.51 

2.45 

.83 

6.88 

7.20 

9.54 

6.81 

21.45 

20.00 

26.67  1          3 

L99 

.57 

34.76 
14.04 
37.38 
42.34 
63.23 
64  78 
54.20 
62.43 
54.82 
44.44 

4 

5 

6.66 

5.82 

21.63 

9.03 

9.54 

6.34 

10.96 

13.33 

L64 
.97 
.98 
3.06 
L91 
LOO 
L33 

2.22 
2.01 
2.36 
6.58 
.76 
8.24 
4.10 
2.22 

6 

7 

.80 
.45 

8 

9 

10 

11 

.12 

12 
13 

1 

5.95 

.06 

47.26 

8.22 

5.27 

15.64 

13.42 

L14 

2.63 

6.42 

52.74 

3.41 

2.70 

2.04 

1.05 

2.33 

2.65 

1.15 

5.07 

4.28 

12.40 

8.f5 

17.27 

12.36 

56.25 
73.07 
75.51 
65.03 
62.02 
57.  46 
62. 67 
33.10 
30.99 
45.87 
32.96 
37.38 
40.45 

4.89 
2.50 
6.12 
3.85 
5.43 
6.96 
6.62 
7.54 

12.84 
4.96 

16.24 
8.92 
3.37 

3.54 
4.51 
4.08 
2.02 
3.10 
2.98 
3.92 
2.72 
8.39 
8.68 
5.54 
4.84 
6.74 

10.76 

8.61 

2.04 

4.90 

9.30 

16.35 

20.50 

20.83 

11.30 

12.40 

16.92 

14.14 

5.62 

5.85 
3.70 

L94 
.80 

.19 
.30 

16. 58        43. 75 

1 

6.51 
12.25 
13.81 
12.40 
6.74 
6.68 
11.04 
15.08 
17.35 
12.36 
14.52 
15.73 

26.93 
24.49 
34.97 
37.98 
42.54 
47.33 
66.90 
60.01 
54.13 
67.04 
62.62 
50.65 

2 
3 

7.17 

6.20 

7.63 

6.35 

21.85 

9.76 

8.26 

6.69 

15.27 

22.47 

L75 
L55 
1.66 
2.56 
2.24 
9.93 
2.07 
3.85 
4.17 
L12 

.87 

"!22 
.61 
.68 

1.71 
.41 

6.44 
.76 

4.50 

4 

5 

6 

7 

.10 
.34 

8 

9 

10 

.07 

.95 

L12 

11 
12 
13 

5.20 

.11 

42.61 

7.76 

3.64 

16.59 

13.59 

2.53 

L13 

12.15 

57.39 

3.70 

3.26 

3.75 

.74 

5.61 

3.74 

L14 

6.82 

4.73 

7.55 

6.98 

18.29 

11.77 

.02 

52.43 
73.25 
68.75 
62.06 
73.83 
56.77 
51. 14 
34.08 
32.99 
42.64 
34.28 
37.54 
4L18 

3.92 
4.01 
2.50 
4.97 
5.61 
6.16 
5.60 
9.21 

12.72 
6.04 

16.33 
9.06 
4.41 

3.11 
4.48 
2.50 
2.21 
4.68 
3.96 
4.16 
2.78 
0.06 
6.41 
5.38 
5.10 
10.29 

13.11 

6.99 

L25 

7.73 

7.47 

15.18 

21.75 

20.47 

12.28 

15.47 

14.94 

19.17 

14.71 

6.51 
4.  66 

0.25 

5.71 

2.80 

6.93 

7.  .38 

21.04 

11.54 

11.32 

6.03 

11.73 

6.88 

L56 

.28 

L25 

Lll 

.09 
.09 

"     '!37 

19.27 

6.24 

17.50 

16.84 

5.61 

8.58 

7.34 

10.00 

15.23 

16.61 

14.37 

14.16 

7.35 

47.57 
26.75 
31.25 
37.94 
36.17 
43.23 
48.86 
65.92 
67.01 
57.36 
65.72 
62.46 
58.82 

1 
2 

3 

4 

5 

.11 

.66 
2.23 

.75 
3.85 
1.51 
5.77 

.65 
13.24 

1.76 

.40 

L67 

5.33 

"2.96' 
2.59 
2.94 

6 
7 

.10 
.15 

8 

9 

10 

.03 
.24 

11 
12 
13 

1 

5.92 

.07 

4L91 

8.31 

3.50 

17.22 

13.51 

1.64 

L42 

12.  49         58. 09 

2.88 
3.74 
5.34 
L19 
7.60 
4.59 
4.63 
1.25 
6.57 
L12 
LOO 
1.41 
7.76 
10.09 

.02 

5L14 
62.25 
58.67 
55.26 
60.76 
55.76 
58.51 
75.  42 
39.65 
.       49. 09 
39. 51 
73. 15 
32.90 
38.49 

3.74 
4.72 
1.33 
6.13 
3.17 
5.08 
5.12 
L25 
7.32 
5.65 
6.88 
2.81 
8.35 
6.85 

2.93 
4.31 
2.67 
4.03 
3.17 
2.66 
L98 
3.75 
3.03 
3.44 
4.27 
1.53 
2.25 
L73 

9.70 

7.89 

2.67 

7.23 

6.% 

12.49 

1L08 

7.08 

17.93 

21.21 

27.64 

6.39 

20.85 

23.54 

5.61 
4.56 

14. 6<) 
4.85 
2.53 
8.46 
8.10 
2.08 

12.88 
6.34 
5.94 
7.29 

19.49 

13.33 

L39 
L22 

.09 

25.40 
15.05 
20.00 
20.76 
22.15 
14.26 
13.39 
10.42 
17.93 
1L81 
13  43 
8  06 
14.87 
14.33 

48.86 
37.75 
41.33 
44.74 
39.24 
44.24 
41.49 
24.58 
60.35 
50.31 
60.49 
26.85 
67.10 
6L51 

1 

0 

3 

L65 
L26 
L05 
L49 

.09 

■   ■"!24 
.33 

4 

5 

6 

4 

8 

LOl 
L32 
L66 
.51 
.92 
L28 

.25 
.54 
.67 
.26 
.37 
1        .45 

9 

!65 

.01 

10 
11 
12 
13 
14 

2174 


REPORT  OF   THE   COMMISSIONER   OF  LABOR. 
PER  CENT  OF  ACCIDENTS  DUE  TO  EACH  CAUSE,  IN  MANUFACTURING 


Mar- 
ginal 
num- 
ber. 


15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
25 
26 
27 
28 
29 
30 
31 
32 


1 

2 
3 
4 

5 
fi 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
25 
26 
27 
28 
29 
30 
31 
32 


Industry. 


Accidents  caused  l>y  machinery  and  dangerous  sub- 
stances. 


Power 

generat- 
ing ma- 
cMnes. 


1904— Concluded. 

Metals,  machinery,  and  implements- 
Concluded. 

Machinery  and  implements 

Metal  working,  not  specified 

Stone,  clay,  china,  and  glass 

Glass  manufactures .- , 

China  ware 

Earthenware 

Mineral  products,  not  specified 

Animal  products  (hides,  leather,  etc.) . , 
Food  products 

Flour  milling 

Sugar  and  sugar  refining 

Food  products,  not  specified 

Chemical  industry 

Chemicals 

Mineral  oils -. 

Explosives , 

Chemical  industry,  not  specified 

All  other  industries 


Total, 


1905. 


Cotton  manufactures 

Wool  manufactures 

Silk  manufactures 

Flax,  hemp,  and  jute  manufactures 

Textiles,  not  specified 

Paper  and  printing 

Paper,  parchment,  and  wall  paper . 

Pnnting  and  engraving 

Paper  and  printing,  not  specified... 
Wood  manufactures 

Lumber  sawing 

Woodworking,  not  specified 

Metals,  machinery,  and  implements 

Iron  and  steel 

Machinery  and  implements 

Metal  working,  not  specified 

Stone,  clay,  china,  and  glass 

Glass  manufactures 

China  ware 

Earthenware 

Mineral  products,  not  specified 

Animal  products,  (hides,  leather,  etc.). . 
Food  products 

Flour  milling 

Sugar  and  sugar  refining 

Food  products,  not  specified 

Chemical  mdustry 

Chemicals 

Mineral  oils 

Explosives 

Chemical  indastry,  not  specified . . . 
All  other  industries 


Total. 


1906, 

Cotton  manufactures 

Wool  manufactures 

Silk  manufactures 

Flax,  hemp,  and  jute  manufactures. . . 

Textiles,  not  specified 

Paper  and  printing 

Paper,  parchment,  and  wall  paper. 

Prmting  and  engraving 

Paper  and  printing,  not  specified. . 


0.25 
1.30 
.39 
.30 
1.54 
.62 
.36 
.42 


42 
41 
24 
29 
02 
28 
.46 


1.13 
3.89 


,50 


.56 
1.06 


.36 

.56 

1.15 

.79 

2.28 

1.10 

.43 

.63 


.20 
.13 
.21 
.40 
.50 
.10 

1.69 
.63 

1.01 
.18 

1.13 

3.08 
.83 

.m 

.52 

.76 

1.25 


.26 
6.52 


.42 


Belts, 
etc. 


.49 

.37 

.95 

.31 

.83 

1.31 

1.07 

3.42 

.47 


0.65 

.96 

2.96 

1.09 

13.85 
6.17 
4.12 
2.29 
4.88 

19.07 
2.12 
3.33 
1.84 
1.28 


2.97 
2.60 


1.66 


1.49 
5.40 
2.41 
2.77 
3.37 
3.97 
6.13 
2.74 
1.54 
2.88 
3.47 
1.60 
1.12 

.91 
1.22 
1.34 
1.84 

.72 
8.48 
1.89 
3.02 
1.47 
4.55 
18.46 
2.11 
3.05 
1.81 
2.09 
1.25 
3.06 
1.58 


1.83 


Machin- 
ery 
with 

mechan- 
ical 

power. 


17.35 
25.77 
11.47 

9.58 
21.54 
16.05 
12.34 
18.96 
12.85 
26.98 

7.26 
16.21 
13.27 

6.61 

8.26 
18.92 
18.64 

5.19 


25.57 


1.52 
5.11 


3.39 
1.67 
4.10 
6.07 
2.56 
2.35 


43.85 
58.06 
46.99 
49.08 
41.57 
36.21 
37.11 
63.47 
21.81 
41.64 
30.70 
65.35 
21.76 
22.42 
20.50 
33.27 
11.71 
8.08 
32.21 
20.75 
13.23 
15.91 
13.00 
20.68 
10.24 
14.45 
13.16 
7.79 
3.12 
9.19 
19.50 
10.15 

26.38 


41.70 
49.84 
43.81 
47.81 
40.83 
38.88 
39.47 
57.27 
28.00 


Machin- 
ery 

without 

mechan- 
ical 

power. 


0.46 

2.74 

.67 

.20 

1.64 

2.47 

.89 

1.87 

.94 

.69 

.31 

2.12 

.89 

.85 


35 
13 


.88 


.18 

.23 

1.21 

.92 

3.37 

1.99 

.47 

6.40 

1.98 

.39 

.11 

.99 

.56 

.77 

.35 

1.88 

.28 


1.89 
.34 

1.83 

1.29 
.17 
.91 

2.32 
.58 
.19 


Eleva- 
tors, 
der- 
ricks, 
eto. 


:i.46 
1.44 
1.S5 
.20 
4.61 
4.94 
158 
1.87 
2.67 
3.95 
2.61 
2.20 
1.09 
1.07 


1.65 
1.30 


2.35 


.72 
.84 


1.21 

'2.25 
2.98 
3.77 
2.28 


2. 
J. 
1. 


1.06 


.62 


,23 
,59 


1.30 
1.67 
3.04 
2.14 
8.97 
.94 


20 
33 
71 

.49 
2.59 
2.48 
2.78 

.94 
1.28 

.10 
l.(»9 
3.77 
2.61 
2.19 
2.40 
4.28 
2.32 
1.79 
1.04 
1.14 
1.25 
1.02 

.92 
2.90 


2.09 


.74 

.37 

.96 

.52 

.42 

2.38 

2.50 

1.28 

2.8;} 


Steam 

boilers 

and 

steam 

fittings. 


0.14 
.69 
.05 


.18 

.21 
2.09 
1.55 
2.83 
1.06 

.82 
1.28 
1.38 
1.35 

.28 
1.30 


.50 


.69 

.08 
1.20 

.71 
1.12 
1.07 

.94 


1.76 
.47 
.40 
.62 
.13 
.18 
.12 


,06 


.17 

1. 10 

1.24 

1.03 

1.58 

.79 

.52 

.38 

2.50 


.26 
.72 


40 


1.05 
.96 
6.67 
.84 
1.66 
1.23 
2.32 


.47 


CHAPTER  IX. WORKMEN  S  INSURANCE  IN   RUSSIA. 

ESTABLISHMENTS,  BY  INDUSTRIES,  1901  TO  1906— Continued. 


2175 


Accidents  caused  by  ma- 
chinery and  dangerous 
substances. 


Danger- 
ous sub- 
stances. 


Explo- 
sives. 


6.33 

7.68 

1L58 

17.17 

7.69 

3.70 

4.29 

7.50 

5.24 

L72 

5.31 

6.67 

14.77 

25.59 

16.05 

22.98 

0.36 

23.38 


6.53 


3.21 
2.96 
1.20 
1.27 
4.50 
4.88 
5.82 
2.74 
4.63 
.70 
.74 
.62 
7.93 
10.50 
6.52 
8.72 
11.93 
20.35 
1.69 
.63 
2.17 
8.58 
5.39 
.51 
6.67 
5.23 
17.18 
28.33 
16.88 
21.43 
8.96 
11.59 


6.74 


2.03 
2.13 
3.81 
1.15 
2.08 
3.53 
2.68 
2.14 
5.41 


0.04 

.48 
.11 


Accidents  from  other  causes. 


Total. 


,36 


.16 
.85 
.05 
.07 
.27 
.42 


2.70 


.06 


.22 


.05 
.07 
.02 
.47 
.06 


.63 


.07 
.34 


.07 
.32 


.08 
.13 
.73 


.05 


.42 


28.68 
41.06 
29.08 
28.54 
50.77 
33.95 
26.12 
33.12 
30.25 
57.22 
2L73 
32.95 
33.97 
38.38 
20.15 
47.30 
32.06 
37.66 


Collapse 
of  ])uild- 
ingsand 
falling 
objects. 


38.05 


50.70 

69.45 

63.01 

66.32 

56.74 

52. 25 

55.03 

79.91 

35.02 

47.84 

37.76 

69.67 

34.34 

37.46 

31.72 

47.02 

27.66 

29.35 

45.76 

30.19 

22.45 

31 .  26 

29.07 

48.55 

24.66 

28.56 

35.13 

40.68 

26.25 

38.78 

32.67 

32.61 


38.53 


Falls. 


9.16 
9.67 
6.77 
6.89 
7.69 
9.87 
7.33 
3.75 
7.71 
3.96 
10.40 
4.77 
8.23 
6.82 
10.55 
9.46 
8.33 
6.49 


7.13 


3.29 
4.03 
2.41 
4.97 
3.37 
6.65 
6.76 


3. 

7. 
6. 
7. 
3. 


,65 
,93 
.23 
,46 
.58 
7.36 
6.06 
8.23 
4.96 
7.81 
3.99 
11.86 
14.47 
11.89 
7.68 
8.92 
4.10 
11.40 
6.83 
8.75 
5.51 
6.25 
16.32 
10.54 
8.70 


6.77 


2.51 
2.81 
4.19 
3.99 
7.69 
5.66 
3.76 
6.42 
5.14 
6.70 
5.04 
4.62 
6.31 
6.18 
7.79 
5.40 
3.96 
10.39 


Load- 
ing, un- 
load- 
ing, 
etc. 


2.99 


2.27 
3.42 
1.20 
2.98 
2.81 
3.13 
3. 02 


3. 
3. 
5. 
1. 
2. 
2. 
2. 
3. 


.96 
,97 
13 
,48 
.69 
.08 
,93 
.56 
5.91 
6.75 
1.69 
6.66 
6.02 
7.31 
4.86 
7.86 
4.23 
4.71 
4.86 
6.66 
6.88 
1.02 
3.69 
15.94 


3.17 


19.96 
12.08 
17.79 
13.77 
13.85 
19.14 
25.04 

9.38 
23.02 

7.66 
28.05 
21.21 
18.52 
18.77 
12.39 
16.22 
20.48 
16.89 


Hand 
imple- 
ments. 


23.69 
15.08 
13.31 
14.28 

i.m 

4.32 

14.85 

10.42 

6.01 

6.70 

5.71 

6.21 

12.46 

11.94 

22.93 

13.62 

9.46 

11. 69 


Run 
over 

by 
wag- 
ons, 

etc. 


0.74 

.54 
2.74 

.30 
3.08 
4.94 
6.44 
L04 
1.80 

.69 
2.70 

.76 
2.11 
1.49 


Rail- 
road 
acci- 
dents. 


0.34 
.27 

1.01 
.10 


All 

other 

causes. 


Total. 


18.24 


48.36 

4.07 

59.37 

5.43 

66.19 

2.86 

55.32 

4.91 

49.58 

4.17 

54.47 

10.75 

56.25 

7.32 

75.64 

4.70 

40.47 

18.59 

2.66 
3.99 
5.71 


03 
92 
77 
64 
99 
06 


11.55 
7.29 
13.25 
8.10 
10.68 
14.90 
11.64 
6.39 
23.57 
20.41 
25.97 
8.38 
20.33 
23.31 
19.27 
14.15 
20.41 
18. 10 
15.26 
12. 58 
26.80 
13.35 
20.91 
12.65 
26.56 
15.04 
17.69 
17.49 
18. 12 
10.20 
18.71 
19.57 


1.35 
3.26 
3.89 


13.99 


5.36 
5.40 
9.64 
6.82 
7.30 
9.01 
8.02 
3.20 

13.22 
6.38 
5.87 
7.52 

20.47 
3.04 

24.67 
.16 

20.69 

28.32 
6-78 
8.81 

12.73 

18.65 
8.23 
9.74 
8.21 


1.23 


1.63 
1.06 


3.70 
L97 

.83 
4.88 

.34 
8.70 

.23 
1.70 
L71  ! 


1.36 
2.20 


14.92 
17.89 
25.11 
33.13 

9.23 
18.52 
14.49 
36.04 
21.19 
16.84 
17.61 
29.25 
17.70 
14.71 
20.19 

5.40 
20.20 
12.99 


Mar- 
ginal 
num- 
ber. 


,79 


17.58 


2.70 

.56 

1.83 

2.83 


1.32 
2.41 
3.19 

.74 
1.06 
1.42 

.90 

.67 
4.02 

.51 


.11 
.15 


14 


.23 
.31 


.22 
.27 
.39 


.35 
.36 
.36 
.27 
.84 
.31 


7 
13 


69 
74 


18.22 


12.16 

10.33 
9.52 
8.25 

14.17 
9.43 
8.03 
6.84 

12.71 


14.  W 
32.50 
18.37 
8.56 
10.15 


18.24 
6.37 
1.28 
6.79 
.68 
,39 
79 
.85 
,71 
.62 


11. 
1. 
2. 
1. 


1.25 
1.68 


4.48 
2.17 


.86 

1.03 

1.33 

.06 

.52 

.19 

1.88 


.53 

.72 


25.19 
9.20 
20.49 
17.97 
18.54 
12.00 
11.79 
6.85 
14.76 
12.49 
14.23 
8.63 
13.40 
16.27 
11.92 
13.21 
12.66 
12.67 
18.65 

8.80 
13.06 
20.47 
20.36 
15.39 
12.22 
35.32 
16.46 
13.12 

7.50 
15.31 
20.82 
10. 14 


15.37 


6.73 
4.32 

10.48 
5.48 
7.50 
7.65 
7.68 
2.56 

10.12 


1.89 


1.42 

1.17 

.96 

1.25 


.58 
.89 


.47 


.30 


16.69 


.30 
.11 


,78 


1.31 

1.79 

.43 

L17 


25.30 
15.28 
14.29 
20.98 
21.66 
12.14 
13.40 
6.84 
13.41 


71.32 
68.94 
70.92 
71.46 
49.23 
66.06 
73.88 
66.88 
69.75 
42.78 
7a  27 
67.05 
66.03 
61.62 
73.85 
62.70 
07.94 
02.34 


61.96 


49.30 

30.55 

46.99 

43.68 

43.26 

47.75 

44.97 

20.09 

64.98 

62.16 

62.24 

30.33 

65.66 

62.54 

68.28 

52.98 

72.34 

70.65 

64.24 

69.81 

77.55 

68.74 

70.93 

61.46 

75.34 

71.44 

64.87 

59.32 

73.75 

61.22 

67.33 

67.39 


61.47 


51.64 
40.63 
43.81 
44.68 
50.42 
45.53 
43.75 
•24.36 
59.53 


15 
16 
17 
18 
19 
20 
21 
22 
2i 
2i 
25 
26 
27 
28 
29 
30 
31 
32 


1 

2 
3 
4 

6 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
25 
26 
27 
28 
29 
30 
31 
32 


1 

2 
3 

4 
5 
6 
7 
8 
9 


2176 


REPORT   OF  THE   COMMISSIONER  OF  LABOR. 
PER  CENT  OF  ACCIDENTS  DUE  TO  EACH  CAUSE.  IN  MANUFACTURING 


Mar- 
ginal 
num- 
ber 


10 

11 

12 

13 

14 

15 

16 

17 

18 

19 

20 

21 

22 

23 

24 

25 

26 

27 

28 

29 

30 

31 

32 


Industry. 


Accidents  causei  by  machinery  and  dangerous  sub- 
stances. 


Power 
^nerat- 
mg  ma- 
chines. 


Belts, 
etc. 


1906— Concluded. 


Wood  manufactures 

Lumber  sawing 

-  _    Woodworking,  not  specified! "."'. 
Metals,  machinery,  and  implements. 

Iron  and  steel 

Machinery  and  implements .. ..  ' 

Metal  working,  not  specified ....'! 
Stone,  clay,  china,  and  glass 

Glass  manufactures 

China  ware 

Earthenware .[[ 

Mineral  products,  not  specified  * ." 
Animal  products  (hides,  leather,  etc.). 
Foodproducts 

Flour  milling ..!".!!."! 

Sugar  and  sugar  refining 

Food  products,  not  specified .'.'."" 
Chemical  mdustry 

Chemicals '.'.'.'.'.'.', 

Mineral  oils 

Explosives 

Chemical  industry,  not  specified.' ' 
All  other  industries 


Total. 


0.28 
.36 
.11 
.22 
.17 
.18 
.84 
.61 
.49 

2.08 
.55 
.59 
.28 
.72 

2.60 
.39 
.49 
.78 

1.04 

1.66 


Machln 

ery 

with 

mechan- 
ical 

power 


.48 
2.48 


2.28 
2.94 

.86 
1.13 

.92 


1. 
1. 
1. 


22 
.51 
.31 
.49 
3.12 
3.87 
1.53 
1.28 
5.23 
16.17 
3.16 
4.23 
1.50 
2.08 


1.12 

1.46 

.41 


,39 


1.90 


43.89 
28.78 
76.02 
22.29 
23.15 
21.19 
29.06 

9.83 

8.39 
10.42 
18.79 

9.55 
18. 61 
13.15 
22.74 

9.92 
14.95 
11.14 

7.47 

4.97 
10.11 
15.17 

6. 01 

27.19 


Machin- 
ery 

without 

mechan- 
ical 

power. 


Eleva- 
tors, 

der- 
ricks, 

etc. 


0.21 
.05 
.54 
.57 
.70 
.27 

2.91 
.23 
.20 


.35 

1.42 

.83 

.41 

.23 

2.15 

.66 

.52 

.55 

1.12 

.73 

.41 


1 


1.72 
2.03 
1.08 
2.76 
2.39 
3.14 
90 
26 

.20 
1.04 
2.76 
2.24 

.99 
2.27 
2.05 
2.41 
2.08 
1.50 
2.08 
I.  10 
2.25 
1.09 

.83 


Steam 
boilers 

an 
stem 
fittings. 


0.34 
.41 
.22 
.22 
.27 
.17 
.45 
.23 
.20 

1.04 


.59 


2.03 


.24 
1.42 
1.G2 
3.01 
1.57 
1.10 

.83 
1.39 


.73 
3.31 


,02 


Natuke  of  Injuries.— Wounds  and  fractures  constitute  the 
greater  portion  of  industrial  accidents  (72.39  per  cent  in  1906)  and 
the  second  largest  group  consists  of  traumatic  injuries  without  lacera- 
tion (18.48  per  cent),  most  of  which  are  injuries  of  a  lightiT  nature. 
Ut  wounds  and  fractures,  the  most  important  items  are  injuries  to 
the  Imgers,  these  constituting  33.36  per  cent  of  all  accidents,  as  against 
14.01  per  cent  to  the  lower  extremities.  Injuries  of  the  left-hand 
imgers  claimed  16.96  per  cent  and  those  of  the  righ^hand  fin-ers 
almost  as  many,  16.18  per  cent,  while  injuries  to  fingers  of  both 
nands  were  rare. 

Considerable  variations  exist  between  the  different  industrial 
groups  m  regard  to  the  nature  of  injuries.  Burns  and  scalds  are 
most  frequent  m  the  chemical  industry,  especially  in  the  production 


CHAPTEB  IX. — WORKMEN  S  INSUBANCE  IN   RUSSIA. 


2177 


ESTABLISHMENTS,  BY  INDUSTRIES, 

1901  TO  1906— Concluded. 

Accidents  caused  by  ma- 
chinery and  dangerous 
substances. 

Accidents  from  other  causes. 

Danger- 
ous sub- 
stances. 

Explo- 
sives. 

Total. 

Collapse 
of  build- 
ings and 
falling 
objects. 

Falls. 

Load- 
ing, un- 
load- 

etc. 

Hand 
imple- 
ments. 

Run 
over 
by 
wag- 
ons, 
etc. 

RaU- 
road 
acci- 
dents. 

AU 

other 

causes. 

Total. 

Mar- 
ginal 

num> 
ber. 

0.62 
.61 
.65 

5.82 

6.93 

5.00 

8.06 

7.72 

12.83 

3.13 

2.21 

3.30 

8.95 

5.58 

1.10 

6.65 

5.58 

15.21 

24.83 

14.37 

13.49 

8.86 

9.92 

49.34 
35.18 
79.48 
33.06 
34.62 
31.18 
43.90 
21.28 
22.90 
20.83 
28.18 
17.92 
32.95 
29.42 
48.08 
24.33 
30.64 
31.92 
39.58 
22.65 
32.58 
28.52 
23.97 

7.49 

9.34 

3.56 

8.69 

7.69 

9.28 

8.23 

8.37 

5.53 

11.46 

14.37 

10.14 

6.% 

9.45 

6.44 

11.45 

7.05 

10.60 

6.77 

3.87 

12.36 

14.56 

10.33 

6.32 
7.26 
1.19 
2.67 
1.84 
3.02 
3.75 
5.57 
4.84 
'  10.42 
5.52 
5.90 
5.97 
5.40 
8.77 
4.67 
5.27 
5.69 
5.04 

12.16 
2.25 
5.10 

10.74 

17.75 
24.72 
2.92 
18.93 
22.68 
17.36 
13.72 
21.66 
19.74 
14.58 
13.26 
26.53 
16.48 
21.81 
13.42 
26. 19 
17.34 
16.94 
17.01 
17.68 
17.98 
16.63 
17.77 

6.11 

6.29 

5.72 

21.60 

14.47 

25.93 

15.45 

21.05 

27.05 

12.50 

5.52 

18.16 

18.32 

8.09 

8.90 

8.19 

7.54 

12.75 

10.94 

32.60 

21.35 

8.74 

22.31 

1.42 
1.83 

.54 

.71 
1.24 

.45 

.28 
2.71 

.30 
3.13 
9.39 
4.13 

.71 
6.93 

.96 
11.51 

.98 
1.50 
2.08 
1.10 

i.'33" 

.83 

1.42 

1.93 

.32 

.75 

.77 

.78 

.34 

2.39 

.20 

5.21 

8.84 

3.30 

.71 

.68 

.14 

.78 

.73 

3.95 

3.47 

.55 

4.49 

4.98 

.83 

11.15 
13.45 
6.27 
13.69 
16.69 
12.00 
14.33 
16.97 
19.44 
21.87 
14.92 
13.92 
17.90 
18.22 
13.29 
12.88 
30.45 
16.65 
15.11 
9.39 
8.99 
20.14 
13.22 

50.66 
64.82 
20.52 
66.94 
65.38 
68.82 
56.10 
78.72 
77.10 
79.17 
71.82 
82.08 
67.05 
70.58 
51.92 
75.67 
69.36 
68.08 
60.42 
77.35 
67.42 
71.48 
76.03 

10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
25 
26 
27 
23 
29 
30 
31 
32 

0.05 
.09 
.01 
.17 
.09 
.10 

.12 

.02 

.06 
.30 
.17 

4.49 

5.04 

.04 

37.80          7.70 

3.38 

17.11 

15.07         1.55           .83 

16.56 

62.20 

of  chemicals  and  explosives,  in  the  manufacture  of  glass,  and  in  the 
iron  and  steel  industry;  i.  e.,  in  those  branches  of  industry  in  which 
incandescent  materials  are  handled.  The  chemical  industry  presents 
especial  danger  of  burns  to  eyes.  Wounds  and  fractures  of  fingers 
are  frequent  in  all  industries,  but  are  relatively  highest  in  wood- 
working, not  specified,  constituting  78.2  per  cent  of  all  accidents  in 
that  industry  in  1906.  Traumatic  injuries  to  eyes  show  the  highest 
proportion  in  the  machinery-building  industry,  due  to  flying  particles 
of  metal.  Injuries  to  lower  extremities  are  highest  in  the  susrar 
refineries  and  earthenware  establishments. 

In  the  two  tables  following  the  number  and  per  cent  of  injuries  of 
each  class  are  shown  by  industries  for  the  years  1901  to  1906. 


2178 


BEPOET  OF  THE  COMMISSIONER  OF  LABOB. 


NUMBER  OP  INJURIES  OP  EACH  SPECIPIED  CLASS,  IN  MANU 
lS.ur«:  Minfater.tvo  TorgovU  1  Promyshlenno....    OMlel  prom,^ 


1901. 

Cotton  manufactures 
Wool  manufactures 
bilk  manufactures... 

TPT^^IiS^^i  ^"^  ^S^«  mMufii;tii>^ 
i  extiies,  not  specified . . 

Paper  and  printing.         

Wood  manufactures 

Chemical  industry 
All  other  industries 


1903. 

Cotton  manufactures 

Wool  manufactures 

bilk  manufactures 

Flax  hemp,  and  jute  manuf^tiires 

Textiles,  not  specified .       ""'^^^^^ 

Paper  and  printing.        

Wood  manufactures 

Chemical  industry 
All  other  Industries 


1903. 

Cotton  manufactures 
Wool  manufactures 
Silk  manufactures 

S^^li^^^Pl  ^°^  jute  manuf^iurM 
Textiles,  not  specified 

Paper  and  printing.      

Wood  manufactures        

Chemical  industry.      ' 

AU  other  industries. 


Total. 


1904. 

Cotton  manufactures. 

Wool  manufactures.        

Silk  manufactures  

Flax  hemp,  and  jute  manufkijtures" " ' " 
Textiles,  not  specified .       "''^^'"res. . . . 

Paper  and  printing         

Paper,  parchment,  and  wali  paper" 
Pnnting  and  engraving         ^  ^ 

w^/i^P^""  ^°,^  printing,  not  specified '  * 
Wood  manufactures . ..  i^^^^^  - . 

Lumber  sawing. 


226 

125 

91 

22 

26 

9 

3 

7 

1 

11 

6 

2 

2 

5 

22 

23 

4 

16 

22 

2 

969 

234 

364 

30 

15 

5 

13 

14 

2 

184 

184 

25 

77 

68 

42 

6 

5 

1,580       734 


Mat^^^^'^^J.^^^^'  not  sMcified  ■ ' " 
Metals,  machinery,  and  mplemente 
Iron  and  steel  ^^"ciiis 


Machinery  and  inipieniente" 
Metal  working,  not  specified! 


196 
20 
3 
16 
11 
35 
19 
5 
11 
18 
11 
7 
2,065 
1,073 
891 
101 


lie 

31 

4 

4 

5 

49 

25 

6 

18 

20 

13 

7 

411 

221 

155 

351 


547 


56 
13 

2j 

3| 
1 
10 
fi 
1 
4 
6 
5 
1 


564 
2171 
318 

2»l 


367 
64 
9 
23 
17 
94 
49 
12 
33 
44 
29 
16 
3,040 
1,511 
1,364 
166 


444 

136 

£3 

13 

6 

2 

26 

9 

4 

3 

42 

22 

79 

47 

661 

904 

as 

20 

12 

I 

191 

61 

50 

32 

6 

1 

1 

22 


1,519 
196 
8 
270 
27 
142 
61 
19 
59 
613 
440 
73| 
5,908 
2,208 
3,420 
2801 


1,631 


.17« 
44 

6 
52 
10 
39 

17 
»\ 

14 
121 
105 

16 

1,006 

297 

652 

67 


1,261 


31 


132 
15 
3 
36 
5 
30 
15 
1 
14 
40 
33 
7 
1,930 
402 
1,398 
130 


26 

3 

18 

4, 


CHAPTER  IX. workmen's   INSURANCE  IN  RUSSIA.  2179 


FACTURING  ESTABLISHMENTS,  BY  INDUSTRIES,  1901  TO  1906. 
lermosti.    Statistika  neschastnykh  sluchaev  s  rabochirai,  1901-1906.] 


Wounds,  fractures,  etc. 

As- 

lation 

by 
gases. 

Drown 
ing. 

AU 
oth- 
er in- 
iur- 
ies. 

Shoulder,  arm, 
or  wrist. 

Fingers. 

Lower  extremi- 
ties. 

Tnmk. 

Internal 

injuries 

without 

external 

wounds 

(chest, 

abdomen, 

skull). 

TotAl. 

Grand 
totaL 

R'ht 

Left. 

Both. 

Right 
hand. 

Left 
hand. 

Both 
hands 

R'ht 

Left. 

Both. 

344 

83 

2 

64 

3 

67 

101 

580 

59 

19 

218 

45 

3 

238 

85 

4 

61 

1 

55 

100 

646 

53 

21 

202 

40 

4 

18 

1 

12 

3 

3 
28 

1 
14 

6 

3 

1,034 

248 

5 

139 

20 

203 

285 

1,785 

96 

34 

370 

124 

9 

847 
212 

"ise 

15 

193 

313 

1,960 

75 

42 

326 

116 

8 

13 
2 

i 

3 

16 

25 

2 

6 

2 

297 
35 

"46 

1 

61 

112 

837 

56 

12 

431 

63 

3 

285 
41 

"37 

2 

53 

103 

761 

53 

16 

365 

32 

2 

2 
3 

3 

3 
17 

8 

1 
25 

6 

81 
14 

9 

17 

37 
176 

28 

7 

114 

11 

20 
5 
1 
4 

8 

27 

86 

8 

4 

59 

22 

1 

3,584 

794 

26 

570 

45 

729 

1,220 

8,406 

520 

196 

2,350 

617 

33 

1 
4 







...... 

2 

7 

3 

i 

i 

2 

i 

1 
2 

1 

8 
1 

"""3 

"is 

7 

13 
13 
61 

4,468 

953 

30 

7US 

67 

856 

1,443 

11,711 

663 

262 

2,744 

830 

46 

1,588 

1.500 

308 

64 

2 

38 

6 

63 

64 

510 

45 

17 

181 

49 

6 

89 

4,352 

4,263 

70 

1,9481,740 

68 

494 

24518,990 

17 

9 

121 

24,744 

310 
98 

i 

7 

73 

86 

487 

33 

27 

191 

41 

2 

8 
3 

i 

6 

3 
1 

7 

1 

1,090 
261 

19 
115 

27 

202 

277 

1,775 

88 

34 
424 
127 

10 

986 
241 

12 
108 

34 

189 

374 

1,827 

65 

39 
366 
132 

11 

18 
1 
1 
2 

3 

3 

26 
3 

6 

4 

335 

33 

2 

22 

4 

42 

89 

695 

44 

15 

411 

53 

6 

283 
41 

4 
3 

64 
12 

1 
16 

4 

15 

33 

160 

23 

7 

136 

21 

4 

19 
12 

3,890 

820 

40 

427 

97 

716 

1.130 

7,647 

410 

169 

2,404 

674 

62 

2 

i 

26 

"  "io 

1 

5,364 

999 

49 

572 

27 

6 

41 

64 

685 

39 

6 

429 
47 
10 

3 

4 

21 

1 

""'io 

6 

1 

129 

8 
23 
78 
7 
6 
20 
16 

906 

2 

6 

1 
5 
4 

1 
3 
3 
1 
4 

1 
7 
2 
9 
2 
47 
1 

1,481 

11,418 

684 

242 

2,961 

1,054 

89 

1,400 

1,352 

30 

4,449 

4,384 

671,751 

1,677 

51 

496 

189 

18,386 

21 

12 

106 

26,847 

350 

87 

5 

40 

3 

57 

108 

580 

51 

12 

210 

37 

5 

306 

90 

4 

26 
12 
55 
99 

552 
48 
15 

177 

48 

4 

9 
1 

2 

1 

1 
3 
8 

3 

3 
1 

1,233 

261 

16 

117 

27 

200 

366 

2,177 

113 

45 

505 

174 

5 

1,144 
235 

26 
104 

27 

186 

523 

2,325 

88 

46 
419 
156 

17 
1 

i 

2 

5 

36 
2 

5 

2 

394 

36 

2 

39 

1 

57 

118 

739 

54 

8 

323 

57 

2 

390 

38 

2 

26 

3 

56 

104 

771 

40 

11 

356 

60 

4 

7 

i 

50 

13 

1 

12 

16 
6 
1 
3 
1 

2S 

81 
5 
4 

35 

18 

4,502 

834 

65 

406 

82 

703 

1,528 

9,036 

500 

162 

2,372 

657 

42 

36 

6,485 
1,073 

80 

10 

543 

107 

1 

8 

20 

2 

2 

8 
2 

20 

47 

160 

19 

7 

79 

16 

4 

1U« 

900 

3 

1 
2 

1 
23 

3 
19 

6 
71 

3 

2,018 

14,478 

676 

'     "12 

1 

265 
3.381 
1,236 

11 

68 

1,545 

1,436 

32 

5,239 

5.289 

71 

1,830 

1.861 

51 

428 

194 

20,889 

15 

4 

172*  31.319 

363 

106 

4 

56 

10 

102 

49 

35 

18 

142 

108 

34 

1,172 

427 

673 

72 

310 
88 
6 
59 
10 
89 
52 
12 
25 

119 

84 

35 

1,154 

366 

708 
80 

9 
2 

5 

4 

2 
2 

23 
9 

12 
2 

1,258 

314 

16 

229 

27 

303 

148 

72 

83 

445 

301 

144 

3,964 

1.502 

2,221 

241 

1,211 

256 

18 

199 

34 

272 

125 

61 

86 

754 

339 

415 

4,389 

1.495 

2,631 

263 

14 

77 

31 

41 

6 

464 

45 

3 

59 

5 

58 

31 

8 

19 

158 

136 

22 

1,415 

476 

886 

63 

422 

49 

2 

63 

8 

63 

29 

2 

32 

139 

129 

10 

1,430 

489 

873 

68 

8 
4 

44 
20 

56 
21 

4.674 

968 

58 

793 

112 

1,001 
489 
208 
304 

2.022 

1,328 

694 

17,199 

5.694 
10,504 

l,00ll 

48 
1 

6.608 

1,229 

7a 

1 

16 

19 

3 

16 

(^ 
4 

3 

6 

26 

24 

2 

305 

110 

179 

16 

7 
2 
4 
3 
1 

1.093 

158 

2 
1 

i 

8 
8 

'"■io 

14 

25 

1 

22 

13 

4 

5 

62 

58 

4 

269 

73 

187 

9 

1,241 

605 

240 

396 

1 
1 

4 
4 

2.5W 
1.802 

782 

1 
1 

2 
2 

91 
35 
43 
13 

26,241 
9,449 

15,333 
1,469 

2180'  REPORT   OF   THE   COMMISSIONER  OF  LABOR. 

NUMBER   OF  INJURIES  OF  EACH  SPECIFIED  CLASS.  IN    MANUFACTURING 


Industry. 


1904— Concluded. 


Stone,  clay,  china,  and  glass 

Glass  manufactures 

China  ware 

Earthenware ..'.'.'.'.'.'." 

Mineral  products,  not  specified 
Animal  products  (hides,  leather,  etc, 
Food  products 

Flour  milling 

Sugar  and  sugar  refining! ."'.'" 

Food  products,  not  specified. 
Chemical  industry 

Chemicals '. 

Mineral  oils 

Explosives "[ 

Chemical  industry,  liot  "specified^ 
All  other  industries 


). 


Total. 


1905. 


Cotton  manufactures 

Wool  manufactures .[,'. 

Silk  manufactures 

Flax,  hemp,  and  jute  manufactures" " 
Textile  industries,  not  specified 
Paper  and  printing 

Paper,  parcliment,  and  wall  paper' 

Printing  and  engraving. . . 

ITT    ^^P^^  ^"'r^  printing,  not  specified .' .' 
Wood  manufactures : . 

Lumber  sawing 

Wood  working,  not  specified .V ' " " 
Metals,  machinery,  and  implements 

Iron  and  steel 

Machinery  and  implements 

Metal  working,  not  specified. . . 
Stone,  clay,  china,  and  glass.. 

Glass  manufactures ". 

China  ware \\" 

Earthenware 

Mineral  product.^,  not  specified 
Animal  products  (hides,  leather,  etc.)' ' 
Food  products " 

Flour  milling 

Sugar  and  sugar  refining. 

Food  products,  not  specified . 
Chemical  mdustry 

Chemicals 

Mineral  oib '.'.'.'.'.'.'. 

E  xplosives '.'.'.'.'.'.'. 

Chemical  industry,  not  'specified! .' ! " 
All  other  industries 


Bums  and  scalds. 


One 
part 

of 
body, 

ex- 
cept 
eyes 


188 
164 

3 

2 

19 

23 

204 

8 
141 
55 
112 
67 
19 
11 
25 

8 


Sev- 
eral 
parts 

of 
body, 
ex- 
cept 
eyes 


Eyeg. 


2,899 


252 
24 
2 
20 
9 
49 
28 
5 
16 
18 
12 
6 
249 
144 
022 
83 
173 
161 
1 


41 

21 

4 

8 

8 

9 

128 

14 

66 

48 

64 

29 

16 

5 

14 

6 


Total 


Total. 


11 
25 

188 
7 

135 
46 

105 

52 

12 

9 

32 

3 


888 


95 

21 

3 

12 

5 

32 

18 

2 

12 

17 

11 

61 

491 

256 

197 

38 

41 

30 


22 

15 


7 

11 

23 

3 

11 

9 

62 

42 

8 

3 

9 

4 


Trau- 
matism 
without 
lacera 

tions. 


Wounds,  fractures, 
etc. 


251 

200 

7 

10 

34 

43 

355 

25 

218 

112 

238 

128 

43 

19 

48 

18 


776 


3,117 


2 

9 

23 

151 

9 
104 
38 
97 
36 
14 

8 
39 
12 


53 

13 

2 

5 

1 

12 

10 


4,563 


400 

60 

7 

37 

15 

93 

56 

7 

30 

39 

25 

14 

729|  3,469 

1,651 

1,666 

152 


2 
4 
2 
2 


251 

447 

31 

2r. 
h) 


1906. 


Cotton  manufactures 

Wool  manufactures 

Silk  manufactures !!!!!!!! 

Flax,  hemn,  and  jute  maniifactiires 
J  extile  industries,  not  specified 

Paper  and  printing 

Paper,  parchment,  and  waii  'paper' 

Pnnting  and  engraving , 

Paper  and  printing,  not  specified! ! 


301 
35 

8 
29 

9 
34 
15 

3 
16 


1,000 


1 

6 
12 
32 

6 
21 

(•I 
83 
61 

C 

9 

7 

3 


240 

210 

1 

3 

26 

60 

371 

21 

260 

90 

285 

149 

32 

26 

78 

18 


977   5,094 


169 
38 

7 
15 

8 
22 
10 

3 

9 


109 
11 

1 
12 

1 
11 

5 


26 


579 
84 
16 
56 
18 
67 
30 
6 
11 


216 

53 

7 

27 

129 

56 

805 

118 

461 

226 

251 

61 

41 

10 

139 

15 


Head, 

face 

(except 

eyea), 
and 

ne(;k. 


9,926 


1,479 
100 
17 
218 
14 
116 
64 
25 
27 
509 
418 
91 
5,648 
1,850 
3,577 
221 
217 
45 
3 
27 
142 
67 
765 
156 
479 
130 
195 
67 
30 
4 

94 
19 


9,364 


2,516 
304 
22 
319 
38 
85 
43 
17 
31 


Ono 

eye. 


80 
42 
4 
12 
32 
27 

236 
31 

144 
01 

as 

23 

7 

1 

24 


Both 
eyes. 


2,061 


Ml 

45 

6 

91 

& 

bH 

32 

3 

23 

134 

IM 

8 

1,179 

288 

84( 

45 

7(» 

29 

3 

10 

34 

34 

203 

22 

118 

03 

61 

24 

5 

4 

28 

17 


39 

9 

1 

3 

36 

8 

71 

17 

37 

17 

67 

21 

26 

8 

13 

4 


2,380 


101 
28 


50 
4 

28 

11 

1 

16 

49 

47 

2 

2,318 

499 

1,704 

115 

47 

22 


2,2.^4 


591 

106 

2 

153 

10 

«•■ 

37 

13 

35 


36 


39 

13 

24 

2 

1 

1 


4 

1 

21 

Ifl 

» 

103 

1          1 

20 

1 

52 

31 

GO 

1 

27 

1 

12 

4 

17 

5 

2,812 

46 

185 

27 

1 

61 

13 

38 

1 

21 

6 

1 

6 

CHAPTER  IX. WORKMEN  S   INSURANCE   IN   RUSSIA. 

ESTABLISHMENTS,  BY  INDUSTRIES,  1901  TO  190a-Continued. 


2181 


Wounds,  fractures,  t 

Jtc. 

As- 

lation 
by 

gases. 

Drown 
ing. 

All 
oth- 
er in- 
jur- 
im. 

Shoulder,  arm, 
or  wrist. 

FlngCTfi 

. 

Lower  extremi- 
ties. 

Trunk. 

Internal 

injuries 

without 

external 

wounds 

(chest, 

abdomen, 

skull). 

TotAl. 

Grand 
total. 

R'ht 

188 

140 

2 

9 

37 

19 

242 
35 
86 

121 
76 
17 
13 

'  "46 
2 

Left. 

Both. 

Right 
hajQd. 

Left 
hand. 

Both 
hands 

R'ht 

Left. 

Both. 

136 
95 

6 
12 
23 
26 
242 
37 
87 
118 
63 
16 

6 

5 
36 

3 

5 
2 

i 

2 

7 

1 
5 

1 
1 
1 

274 

174 

11 

15 

74 

72 

640 

130 

240 

270 

201 

60 

26 

9 

117 

8 

240 

126 

12 

15 

87 

79 

574 

95 

267 

212 

241 

50 

36 

9 

146 

8 

11 

7 

i 

3 

""io 

1 

4 
5 
4 
1 

3 

130 

63 

3 

23 

41 

23 

390 

29 

302 

59 

100 

35 

8 

3 

54 
3 

142 

'I 

20 
46 
23 

422 

22 

341 

59 

85 

26 

6 

6 

3 
1 

i 

1 
2 

14 
1 

11 
2 
3 
2 

i 

i 

41 

11 

4 

8 

18 

12 

67 

12 

31 

24 

29 

9 

3 

17 

2 

24 
9 
2 
2 

11 

15 

65 

11 

18 

26 

40 

19 

6 

3 

13 

2 

1,315 
749 
61 
122 
393 
306 

2,971 
4'a 

1.573 
975| 
967 
272 
134 
45 
616 
44 

1 

5 

1,788 
1,002 

65 

1 

2 

3 

75 

22 

13 

4 

5 

12 

8 

162 
559 

4S0 

6 
2 
3 

1 
1 

3 
1 
1 
1 


4,162 
6S2 
2.2C0 
1.320 
1,469 
469 

218 

74 

1 

4 

708 
77 

2,482  2.3a5 

56   7,751 

8,275 

128 

2,853 

2,852 

86 

583 

682i32.430 

81           7 

271 

47.205 

423 
148 

381 
112 

10 
4 

1,365 

341 

21 

1,256 
291 

14 
249 

41 
276 

57 

100 

682 

276 

406 

4.911 

1,505 

3,109 

297 

260 

143 

11 

24 

82 

111 

658 

97 

271 

290 

256 

63 

28 

12 

153 

20 

26 
6 

5 

1 
3 

i 

2 

4 

3 

1 

92 

30 

55 

7 

2 

2 



...... 

2 
12 

"12 
3 
3 

520 
55 

1 
94 
11 

557 
73 

6 
101 

4 

13 
1 

78 
18 

75 
31 

5.152 
1.153 

2 

77 
3 

7.110 
1,316 

1         8 
107     115 

3>        59 
17   1,152 

5  149 
25   1,098 

15  514 
4       187 

6  397 
23  2.012 

16  1,309 

7  703 
471,20,982 
142   6,293 
30813,574 

21    1.115 

S3 

5:      287 

1        41 

2;      273 
2,       101 

'        77 

95 

4,       441 
4       281 

1       160 

38   4,591 
9    1,518 

3 
1 

8 

4 

1 

3 

14 

12 

2 

58 

10 

44 

4 

3 

2 

i 

"'is 

3 

10 

2 

8 
1 

7 

1 

28 

3 

32 

23 

1 

8 

74 

64 

10 

480 

134 

328 

18 

45 

19 

3 

5 

18 

17 

91 

8 

52 

31 

30 

11 

1 

3 

15 

5 

1 

1.408 

18 
101 

eo 

15 

2t; 

148 

114 

34 

15 
95 
53 
12 
30 
117 
90 
27 

178 

97|      99 

48       45 

4       11 

45;       43 

2 
2 

1..309 

636 

219 

454 

160 

136 

24 

161 

139 

22 

1 
1 

6 

3 

3 

5i\ 

20 

33 

3 

2 

2.5t)7 

1,756 

811 

1,569  1,493 
48«)i     454 

1,8091,934 

584!     621 

1,1491,226 

76       87 

1 

30.156 
9,814 

984 
99 

1G3 

123 

5 

10 

25 

36 

296 
44 
90 

162 
67 
25 

966 
73 

132 
91 
7 
10 
24 
28 

285 
35 
94 

156 
67 
17 

29 

i 

1 

"is 

2 

7 
4 
3 

1 

2 

1 

2,802 

271 

286 

144 

14 

23 

105 

90 

703 

113 

260 

330 

236 

53 

20 

17 

146 

19 

1 

18.851 
1,491 

138 
63 
4 
17 
54 
25 

458 
23 

336 
99 

103 

28 

6 

13 

163 
78 
8 
22 
65 
41 

451 
19 

351 
81 

111 
28 
10 
11 
62 

9 

17 


1,334 

723 

55 

127 

1.793 

978 

69 

2 

? 

159 

10       429 
14       417 
52,  3,341 
9       396 
22   1,663 
21,  1.282 
45!  1,051 
24       306 

597 

"u 

4 
7 

1 
5 

1 

2 
18 
8 
4 
6 
7 
4 

547 

4.507 
585 
2.413 
1.509 
1,543 
526 

6         7 

8!        4 

29       39 

9; 

4 

9S 

68 

579 

100 

160 

1 

98 

1 

5 

3 
1 

759 
13S 

2,848 

3,086 

81 

8,694 

9,025 

156 

3,484  3,709 

125 

901 

779  38,000 

19             3      175 

52.«i55 

597 

461 

10 
3 

i 

1,906 
442 

26 
372 

50 
267 
115 

74 

1,859 
364 

22 
353 

43 
253 

90 

63 
100 

25 
3 

5 

1 

780 
101 

4 
125 

9 

792 

85 

1 

124 

16 

82 

40 

5 

37 

17 
6 

130 
29 

77   7.430 

81 

10.606 

146     124 
4         7 

142     111 
13       16 

106       90 
64       49 
22       14 

47 

1,483 

67 

1,534 

184 

2 

5 

1.878 
105 

4 

5 

4 

55 

4 
36 
22 

29 
9 

1         6 

1.916 
240 

2     101 

1      45 

1         9 
1'      47 

16   1,064 
7       484 
3       211 
&      369 

1         2 
1         2 

1.219 
660 
234 

20       27i 

i      7^ 

i 

14 

425 

•  I 


2182 


REPORT   OF   THE   COMMISSIONER  OF  LABOR. 
NUMBER  OF  INJURIES  IN  EACH  SPECIFIED  CLASS,  IN  MANUFACTURING 


CHAPTER  IX. workmen's  INSURANCE  IN  RUSSIA.  2183 

ESTABLISHMENTS,  BY  INDUSTRIES,  1901  TO  1906-Concluded. 


Industry. 


Burns  and  scalds. 


1906— Concluded. 


"Wood  manufactures 

Lumber  sawing '.'.'.'.'.'..' 

Wood  working,  not  specinedV. ..." 
Metals,  machinery,  and  implements. 

Iron  and  steel 

Machinery  and  implements. ... .. 

Metal  working,  not  specified.. . 
Stone,  clay,  china,  and  glass 

G  lass  manufactures 

China  ware ,][[ 

Earthenware 

Mineral  products,  not  specified. .. 
Animal  products  (hides,  leather,  etc.) 
Food  products 

Flour  milling 

Sugar  and  sugar  refining. . .  .'.'.*."  1! 

Food  products,  not  specified . .  .V. 
Chemical  industry 

Chemicals '.'.'.'.'.' 

Mineral  oils 

E  xplosi  ves 

Chemical  industry,  not  specified!. 
All  other  industries 


One 
part 

of 
body, 

ex- 
cept 
eyes. 


15 

9 
6 
021 
045 
875 
101 
156 
125 
1 


Sev- 
eral 
parts 

of 
body, 

ex- 
cept 
eyes. 


Total. 


30 
38 

214 
12 

159 
43 

104 
55 
11 
5 
33 
17 


2,981 


18 

13 

5 

508 

289 

179 

40 

38 

14 

4 

4 

16 

19 

160 

17 

100 

43 

84 

36 

8 

9 

31 

7 


Eyes 


1 

3 

891 

292 

555 

44 

24 

10 


1,093 


8 
23 
54 

5 
23 
26 
89 
62 

7 

2 
18 

7 


1,237 


Total, 


Trau- 
matism 
without 
lacera- 
tions. 


Wounds,  fractures, 
etc 


37 

23 

14 

3.420 

i;626 

1,009 

185 

218 

155 

5 

4 

54 

80 

428 

34 

282 

112 

277 

153 

26 

16 

82 

31 


5,311 


476 

443 

33 

5,823 

2,065 

3,503 

255 

248 

58 

7 

23 

160 

109 

942 

184 

607 

151 

185 

52 

49 

2 

82 

47 


11,114 


Head, 

face 

(except 

eyes), 
and 

neck. 


One  Both 


130 

113 

17 

1,332 

364 

922 

56 

68 

24 

7 

5 

32 

27 

200 

34 

149 

77 

67 

29 

0 


29 
10 


eye. 


59 

47 

12 

2,712 

527 

2,(m 

147 

62 

17 

3 
39 
13 
140 
20 
82 
38 
71 
28 
13 
2 
28 
15 


eyes. 


2,822 


3,397 


56 

17 

37 

2 

2 


2 
1 
12 
9 
1 
2 
1 


75 


Wounds,  fractures,  etc. 

As- 
phyx- 
iation 

by 
gases. 

Drown 
ing. 

All 
oth- 
er in- 
jur- 
ies. 

Shoulder,  arm, 
or  wrist. 

Fingers. 

Lower  extremi- 
ties. 

Trunk. 

Internal 

injuries 

without 

external 

wounds 

(chest, 

abdomen, 

skull). 

Total. 

Grand 
total 

R'ht 

Left. 

Both. 

Right 
hand. 

Left 
hand. 

Both 
hands 

R'ht 

180 

166 

14 

1,948 

639 

1,204 

105 

169 

75 

9 

19 

66 

33 

563 

29 

427 

107 

147 

47 

4 

2 

94 

10 

Left. 

208 

182 

26 

1,846 

630 

1,136 

80 

185 

68 

14 

26 

77 

38 

575 

30 

444 

101 

147 

35 

11 

15 

86 

8 

Both. 

147 

116 

31 

1,585 

575 

921 

89 

183 

125 

6 

15 

37 

48 

353 

57 

110 

186 

87 

25 

10 

4 

48 

10 

155 

118 

37 

1,527 

517 

888 

122 

171 

115 

12 

8 

36 

40 

279 

43 

104 

132 

64 

21 

3 

9 

31 

12 

3 
2 
1 
22 
16 
4 
2 
5 
5 

9 

i 

513 

329 

184 

4,577 

1,520 

2,736 

321 

363 

194 

15 

25 

129 

123 

795 

129 

335 

331 

264 

68 

21 

11 

164 

31 

841 

304 

537 

4,912 

1,503 

3,055 

354 

338 

136 

10 

28 

164 

148 

779 

113 

365 

301 

256 

71 

21 

23 

141 

34 

6 

3 

3 

65 

20 

43 

2 

7 

7 

3 

12 
1 
5 
6 
2 

i 

1 

10 
9 

1 

67 

20 

44 

3 

7 

2 

2 

3 
1 

29 
4 

18 
7 
6 
2 
1 

3 

100 

86 

14 

577 

143 

410 

24 

68 

24 

6 

8 

30 

18 

170 

19 

95 

56 

46 

22 

7 

2 

15 

4 

27 

25 

2 

594 

194 

364 

36 

31 

7 

1 

9 

14 

18 

64 

13 

36 

15 

45 

19 

6 

2 

18 

24 

2,379 

1,500 

879 

21,820 

6,675 

13,802 

1,343 

1,659 

799 

83 

148 

629 

511 

4,040 

502 

2,175 

1,363 

1,204 

368 

106 

71 

659 

161 

1 
1 

3 
3 

2.89« 

1,970 

926 

2 
2 

35 

4 

28 

3 

8 

31.100 

10,372 

18,942 

1  786 

3 

i 

1 
1 
1 
7 
5 
1 
1 
1 
1 

2 

1 

2,13S 

1,013 

96 

1 

3 

3 

4 
4 
3 

8 
2 
1 
5 
3 
2 

181 

848 

704 

5,428 

7:» 

3,0tl6 

l.(i32 

1,670 

576 

181 

89 

1 

S91 

3        242 

3,421 

3,057 

55 

9,729 

10,202 

131 

4,170 

4,107 

152 

1,237 

981 

43,536 

14 

10 

157   60,142 

67725°— VOL  2—11- 


44 


■apven 


2184 


BEPOBT   OF   THE   COMMISSIONER   OF   LABOB. 

PER  CENT  OF  TOTAL  INJURIES  IN   EACH  SPECIFIED  CLASS,  IN 
[Source:  Ministerstvo  Torgovli  i  Promyshlennosti.    Otdiel  promysh 


Industry. 


1901. 


Cotton  manufactures 

Wool  manufactures 

Silk  manufactures 

Flax,  hemp,  and  jute  manufactures... 

Textiles,  not  specified 

Paper  and  printing 

Wood  manufactures 

Metals,  machinery,  and  implements. . 

Mineral  products 

Animal  products  (hides,  leather,  etc.), 

Food  products 

Chemical  industry 

All  other  industries 


Total. 


1902. 

Cotton  manufactures 

Wool  manufactures 

Silk  manufactures 

Flax,  hemp,  and  jute  manufactures... 

Textiles,  not  specified 

Paper  and  printing 

Wood  manufactures 

Metals,  machinery,  and  implements. . 

Mineral  products 

Annual  products  (hides,  leather,  etc.). 

Food  products 

Chemical  industry 

All  other  industries 


Total. 


1903. 


Cotton  manufactures 

Wool  manufactures 

Silk  manufactures 

Flax,  hemp,  and  jute  manufactures... 

Textiles,  not  specified 

Paper  and  printing 

Wood  manufactures 

Metals,  machinery,  and  implements. . 

Mineral  products 

Animal  products  (hides,  leather,  etc.). 

Food  products 

Chemical  industry 

All  other  industries 


Total. 


1904. 

Cotton  manufactures 

Wool  manufactures 

Silk  manufactures 

Flax  ,  hemp,  and  jute  manufactures... 

Textile  industries,  not  specified 

Paper  and  printhig 

Paper,  parchment,  and  wall  paper. 

Printing  and  cngravhig 

Paper  and  printing,  not  specified. . 
Wood  manufactures 

Lumber  sawing 

Woodworking,  not  specified 


Bums  and  sca)<ls. 


One 
part 

of 
body, 

ex- 
cept 
eyes. 


3.14 
2.10 
3.33 
2.14 
7.02 
4.5C 
.49 
5.79 
3.68 
4.20 
3.90 
5.42 
2.22 


4.41 


Sev- 
eral 
parts 

of 
body, 

ex- 
cept 
eyes. 


2.04 
2.31 
3.33 
1.00 

i.lo 

.76 
1.92 
3.37 
7.63 
4.67 
5.54 
13.33 


Eyes. 


0.81 
.62 


Total 


3.20 
2.10 
4.08 
1.57 
3.88 
2.76 
.74 
6.24 
4.95 
3.72 
5.54 
6.83 
4.49 


4. 78     2. 31 


3.48 
2.05 
3.75 
2.03 
L87 
2.42 
.74 
6.69 
4.44 
4.91 
5.44 
6.23 
8.83 


5.04 


1.93 
2.42 
8.75 
1.10 
4.67 
2.53 
1.09 
1.62 
2.22 
5.28 
5.44 
5.50 
7.35 


2.34 


2.97 

1.63 

4.00 

1.47 

6.96 

2.82 

3.14 

2.  OS 

2.78 

.70 

.61 

.90 


1.75 

2.52 

5.33 

.37 

3.16 

3.95 

4.13 

2.50 

4.54 

.77 

.72 

.90 


.28 

".'36 

.14 
2.41 
1.63 
1.53 

.47 
4.10 
2.22 


5.99 
4.93 
6.66 
3.42 
7.02 
6.31 
1.39 

10.12 
8.58 

13.36 
9.04 

15.06 

17.77 


2.39     1.59     8.39 


1.65 

.69 

2.00 

.20 

2.04 

.88 

.35 

3.10 

.77 

1.88 

.33 

1.15 

.13 

1.69 

2.20 

2.74 

.36  i 

5.37 

3.31 

5.44 

.47 

4.93 

3.99 

10.12 

4.49 

5.54 

4.30 

6.12 

2.80 

7.75 

4.97 

2.02 

10.13 

8.05 

12.40 

11.45 

15.75 

19.10 


1. 42     8. 51 


L40 

.84 
1.25 


6.81 
5.31 
13.75 


Wounds,  fractures, 
etc. 


Trau- 
matism' 
without'  Head, 


lacera- 
tions. 


.37 

3.50 

6.54 

.44 

5.39  i 

.10 

1.93 

2.62 

10.83 

.74 

7.40 

.75 

10.94 

.74 

11.62 

3.40 

15.13 

16.18 

.83 
l.Oi) 
2.67  12 

.27  2. 

.63  10. 

.81  7. 

.8:1  8. 

.42  I  5. 
1.01  I  8. 

.23  j  1. 

.28  '  1. 

.  12   1. 


55 
21 
00 
11 
75 
58 
10 
00 
33 
70 
61 
92 


13.42 
11.23 

3.34 
15.38 
14.04 

8.06 
13.93 
17.95 
10.57 

6.49 

4.52 
14.82 

8.89 


14.27 


21.42 
13.62 
10.21 
20.80 
16.28 
15.91 
21.54 
22.79 
19.86 
13.22 
6.99 
24.95 
10.11 


19.82 


23.21 
16. 96 
5.00 
19.89 
16.82 
17.27 
22.25 
26.  57 
18.20 
20.38 
17.69 
25.97 
17.65 


1.75     9.13       23.56 


22.99 
15.95 
10.67 
24.70 
17.09 
11.44 
10.58 

7.92 
14.90 
19.86 
24.41 

9.34 


face 

(except 

eyes), 

and 

neck. 


6.71 
5.56 
3.33 
7.12 
3. 51 
5.49 
6.93 
5.02 
9.34 
9.16 
6.85 
3.86 
4.44 


3.40 
2.04 
6.99 
5.42 
6.(»3 
6.28 
4.45 
7.19 
4.96 
5.81 
3.61 
8.99 


5.72 
3.5S 
8.00 
4.75 
6. 33 
3.14 
2.81 
3.31 
3.54 
468 
5.83 
2.06 


One 
eye. 


38 
26 

7i 
75 
87 
32 
74 
07 
76 
68 
2.41 
2.22 


Both 
eyes. 


3.33 


,06 
,09 


14 
12 


5.85     4.72 


,07 


1.99 
1.70 

2.45 
2.33 
1. 88 
1.35 
7.55 
2.74 
2.07 
1.65 
3.80 
5.64 


.06 
.17 
.41 
,07 


5.31  i  4.47 


,05 


6.85 

2. 10       . 

4. 94 

L21    ... 

7.  50  j  2. 50    . . . 

4.79 

1.06    ... 

3.74 

2.80    ... 

4.  62 

2.42    ... 

3.91 

2.33       . 

4.57 

6.24 

8.58 

2.90    ... 

4.53 

.38    ... 

5.65 

1.80    ... 

4.05 

2.59  i     . 

7.35 

1.47  '... 

09 


05 
15 


16 


5.21      3.99 


10 


2.00 
1.22 
4.00 
3.29 
3.16 
2.42 
2.48 

.42 
3.54 
1.64 
1.83 

.90 


08 


08 
17 


CHAPTEB  IX. WOBKMEN's   INSUBANCE   IN   BUSSIA.  2185 

MANUFACTURING  ESTABLISHMENTS.  BY  INDUSTRIES,  1901   TO  1906. 
lennosti.    Statistika  neschastnykh  sluchaev  s  rabochiml,  1901-1900.1 


I 


f 
t 


2186  BEPORT   OF   THE   COMMISSIONER  OF  LABOB. 

PER  CENT  OF  TOTAL  INJURIES  IN  EACH  SPECIFIED  CLASS,  IN  MANU 


Industry. 


1904— Concluded. 

Metals,  machinery,  and  implements.. 

Iron  and  steel 

Machinery  and  implements 

Metal  working,  not  specified 

Stone,  clay,  china,  and  glass 

Glass  manufactures 

China  ware 

Earthenware 

Mineral  products,  not  specified . . . 
Animal  products  (hides,  leather,  etc.). 
Food  products 

Flour  milling 

Sugar  and  sugar  refining 

Food  products,  not  specified 

Chemical  mdustry 

Chemicals 

Mineral  oils 

Explosives 

Chemical  industry,  not  specified.. 
All  other  industries 


Total. 


1905. 


Cotton  manufactures 

Wool  manufactures 

Silk  manufactures 

Flax,  hemp,  and  jute  manuJfacfures 

Textiles,  not  specified 

Paper  and  printing 

Paper,  parchment,  and  wall  pai)er 

Printing  and  engraving 

Paper  and  printing,  not  specified. . 
Wood  manufactures 

Lumber  sawing 

Woodworking,  not  specified 

Metals,  machinerv,  and  implements. . . 

Iron  and  steel 

Machinery  and  implements 

Metal  working,  not  specified 

Stone,  clay,  china,  and  glass 

Glass  manufactures 

China  ware 

Earthenware 

Mineral  products,  not  specified 

Animal  products  (hides,  leather,  etc.). 
Food  products 

Flour  milling 

Sugar  and  sugar  refining 

Food  products,  not  specified 

Chemical  industry 

Chemicals 

Mineral  oils 

Explasives 

Chemical  industry,  not  specified. . . 
All  other  industries 


Total. 


1906. 


Cotton  manufactures 

Wool  manufactures 

Silk  manufactures 

Flax,  hemp,  and  jute  manufactures. 
Textiles,  not  specified 


Bums  and  scalds. 


One 
part 

of 
body, 

ex- 
cept 
eyes. 


7.87 

11.35 

5.81 

6.92 

10.51 

16.37 

4.62 

1.23 

3.40 

4.79 

4.90 

1.37 

6.24 

4.17 

7.62 

12.15 

8.71 


14. 
3. 


86 
53 


10.39 


6.14 


3.54 
1.82 
2.41 
1.42 
5.06 
3.74 


4.40 

2.28 

3.  S3 

.70 

.68 

.74 

7.45 

11.66 

5.42 

5.57 

9.65 

16.46 

L69 


.84 
57 
17 
,20 
,59 
.04 
6.80 
9.89 
7.50 
9.18 
4.22 
2.17 


5.92 


2.84 
1.86 
7.62 
1.51 
3.75 


Sev- 
eral 
parts 

of 
body, 
ex- 
cept 
eyes. 


1.57 
2.34 
1.01 
2.40 
2.29 
2.09 
6.15 
4.94 
1.43 
1.88 
3.08 
2.41 
2.92 
3.63 
4.36 
6.18 
7.34 
6.76 
1.98 
7.79 


1.88 


1.34 


1.60 

3.61 

.85 

2.81 

2.45 

2.83 

.91 

2.64 

.66 

.63 

.74 

1.63 

2.60 

1.04 

2.55 

2.29 

3.07 


1.26 
1.51 
4.21 
3.35 
1.54 
4.31 
2.52 
6.29 
6.84 
8.75 
8.17 
5.14 
8.70 


L90 


L59 
2.02 
6.67 
.78 
3.33 


Eyes. 


2.15 
2.30 
2.07 
1.99 
1.23 
1.50 


1.35 

2.29 

.65 

.52 

.49 

.68 

4.22 

a  96 

3.67 

4.05 

1.27 

5.19 


1.64 


.75 

1.14 

2.41 

.36 

.56 

.92 

L58 


.44 

.16 

.11 

.25 

2.42 

2.56 

2.37 

2.08 

1.45 

L94 


.63 

1.00 

2.19 

.71 

.85 

.87 

.40 

6.38 

11.60 

3.75 

9.18 

.92 

2.17 


1.85 


1.03 

«  uU 

.95 
.63 
.42 


Total, 


11.59 

15.99 

8.89 

11.31 

14.03 

19.96 

10.77 

6.17 

6.08 

8.96 

8.53 

4.30 

9.65 

8.48 

16.20 

27.29 

19.72 

25. 67 

6.78 

23. 37 


9.68 


5.63 

4.56 

8.43 

2.63 

8.43 

7.11 

8.81 

3.19 

6.61 

1.52 

1.42 

1.73 

11.50 

16.82 

8.83 

10.20 

13.39 

21.47 

1.69 

1.89 

4.35 

10.97 

8.23 

3.59 

10.77 

5.96 

18.47 

28.33 

20.00 

26.53 

10.28 

13.04 


9.67 


5.46 
4.47 
15.24 
2.92 
7.50 


Trau- 
matism 
without 
lacera- 
tions. 


22.51 
23.37 
22.31 
19.19 
12.08 
5.29 
10.77 
16.67 
23.08 
11.67 
19.34 
20.28 
20.40 
17.12 
17.09 
13.01 
18.81 
13.52 
19.63 
19.48 


21.03 


20.80 

7.60 

20.48 

15.48 

7.-86 

8.83 

10.06 

11.42 

6.95 

19.83 

23.80 

11.22 

18.72 

18.85 

18.98 

14.82 

12.10 

4.60 

5.09 

16.98 

23.79 

12.25 

16.97 

26.67 

19.85 

8.61 

12.64 

12.74 

18.75 

4.08 

12.38 

13.77 


17.78 


23.72 
16.19 
20.95 
16.65 
15.83 


Wounds,  fractures, 
etc. 


Head, 

face 

(except 

eyes), 
and 

neck. 


3.83 
3.24 
4.25 
3.91 
4.47 
4.19 
6.16 
7.41 
3.94 
5.63 
5.67 
5.3J 
6.37 
4.62 
3.74 
4.90 
3.21 
1.36 
3.3^ 
9.09 


One 
eye. 


7.35 
4.25 
9.12 
8.91 
2.18 
.90 
1.54 
1.85 
4.65 
1.67 
1.71 
2.92 
1.64 
1.29 
4.56 
4.48 
11.47 
10.82 
1.84 
5.19 


4.37     5.04 


4.85 
3.41 
7. 2.3 
6.46 
2.81 
4.4:i 
5.03 
L37 
5.07 
5.22 
7.18 
.99 
3.92 
2.9.1 
4.49 
3.02 
4.21 
2.97 
5.09 
6.2^} 
5.70 
6.22 
4.50 
3.76 


1.42 
2.13 

s.'ss' 

2.25 


14 
73 
46 
52 
91 
2.68 
.25 
7.69 
5.08 
9.04 
7.71 
2.62 
2.25 


89 
17 
96 
56 
13 
08 


3.69 
12.31 


4.28 


5.57 
5.66 
1.91 
7.98 
4.17 


2.52 
3.52 
3.47 
2.29 
3.42 
2.15 
2.05 
3.89 
5.13 
7.50 
4.08 
2.24 
3.62 


5.34 


1.74 
1.44 
.95 
3.18 
5.42 


Both 
eyes. 


0.10 
03 
12 
27 
11 


36 


02 

17 


14 
43 


.08 


.03 


.08 
.16 


.04 
.06 


.13 
,13 
.13 
.13 
.06 
.10 


.02 
.17 


.06 
.19 


.09 


: 


CHAPTER   IX. workmen's   INSURANCE   IN   RUSSIA.  2187 

FACTURINQ  ESTABLISHMENTS.  BY  INDUSTRIES.  1901  TO  1906-Continued. 


Wounds,  fractures,  etc. 


Shoulder,  arm,  or 
wrist. 


Right.  Left. 


4.47 
4.50 
4.39 

4  93 
10.52 
13.97 

3.08 
5.55 
6.62 
3.96 

5  81 
6.01 
3.80 
9.17 
5.17 
3.63 
5.96 


6.50 
2.60 


5.26 


5  95 

11.25 
1.21 
7  60 

10.11 
7.72 
9.43 
6.84 
5-73 
5.77 
6.49 
4.19 
6.20 
4.95 
5.22 
6.64 
9.09 

12  58 
8.47 
6.29 
4.19 
6.58 
6.57 
7.62 
3.73 

10.74 
4.34 
4.76 
3.13 
8.17 
3.82 
6.52 


4.40 

3.87 

4.61 

5.48 

7.61 

9.48 

9.23 

7.41 

4.11 

5.42 

5.81 

6.35 

3.85 

8.94 

4.29 

3.41 

2.75 

6.76 

5.08 

3.90 


Fingers. 


Lower  extremity. 


Both 


0.09 
.09 
.08 
.14 
.28 
.20 


Right 
hand. 


.62 
.36 


15.11 
15.89 
14.49 
16.52 
15.32 
17.37 
16.92 
9.26 
13.24 
15.00 
15.38 
22.33 
22  ilO  62 
08  20.45 
13.68 
10.66 
11.47 
12.16 
16.52 
10.39 


Left 
hand. 


.17 
.17 


.07 
.21 


M 


4.88 


5.35 
8.51 
9  64 
8  17 
8.43 
7  26 
8.33 
5.47 
6  61 
4.56 
5  12 
3  33 


12 


16.72 

15.81 

il7.16 

;i8.03 

1 13. 42 

12.57 

!l8.46 

I  9.26 

15.56 

16.46 

|13.79 

il6.32 

in.  81 

116.06 

il6.41 

110.66 

16. 52 

"12. 16 

20. 62 

{10.39 


16.42   17.53 


.14 
.30 


4. 
4 
5 
4. 
7 
9 
11 
6. 
4 


5.86 


5.63 

7.77 

a  81 

7.42 
£.42 


96 
63 
13 
90 
36 
30 
86 
29 
02 
5.12 
6  32 
6:98 
3.  90 
10.34 
4.34 
3  23 
4.37 
4.08 
5.14 


,36 


15 
31 


.16 
23 


13 
09 
15 


.06 
.10 


5.41 


4.34 
6.60 
9.67 
5.79 
6.67 


.29 
34 
,29 
.27 
.20 
19 


26 
,73 


19.20 

26.91 

25  30 

20.38 

23.03 

20.86 

15.88 

35.16 

20.92 

17.18 

16.00 

119.  73 

15.22 

16.47 

14.86 

18  18 

15.95 

14.72 

23.73 

14.46 

17.59 

16  45 

15.60 

19. 32 

110.  77 

i21. 87 

jl6.29 

10.08 

12.50 

17.35 

19.23 

13.77 


15   16.51 


,09 
.16 


17.98 
23.54 
24.76 
19.42 
120.83 


17.67 

22.11 

16.87 

17.68 

23.03 

21.08 

18.71 

26.03 

22.03 

26.67 

15.72 

60.06 

16.28 

16.34 

16.49 

19.92 

14.50 

14.62 

18.64 

15.09 

13.74 

20.29 

14  60 

16.58 

11.23 

19.22 

16.69 

U.98 

17.50 

12.24 

20.16 

14.49 


17.14 


17.53 
19.38 
20.95 
18.42 
17.92 


Both 
hands 


Right 


0.29 
.32 
.27 
.34 
.62 
.69 


.62 
.54 


.24 
.17 
.18 
.38 
.27 
.21 


.42 


.27 


37 
,46 


36 
56 
23 


.46 
.44 
.16 
.17 
.12 
.31 
.31 
.29 
.47 
.11 
.21 


5.39 
5.03 
5.78 
3.63 
7.27 
6.29 
4.62 

14.20 
7.33 
4.79 
9.37 
4.98 

13.36 
4.47 
6.81 
7.46 
3.67 
4.05 
7.63 
3.90 


Left. 


6.04 


.37 
27 


.80 
.20 
,57 


.30 


,23 
16 


.26 
.41 


7.31 
4.18 
1  21 
6.68 
6.18 
7.41 
7.55 
183 
9.  91 
6.23 
7.74 
2.96 
6.00 
6.96 
6.10 
6.10 
7.70 
6.44 
6.78 

10.69 
9.04 
4.57 

10.16 
3.93 

13.92 
6.66 
6.68 
5.32 
3.76 
5.10 
8.42 
9.42 


5.45 
5.17 
5.69 
4.66 
7.94 
6.99 
9.23 

12.34 
8.22 
4.79 

10.14 
3.78 

15.09 
4.47 
5.79 
5.54 
2.75 
8.11 
6.64 
5.19 


6.04 


6.6 


7.35 
5.38 
3.81 
6.52 
3.75 


7.83 
5.65 
6.02 
7.17 
2  25 
7  56 
7.08 
6.02 
9.47 
6.27 
7.92 
2.71 
6.41 
6.33 
6.60 
6.84 
9.09 
7.98 

13.56 

13.84 
9.21 
7.49 

10.01 
3.25 

14.55 
5.37 
7.19 
5.32 
6.25 

11.23 
8.17 
6.52 


7.04 


7.47 
4.53 
.95 
6.47 
6.67 


Both. 


0.15 
.14 
.16 
.07 
.17 
.10 


Trunk. 


.62 
.18 
.42 
.34 
.17 
.49 
.15 
.20 
.43 


1.35 

i.'so 


18 


.18 
.08 


.21 
.56 
.61 
.63 
.46 
.66 
.54 
.68 
.25 
.19 
.10 
.23 
.26 
.17 
.21 


.17 


.33 
.51 
.41 
.13 
,52 
.19 


,92 
.73 


24 


.16 
.32 


.21 


1.03 
.76 
L22 
.62 
2.29 
1.10 
6.15 
4.94 
3.22 
3.50 
1.61 
2.06 
1.37 
1  82 
1.97 
1.92 
1.38 

2.40 
2.60 


1.24 


10 
37 


1. 
1. 
2. 
3. 


1. 
2. 
3. 


99 
.69 
44 
62 
46 
76 
88 
65 
L23 
1.59 
1.36 
1.74 
1.20 
2.50 
1.94 
5.09 
a  14 
3.01 
3.11 
2.02 


37 
15 
06 
94 
09 
62 
06 
98 
a  62 


L71 


1.23 
1.64 


2.87 
1.66 


Internal 
injuries 
without 
external 
wounds 
(chest, 
abdomen, 
skull). 


1.16 
L16 
1.17 
1.10 
L35 

.90 
a  08 
1.23 
1.97 
3.11 
1.32 
L89 

.80 
1.96 
2.72 
4.05 
2.29 
4.05 
1.84 
2.60 


Total. 


65.54 

60.26 

68.51 

68.61 

7a  55 

74.75 

78.46 

175. 31 

|70.30 

63.76 

;71.38 

72.65 

{69.60 

;73. 8t) 

65.82 

J57.99 

61.  47 

160.81 

i72.88 

57.15 


I 


1.23 


1.05 

2.35 

a  61 

1.21 

2.81 

1.91 

2.36 

L83 

1.32 

.89 

.91 

.86 

1.66 

1.46 

L63 

1.41 

.95 

.51 


1.26 
1.67 
2.56 
1.15 
1.64 
.91 
1.39 
2.92 
4.56 
2.60 


2.24 
.73 


68.70 


72.46 

87. 61 

171.09 

81.82 

;83.71 

83.88 

180.82 

85.39 

87.44 

7^38 

74.55 

86.68 

69.58 

64.12 

72.00 

74.78 

74.40 

73.93 

93.22 

79.87 

71.86 

76.23 

74.13 

67. 69 

68.92 

84.96 

68.11 

58.17 

61.25 

69.39 

76.28 

?2.46 


1.48   72.17 


.73 
2.50 


1.52 
3.76 


70.06 
7a  97 
63.81 
80.06 
7&67 


As- 

phyx- 

ia- 

tlon 

by 

gases. 


0.01 
.01 


Drown-  other 
ing.    I    in- 
Jiu-ies. 


.14 
.37 
.13 
.08 
.07 


.14 


.02 


03 


.27 
.68 
.29 
.07 
.33 


66 


.04 


0  01 

".'6i 


.06 
'.'62 


.08 
.17 
.04 
.06 


0.34 
.37 
.28 
.89 
.28 


.01 


L23 
.54 
15.62 
.53 
2.23 
.18 
.38 
.82 

i.n 


.57 

.58 


1.08 
.23 


.04 

.06 


,01 


.01 


.07 


.15 
.31 


.23 
.17 
.37 
.19 
.21 
.18 
.20 
.11 


.18 


.01 


1.26 

.37 

.40 
1.37 
.17 
.40 
.45 
.76 


.40 
.73 


33 


10 


.05 


.77 
.27 


.32 


I 


2188  REPORT   OF   THE   COMMISSIONER   OF   LABOR. 

PER  CENT  OF  TOTAL  INJURIES  IN  EACH  SPECIFIED  CLASS,  IN  MANU 


Industry. 


1906— Concluded. 


Paper  and  printing 

Paper,  parchment,  and  wall  paper. 

Printing  and  engraving 

Paper  and  printing,  not  specified. . 
Wood  manufactures 

Lumber  sawing ] 

Woodworking,  not  specified ....... 

Metals,  machinerv,  and  implements . . . 

Iron  and  steel 

Machinery  and  implements ! 

Metal  working,  not  specified 

Stone,  clay,  china,  and  glass 

Glass  manufactures 

China  ware 

Earthenware 

Mineral  products,  not  specified 

Animal  products  (hides,  leather,  etc.) . . 
Food  products 

Flour  milling 

Sugar  and  sugar  refining 

Food  products,  not  specified 

Chemical  industry 

Chemicals [ 

Mineral  oils "[[[ 

Explosives 

Chemical  industry,  not  specified. . . 
AU  other  industries 


Total. 


Bums  and  scalds. 


One 
part 

of 
body, 

ex- 
cept 
eyes. 


2.79 

2.G8 

1.28 

3.76 

.52 

.46 

.65 

6.50 

10.07 


62 
66 
30 


12.34 
1.04 

3.54' 

5.40 

3.94 

1.64 

6.19 

2.64 

6.23 

9.55 

6.06 

5.62 

4.01 

7.03 


4.96 


Sev- 
eral 
parts 

of 
body, 

ex- 
cept 
eyes. 


Eyes.  Total. 


1.81 

1.78 

1.28 

2.12 

.62 

.66 

.54 

1.63 

2.79 

.94 

2.24 

1.78 

1.38 

4.17 

2.21 

1.89 

2.70 

I  2.95 

I  2.33 

3.26 

2.63 

6.03 

6.25 

4.42 

10.11 

3.76 

2.89 


a90 


1.81 


L41 

.14 

.05 

.32 

2.87 

2.82 

2.93 

2.46 

L12 

L58 


.94 

3.26 

1.00 

.68 

.76 

1.69 

6.33 

10.76 

3.87 

2.25 

2.18 

2.89 


2.06 


5.60 

6.35 

2.56 

7.29 

1.28 

1.17 

1.61 

11.00 

15.68 

K.49 

iU.36 

10.20 

15.30 

5.21 

2.21 

6.37 

11.36 

7.89 

4.65 

9.20 

0.86 

16. 59 

2(>.56 

14.37 

17.98 

9.95 

12.81 


Trau 
matism 
without 
lacera- 
tions. 


8.83 


6.97 

7.68 

7.27 

6.88 

16.43 

22.49 

3.57 

18.72 

19.91 

18.49 

14.28 

11.60 

5.73 

7.29 

12.71 

18.87 

16.48 

17.35 

25.21 

19.80 

9.25 

11.08 

9.03 

27.07 

2.25 

9.95 

19.42 


18.48 


Woundii,  fractures, 
etc. 


Head, 

face 

(except 

eyes), 
and 

neck. 


5.41 
4.82 
6.56 
6.12 
4.49 
5.74 


One 
eye. 


84 
28 
41 
87 
14 
18 


2.37 
7.29 


2. 
3. 
3. 
4. 
4. 


.76 
,77 
.84 
.79 
,66 
4.86 
4.72 
4.01 
6.04 
4.97 


3.52 
4.13 


3.12 
3.75 
2.56 
2.59 
2.04 
2.39 
1.30 
8.72 
5.08 
10.76 
8.23 
2.90 
1.68 
3.13 
1.66 
4.60 
1.85 
2.58 
2.74 
2.67 
2.32 
4.25 
4.86 
7.18 
2.25 
3.40 
6.20 


4. 69     6. 65 


Both 
eyes. 


0.08 
'.'43 


.18 
.17 
.20 
.11 
.09 


.24 
.14 
.22 
1.23 
.03 
.12 
.06 


,12 
,83 


13 


/ 


CHAPTER  IX.— WORKMEN 'S   INSURANCE   IN   RUSSIA.  2189 

FACTURING  ESTABLISHMENTS,  BY  INDUSTRIES,  1901  TO  1906-Concluded. 


Wounds,  fractures,  etc. 


Shoulder,  arm,  or 
wrist. 


Fingers. 


Right 


Left. 


8.70 
11.43 
9.40 
4.70 
5.08 
5.89 
3.35 
5.10 
5.54 
4.86 
4.98 
8.56 
12.34 
6.25 
8.29 
4.36 
6.82 
6.50 
7.81 
3.59 
11.40 


21 
34 
53 
49 
5.83 
4.13 


5.09 


7.38 
8.75 
5.98 
6.35 
5.35 
5.99 
4.00 
4.91 
4.99 
4.69 
6.83 
8.00 
11.35 
12.50 
4.42 
4.25 
5.68 
5.14 
5.89 
3.39 
8.09 
3.83 
3.65 
1.66 
10.11 
3.76 
4.96 


5.08 


Both. 


Right 
hand. 


Left 
hand. 


aoe 


.24 
.10 
.10 

.11 

.07 
.15 
.02 
.11 
.23 
.49 


.17 
.14 
.13 
.25 
.06 
.17 


21.91 
20.59 
31  62 
18.35 
17.71 
16.70 
19.87 
14.72 
14.66 
14.44 
17.97 
16.98 
19.15 
15.63 
13.81 
15.21 
17.47 
14.65 
17.67 
10.93 
20.28 
15.81 
81 
GO 


41 


.09 


12.36 
19.90 
12.81 

16.18 


20.75 

16.07 

26.92 

23.53 

29.04 

15.43 

57.99 

15.79 

14.49 

16.13 

19.82 

15.81 

13.43 

10.42 

15.47 

19.34 

21.02 

14.35 

15.48 

11.91 

18.44 

15.33 

12.33 

11.60 

25.84 

17.11 

14.05 

16.96 


Lower  extremity. 


Both  T.j„v  * 
hands  ^*elit 


0.16 


<43 
.24 
.21 
.15 
.32 
.21 
.19 
.23 
.11 
.33 
.69 


Left. 


.42 
.22 
.14 
.16 
.37 
.12 


1.12 
.12 


.22 


&29 
8.04 
3.85 
11.06 
6.22 
8.43 
L51 
6.26 
6.16 
6.36 
5.88 
7.91 
7.40 
9.37 
10.50 
7.78 
4.69 
10.37 
3.97 
13.93 
6.56 
8.80 
8.16 
2.21 
2.25 
11.41 
4.13 


6.73 
7.14 
2.14 
8.71 
7.18 
9.24 
2.81 
5.94 
6.07 
6.00 
4.48 
8.65 
6.71 
14.58 
14.37 
9.08 
5.40 
10.59 
4.11 
14.48 
6.19 
8.80 
6.08 
6.08 
16.85 
10.44 
3.31 


6.93 


6.83 


Both. 


Trunk. 


a4i 

.71 

"."24" 
.36 
.45 
.10 
.21 
.19 
.23 
.17 
.33 
.20 

i.'io" 
.35 

.14 
.53 
.55 
.59 
.43 
.36 
.34 


.37 


.26 


2.96 
3.93 

"'3."29' 
3.46 
436 
L51 
1.86 
1.38 
2.16 
1.34 
3.18 
2.37 
6.25 
4.42 
3.54 
2.56 
3.13 
2.60 
3.10 
3.43 
2.75 
3.82 
3.87 
2.25 
1.82 
L65 


2.06 


Internal 
injuries 
without 
external 
wounds 
(chest, 
abdomen, 
skuU). 


Total. 


1.31 
L25 
1.28 
1.41 

.93 
1.27 

.21 
1.91 
L87 
1.92 
2.02 
1.46 

.69 
L04 
4.97 
L65 
2.56 
L18 
1.78 
L17 

.92 
2.70 
3.29 
3.31 
2.25 
2.18 
9.92 


L63 


87.28 

86.43 

90.17 

86.83 

82.15 

76.14 

94.92 

70.16 

64.35 

72.87 

75.19 

77.60 

78.87 

86.46 

8L77 

74.17 

72.59 

74.42 

68.77 

70.94 

83.52 

72.09 

63.89 

58.56 

79.77 

79.98 

66.53 


72.39 


As- 
phyx- 

ia- 
tion 

by 
gases. 


AU 

Drown- 

other 

ing. 

in- 

jurieg. 

0.01 
.02 


ao8 

.18 


0.17 
.36 


.04 
05 


14 


1.04 
.55 
.12 
.14 
.13 
.69 
.03 
.06 
.06 
.17 


.09 
.10 


.10 
.15 


.11 
.04 
.15 
.17 
.37 


.55 


.06 
.41 


2.21 
.47 
.43 
.15 
.27 

.a3 

.31 
.18 
.35 


.02 


.02 


.12 
1.24 

.26 


rrrrr 


2190 


>2 


BEPORT   OF    THE    COMMISSIONER   OF   LABOR. 


Kesults  of  Accidents.— Comparatively  few  of  the  accidents 
reported  were  fatal,  only  385  in  1901,  320  in  1902,  312  in  1903  382 
m  1904,  332  in  1905,  and  371  in  1906.  Tlie  accidents  resultiilg  in 
total  permanent  disability,  next  in  gravity,  have  constantly  declined 
from  138  m  1901  to  60  in  1906,  and  this  is  probably  due  to  greater 
efforts  to  establish  the  degree  of  disabihty,  due  to  the  compensation 
act  of  1903.  Proportionately,  both  these  grave  classes  of  accidents 
have  declmed,  the  fatal  accidents  from  1.56  per  cent  to  0.62  per  cent 
and  the  cases  of  total  permanent  disabihty  from  0.56  per  cent  to  0  10 
per  cent,  and  together  from  2.12  per  cent  to  0.72  per  cent,  mainly 
because  of  the  better  registration  of  hghter  injuries,  resulting  either 
m  partial  permanent  disabihty  or  in  temporary  disabihty  and  even- 
tual recovery;  the  former  have  increased  in  number  from  4  069  m 
1901  to  10,296  in  1906,  or  over  150  per  cent,  and  proportionately  from 
16.44  per  cent  to  17.12  per  cent;  while  the  cases  resulting  in  tem- 
porary disability  have  also  more  than  doubled  from  1901  to  1906 
increasing  from  20,152  to  46,994.  ' 

The  per  cent  of  increase  has  been  greatest  m  the  group  of  partial 
permanent  disabihty,  and  the  increase  has  been  rapid  since  the  act 
of  1903  went  mto  effect,  there  havmg  been  3,166  such  accidents  in 
1902,  4,146  m  1903,  5,753  in  1904,  8,196  in  1905,  and  10,296  in  1906 
This  seems  to  indicate  a  more  favorable  adjustment  of  claims  of  the 
injured,  as  permanent  disabihty,  even  if  slight,  leads  either  to  a  pen- 
sion or  to  a  payment  of  the  capitahzed  value  of  the  pension,  which  is 
ten  times  the  amount  of  the  pension. 

Proportionately  fatal  accidents  are  found  to  be  highest  in  1906 
in  the  manufacture  of  earthenware,  flour  milling,  mineral  oils,  etc 
In  other  years  the  comparative  frequency  of  fatal  accidents  was  very 
dilferent.  They  were  least  frequent  in  1906  in  woodworking,  and  in 
the  textde  and  metal  industries.  This,  however,  was  due  to  the 
larger  number  of  slight  accidents  rather  than  to  the  comparative 
safety  of  these  industries.  As  a  matter  of  fact,  the  largest  number 
of  fatal  accidents  occur  in  the  metal  industry,  woodworking,  and  the 
food  industry  (flour  milhng  and  sugar  refining),  where  heavy' machin- 
ery IS  used. 

The  cases  of  total  permanent  disabihty  are  so  few  (less  than  0  1 
per  cent  in  1906)  that  no  general  tendency  is  disclosed  by  the  data 
As  to  cases  of  partial  permanent  disabihty  they  are  numerically 
greatest  m  the  metal  industries,  cotton  manufactures,  and  the  food 
industry,  while  proportionately  they  are  most  frequent  in  the  printing 
industry,  wool,  and  other  branches  of  textiles. 

The  table  following  shows  the  results  of  accidents,  by  industries 
for  the  years  1901  to  1906.  ' 


f: 


■OB 


CHAPTER  IX.— WORKMEN 'S   INSURANCE   IN   RUSSIA.  2191 

RESULTS  OF  ACCIDENTS  IN  MANUFACTURING  ESTABLISHMENTS,  BY  INDUSTRIES 

1901  TO  1906.  ^' 

(Source:  Ministerstvo  Torgovli  I  Prorayshlennosti.    Otdiel  t)romvshlpnno«t!     <5to*  „*•, 

slu6haevsrabochimri901-lS6.J  Statistika  neschastnykh 


Industry. 


1901. 

Cotton  manufactures 

Wool  manufactures ' .'  * 

Silk  manufactures 

Flax,  hemp,  and  jute  manufa(> 

tures 

Textiles,  not  specified .' '.'.'.'.'..'.'.' 

Paper  and  printing * 

Wood  manufactures '.'.'.'.'.'.. 

Metals,  machinery,  and  iinple^ 

ments _ 

Mineral  products ..] 

Animal  products  (hides,'  leather, 

etc.) 

Food  products 

Chemical  products '..,[ 

A 11  other  industries. 


Temporary 
disability. 


Total. 


1902. 

Cotton  manufactures 

Wool  manufactures '.'.'." 

Silk  manufactures ....." 

Flax,  hemp,  and  jute  manufac- 
tures  

Textiles,  not  specified. .. ....'. 

Paper  and  printing 

Wood  manufactures .*.""* 

Metals,  machinery,  and- iinple^ 
ments 

Mineral  products. .......... 

Animal  products  (hides,  leatiier", 

Food  products ..'.". . . . ." 

Chemical  products. 

All  other  industries ! 


3,806 

660 

20 

563 

38 

606 

1,004 

9,806 
461 

191 

2,278 

683 

36 


20,152 


Total. 


4,795 

719 

40 

466 

104 

674 

1,120 

9,960 
426 

182 

2,460 

908 

73 


85.38 
69.26 
66.67 

80.20 
66.67 
70.79 
69.58 

83.73 
70.60 

72.90 
83.02 
82.29 
80.00 


81.44 


21,927 


1903. 

Cotton  manufactures 

Wool  manufactures [ 

Silk  manufactures .......' 

Flax,  hemp,  and  jute  manufac- 
tures  

Textiles,  not  specified ..." .' ." 

Paper  and  printing 

Wood  manufactures. .'.".'.' 

Metals,  machinery,  and  Vrnple^ 
ments ^ 

Mineral  products. . . . ! 

Animal  products  (hides!  ieath'er. 

etc.) '_  ' 

Food  products ....[ 

Chemical  products ...', '. 

All  other  industries.. 


89.39 
71.97 
81.63 

81.47 
80.62 
74.47 
75.62 

87.23 
72.95 

75.21 
83.08 
86.15 
82.02 


84.83 


Total. 


5,646 

759 

60 

466 

74 

701 

1,595 

12,403 
515 

204 

2,789 

1,044 

42 


26,298 


87.06 
70.74 
75.00 

85.82 
69.16 
77.12 
79.04 

85.67 
76.18 

76.98 
82.49 
84.47 
61.77 


83.97 


Accidents  resulting  in- 


Total 
permanent 
disability 


Num-      Per     Num- 
ber,     cent,     ber 


Per 
cent. 


Partial 
permanent 
disability. 


Num- 
ber. 


0.18 
84 


.58 


8  .94 

18  1.24 

50  .43 

13  1.99 


2 

22 

4 

1 


138 


.76 

.80 

.48 

2.22 


.56 


10 
3 


1 

1 

15 

12 

41 

6 

4 

14 

3 

2 


.18 
.30 


618 
264 


124 

19 

227 

373 

1,791 
139 

56 

326 

117 

6 


Per 
cent. 


Death. 


Num- 
ber. 


13.86 
27.70 
30.00 

17.66 
33.33 
26.52 
25.85 

15.29 
21.29 

21.38 
11.88 
14.10 
13.33 


Per 
cent. 


Result  of 

acciaent 

unknowii. 


26 

21 

1 

11 


4,069 


17 
77 
1.66 
83 

.36 
1.03 

1.65 
47 
29 

2.25 


112 


486 

250 

6 

85 

21 

182 

271 


16.44 


.43 


1,256 
100 

41 

361 

99 

8 


9.06 
25.03 
12.25 

14.86 
16.28 
20.11 
18.29 

11.00 
17.12 

!  16.94 

12.19 

9.39 

8.99 


15 

48 

64 
40 

13 

118 

26 

2 


0.58 
2.20 
3.33 

1.56 


Num-  Per 
ber.   cent. 


1.75 
3.33 

.55 
6.12 

4.96 
4.30 
3.13 
4.45 


Total 
acci- 
dents. 


385 


32 

14 

1 


4,458 

953 

30 

702 

57 

856 

1,443 

11,711 
653 

262 

2,744 

830 

45 


1.66  I 124.744 


.59 
1.40 
2.04 

.88 


41 

13 

2 


0.78 
1.30 
4.08 


16   1.77 
38  2.56 


3,166 


.09 
19 


.18 


1 
11 

41 
3 

4 

12 

3 

1 


UL 


.11 

.55 

.28 
.44 

1.51 
.36 
.24 

1  47 

.27 


7.39 

277 

15 

69 

28 

178 

335 

1,787 
104 

40 
441 
113 

20 


58 
35 

10 
82 
25 

4 


12.25 


4,146 


11.40 
25.81 
18.75 

12.71 
26.17 
19.58 
16.60 

12.34 
15.39 

15.10 

13.04 

9.14 

29.41 


320 


.51 
5.99 

4.13 
2.77 
2.37 
4.49 


15   2.62 

3   2.33 

18  1.99 

40  2.70 


103 
17 


.90 
2.91 


1.24 


13.24 


28 

16 

3 

2 

2 

10 

34 

58 
23 

7 
87 
39 

3 


5  2.07 
44  1.49 
19  jl.80 

2  |2.25 


322  |l25 


5,364 

999 

49 

572 

129 

905 

1,481 

11.418 
584 

242 

2.961 

1.054 

89 


25.847 


43 
1.49 
3.75 

37 
1.87 
10 
68 

40 
3.40 

2.64 
2.57 
3.16 
4.41 


312 


66 

19 

2 

5 

3 

19 

43 


1.02 
1.77 
2.50 

92 
2.80 
2.09 
2.13 


189   1.31 
31    4.59 


99 


10 

52 

37 

2 


478 


3.77 
1.54 
2.99 
2.94 


6,485 

1,073 

80 

543 

107 

909 

2,018 

14,478 
676 

2C^ 

3.381 

1,236 

68 


1  53   31,. 319 


I 


2192 


REPORT  OF   THE  COMMISSIONER   OF   LABOR. 


RESULTS  OF  ACCIDENTS  IN  MANUFACTURING  ESTABLISHMENTS,  BY  INDUSTRIES. 

1901  TO  1906— Continued. 


Industry. 


1904. 

Cotton  manufactures 

Wool  manufactures 

Silk  manufactures 

Flax,  hemp,  and  jute  manufac- 
tures  

Textiles,  not  specified 

Paper  and  printing 

Paper,  parchment,  and  wall 
paper 

Printing  and  engraving 

Paper  and  printmg,  not  spec- 
ified  

Wood  manufactures 

Lumber  sawing 

Woodworking,  not  specified  . 
Metals,  machinery,  and  imple- 
ments  

Iron  and  steel 

Machinery  and  implements. . 

Metal  working,  not  specified.. 
Stone,  clay,  china,  and  glass 

Glass  manufactures 

China  ware 

Earthenware 

Mineral  products,  not  speci- 
fied  

Animal  products  (hides,  leather, 

etc.) 

Food  products 

Flour  milling 

Sugar  and  sugar  refining 

Food  products,  not  specified. 
Chemical  industry 

Chemicals 

Mineral  oils 

Explosives 

Chemical  industry,  not  speci- 
fied  

All  other  industries 

Total 


1905. 

Cotton  manufactures 

Wool  manufactures 

Silk  manufactures 

Flax,  hemp,  and  jute  manufac- 
tures   

Textiles,  not  specified 

Paper  and  printing 

Paper,  parchment,  and  wall 
paper 

Printing  and  engraving 

Paper  and  printing,  not  spec- 
ified  

Wood  manufactures 

Lumber  sawing 

Woodworking,  not  specified. 
Metals,  machinery,  and  imple- 
ments   

Iron  and  steel 

Machinery  and  implements. . 

Metal  working,  not  specified . 


Accidents  resulting  in — 


Temporary 
disability. 


Num- 
ber. 


5,735 

833 

60 

830 
107 
986 

490 
177 

319 
2,062 
1,389 

073 

23,325 

8,642 

13, 416 

1.207 

1,580 

963 

47 

103 

467 

391 
3,422 

393 
2,016 
1,013 
1,248 

405 

188 
61 

594 
61 


40,640 


5,863 

808 

60 

982 
108 
998 

487 
152 

359 
1,994 
1,330 

664 

25,089 
8,735 

15,143 
1,211 


Per 
cent. 


86.79 
67.78 
80.00 

75.94 
67.72 
79.45 

80.99 
73.75 

80.56 
79.80 
77.08 
86.06 

88.89 
91.46 
87.49 
86.84 
88.37 
96.11 
72.31 
63.58 

83.54 

81.46 
82.20 
67.53 
89.20 
76.74 
84.96 
86.35 
86.24 
82.43 

83.90 
79.22 


86.09 


82.46 
61.40 
72.29 

69.75 
60. 67 
76.24 

76.57 
69.41 

79.08 
77.68 
75.74 
81.87 

83.19 
89.01 
80.33 
81.22 


Total 
permanent 
disability. 


Num- 
ber 


4 

5 
2 

26 
6 

18 
2 
5 


14 
3 
6 
5 
4 
2 
2 


70 


10 
3 


2 
5 
3 
2 

17 
3 

11 
3 


Per 
cent. 


0.08 
.24 


.28 
.63 
.08 

.16 


.27 
.28 
.26 

.10 
.06 
.12 
.14 
.28 


.62 
.71 


.34 

.52 
.27 
.38 
.27 
.43 
.92 


1.30 


15 


.14 
.23 


.21 
'23 
.16 


.44 
.19 
.17 
.25 

.06 
.03 
.06 
.20 


Partial 
permanent 
disability. 


Num- 
ber. 


807 

360 

15 

243 

46 

213 

91 
57 

65 
447 
348 

99 

2,012 

725 

1,712 

175 

162 

36 

14 

38 

'74 

69 

594 

154 

191 

249 

177 

53 

26 

11 

87 
8 


5,753 


1.100 

474 

19 

380 

65 

265 

119 
62 

84 
494 
360 
134 

4,158 

1.017 

2,888 

253 


Per 
cent. 


12.21 
29.29 
20.00 

22.23 
29.12 
17.16 

\r,.04 
23. 75 

16.41 
17.30 
19.31 
lli.66 

9.95 

7.68 

11.17 

11.99 

9.06 

3.59 

21,53 

23.  45 

13.24 

14.38 
14.27 
2ti.  46 
8.45 
IH.  86 
12.  05 
11.30 
11.92 
14.87 

12.28 
10.39 


12. 19 


1.'..47 
3<i.02 


2(1. 99 
a«K  52 
20.24 

18.71 

2S.  31 

1.S.50 
19.24 
20.50 
16.52 

13.79 
10.36 
15.32 
16.97 


Death. 


Num- 
ber. 


31 
19 


2 

3 

30 

18 
2 

10 

38 

33 

5 

84 

36 

41 

7 

33 

1 

2 

19 

11 

15 
112 
30 
47 
35 
13 
5 


Per 
cent 


0.47 
1.55 


382 


23 

16 

2 

4 

2 

20 

16 


4 
43 
37 

6 

78 

23 

48 

7 


.18 
1.20 
2.42 

2.98 
.83 

2.52 

1.47 

1.83 

.64 

.32 

.38 

.27 

.48 

1.84 

.10 

3.08 

U.78 

1.97 

3.12 
2.69 
5.15 
2.08 
2.a5 
.88 
1.07 


2.70 

.85 
2.60 


,81 


.33 
1.21 
2.41 

.28 
1.12 
1.53 

2.52 


.88 
1.68 
2.11 

.74 

.26 
.23 
.25 

.47 


Renutt  of 

actident 

unknown. 


Num- 
ber. 


30 
14 


15 

1 

11 

A 
4 

2 

30 

27 

3 

194 
40 

146 
8 
8 
2 
2 
1 


5 

20 

2 


Per 
cent, 


0.45 
L14 


L37 
.63 

.89 

.83 
L67 

.51 
1.16 
1.50 

.38 

.74 
.42 
.95 
.55 
.45 
.20 
3.08 
.62 

.54 

L04 

.48 
.34 


18  11.37 
27    1.84 


21 
5 


.85 
.92 


360 


114 
15 


2.97 
6.49 


,76 


1.60 
1.14 
2.41 


39   2.77 

a    1.69 

23  11.76 


13 
ft 

5 
31 
20 

ft 

814 
36 

761 
17 


2.04 
2.28 

1. 10 

1.21 

1.48 

.62 

2.70 

.37 

4.04 

L14 


Total 
acci- 
dents. 


6.608 

1,229 

75 

1,093 

158 

1,241 

605 
240 

396 
2,584 
1,802 

782 

26.241 
9,449 

15,333 
1,459 

1.788 

1,002 

65 

162 

559 

480 

4, 162 

582 

2.260 

1.320 

1,469 

469 

218 

174 

708 

77 


47,205 


7,110 

1.316 

83 

1,408 

178 

1,309 

636 
219 

454 
3.667 
1,756 

811 

30,156 
9.814 

18,851 
1,491 


CHAPTER   IX.— WORKMEN 'S   INSURANCE   IN   RUSSIA.  2193 

RESULTS  OF  ACCIDENTS  IN  MANUFACTURING  ESTABLISHMENTS,  BY  INDUSTRIES 

1901  TO  1906-Concluded.  i^M^tbiiUES, 


Industry. 


1906— Concluded. 

Stone,  clay,  china,  and  glass 
Glass  manufactures 
China  ware.. 

Earthenware 

Mineral  products,  not  speci 
fled 

Animal  products  (hides!  leather, 
etc.) 

Food  products ..].!.....! . 

Flour  milling 

Sugar  and  sugar  refining 

Food  products,  not  specified. 
Chemical  mdustry 

Chemicals . , 
Mineral  oils 

Explosives 

Chemical  industry,  not  speci- 
fied  

All  other  industries 

Total 


Cotton  manufactures 
Wool  manufactures 

Silk  manufactures 

Flax,  hemp,  and  jute  manul^ 

tures 

Textile  industries,  not  specified.' 
Paper  and  printmg 

Paper,  parchment,  and  wall 
paper 

Printing  and  engraving] ..... 

Paper  and  printing,  not  spec- 
ified  

Wood  manufactures 

Lumber  sawing 

Wood  working,  not  specified.' 
Metals,  machinery,  and  imple- 
ments  

Iron  and  steel . . . . '. . . ......,[ 

Machinery  and  implements  * '. 

Metal  working,  not  specified. 
Stone,  clay,  china,  and  glass 

Glass  manufacturee 

China  ware 

Earthenware "  ] ' 

Mineral  products,  not  speci" 
fied 

Animal  products  (hides,  "leather'.* 
etc.) ' 

Food  products. .........[ 

Floiu"  milling ......./ 

Sugar  and  sugar  refining 

Food  products,  not  specified ! 
ChemK-al  industry 

Chemicals .,_ 

Mineral  oils 

Explosives ."].'." 

Chemical  industry,  not  speci- 
fied    .  _ 

All  other  industries 

Total 


T^.X 


m 


2194 


REPORT   OF   THE   COMMISSIONER   OF   LABOR. 


1 


Duration  of  Treatment.— The  following  table  throws  some 
light  upon  the  average  duration  of  disability  due  to  aecidents. 
Accordmg  to  the  regulations  supplementary  to  the  law  of  June  2, 
1903,  the  number  of  days  during  which  sick  allowances  of  half  the 
wages  were  paid  must  be  reported,  these  allowances  being  paid  until 
complete  recovery  or  until  the  degree  of  disability  is  estabUshed. 
Wliile  the  data  are  admitted  to  be  somewhat  inaccurate,  since  only 
working  days  were  included  in  some  cases,  and  all  days  in  otiier  cases, 
and  no  data  were  available  for  some  cases,  nevertheless  the  statistical 
error  is  said  to  be  probably  small.  Not  only  do  the  majority  of  indus- 
trial accidents  terminate  in  complete  recovery,  after  temporary 
disability,  but  a  large  proportion  of  these  cases  last  a  very  sliort  time. 
In  1904,  12,441,  or  30.72  per  cent  of  the  temporary  disabihty  cases, 
were  cases  terminating  m  complete  recovery  after  7  days  of  treatment 
or  less;  11,899,  or  29.38  per  cent,  after  8  to  14  days  of  treatment,  and 
6,087,  or  15.03  per  cent,  after  15  to  21  days,  so  that  75.13  per  cent 
of  all  the  cases  lasted  3  weeks  or  less.  The  average  length  of  treat- 
ment for  cases  of  temporary  disabihty  was  only  17.8  days;  for  the 
cases  of  permanent  disability  it  was  considerably  longer,  71.1  days, 
the  general  average  for  all  cases  being  24.3  days. 

In  1905  the  proportion  of  temporary  disabihty  cases  lasting  only 
7  days  or  less  declined  to  28.73  per  cent,  and  in  1906  was  28.85  per 
cent.  On  the  other  hand,  the  number  of  cases  requiring  from  8 
to  14  days  of  absence  from  work  increased  from  29.38  [ler  cent 
in  1904  to  30.23  per  cent  in  1906,  so  that  over  59  per  cent  of 
these  cases  lasted  not  over  2  weeks;  and  the  proportion  of  cases 
lasting  not  over  3  weeks  was,  in  1904,  75.13  per  cent;  in  1905, 
73.71  per  cent,  and  in  1906,  73.89  per  cent.  In  general  tliere  has 
been  a  sliglit  lengthenmg  of  the  average  duration  of  disabihty  of  the 
temporary  cases  from  17.8  days  in  1904  to  18.8  days  in  1905,  and  19 
days  in  1906,  while  m  the  general  group  of  permanent  disability 
cases  there  was  a  decrease  from  71.1  days  in  1904  to  67.2  days  in 
1905  and  64.4  days  in  1906.  This  is  due  to  the  increase  in  the 
number  of  minor  cases  which,  by  a  more  favorable  adjudication, 
are  considered  cases  of  permanent  disability. 


CHAPTER  IX. workmen's  INSURANCE  IN  RUSSIA.  2195 

duration    of    TREATMENT    IN    ACCIDENTS    RESULTING    IN    TEMPORARY    Diq* 
BILITY,    PERMANENT    DISABILITY,    AND    DEATH,    IN    MANUFACTURIXG    FStTrI 
LISHMENTS,  1904  TO  1906.  "        ^^^''^»- 

(Source:  Ministerstvo  TorgovU  i  Promyshlennosti.    Otdiel  promyshlennosti.    Statistika  neschastnvkh 

sluchaev  s  rabochimi,  1901-1906.J  "«w^aasinyKn 


Duration  of  treat- 
ment. 


1904. 

7  days  and  under... 

8  to  14  days 
1.5  to  21  days 
22  to  28  days 
29  to  35  days 
36  to  42  days 
43  to  49  days 
50  to  56  days 
57  to  63  days 
64  to  70  days 
71  to  77  days 
78  to  84  days 
85  to  91  days 
92  days  and  over. 
Unknown 

Total 

1905. 


.« 


7  days  and  under... 

8  to  14  days 
15  to  21  days 
22  to  28  days 
29  to  35  days 
36  to  42  days 
43  to  49  days 
50  to  56  days 
57  to  63  days 
64to70davs 
71  to  77  days 
78  to  84  days 
85  to  91  days 
92  days  and  over 

Total 

1906. 

7  days  and  under, 

8  to  14  days 
15  to  21  days 
22  to  28  days 
29  to  35  days 
36  to  42  days 
43  to  49  days 
50  to  56  days 
57  to  63  days 
64  to  70  days 
71  to  77  days 
78  to  84  days 
85  to  91  day 
92  days  and  over 

Total 


2196 


REPORT   OF   THE   COMMISSIONER   OF   LABOR. 


Altogether  the  number  of  days  of  treatment  until  final  determina- 
tion of  the  result  of  injury  for  all  cases  was  as  follows: 

TOTAL  DAYS  OF  TREATMENT  IN  CASES  OF  ACCIDENT,  BY  RESULT  OF  INJITUY,  1904  TO 

1906. 


Result  of  injury. 


Temporary  disability 
Permaneiit  disability 
Death 

Total *. 


1904. 


721,736 

411,706 
2,549 


1,135,491 


1905. 


802.070 

641,81.1 

3,266 


1,347,14» 


1906. 


886,024 

650,516 

3,425 


1,539,964 


Thus  in  two  years  there  has  been  an  increase  of  22.8  per  cent  in  the 
total  days  for  which  temporary  disability  payments  were  made, 
while  the  number  of  accidents  has  increased  22.5  per  cent.  There 
does  not  appear,  therefore,  to  have  been  any  undue  tendency  to  pro- 
tract the  duration  of  treatment. 

ACCIDENTS   IN   MINES   AND   METALLURGICAL    ESTABLISHMENTS. 

The  statistics  of  accidents  in  the  mines  and  metallurgical  establish- 
ments are  available  for  a  much  longer  period  than  for  the  manufac- 
turing industries;  but  since  the  data  are  veiy  incomplete  for  the 
earlier  years,  it  was  thought  sufficient  to  give  the  data  for  the  last  12 
years,  1896  to  1907.  Even  for  this  period  tlie  number  of  recorded 
accidents  has  increased  from  9,867  in  1896  to  72,910  in  1907,  and  the 
rate  from  20.2  to  111.9  per  thousand,  which  makes  the  earliest  data 
of  comparatively  little  value.  The  number  of  employees,  tlie  num- 
ber of  accidents  recorded,  and  the  accidents  per  1,000  employees  are 
shown  in  the  table  following: 

NUMBER  OF  EMPLOYEES,  ACCIDENTS  RECORDED,  AND  ACCIDENT  RATE  PER  1  000 
EMPLOYEES  IN  MINES  AND  METALLURGICAL  ESTABLISHMENTS,  ACCORDING  TO 
REPORTS  OF  SCIENTIFIC  MINING  COMMITTEE.  1896  TO  1907. 

[Source:  Sbomik  Statist^heskikh  svedenii  p  gomozavodskoi  prorayshlennosti  Rossii,  189«i-1907     Data 
for  the  Duchy  of  Finland,  which  are  included  in  the  original  import,  have  been  eliminatwl.] 


Year. 


18% 
1897 
1898 
1899 
1900 
1901 


Number 
of  em- 
ployees. 


489,038 
543.468 
588,406 
633, 743 
710,824 
678,731 


Accidents  recorded. 


Number. 


9,867 
10,3(i5 
20,352 
13,257 
29.100 
23,335 


Per  1,000 

em- 
ployees. 


20.2 
19.1 
34.9 
20.9 
40.9 
34.4 


Year. 


1902 
1903 
1904 
1905 
1906 
1907 


Number 
of  em- 
ployees. 


621.993 
605,925 
595, 526 
577, 757 
638,468 
651,614 


Accidents  recorded. 


Number. 


33,586 
44,597 
67,119 
62,018 
71,901 
72,910 


Per  1,000 

em- 
ployees. 


54.0 
73.6 
112.7 
107.4 
112.6 
111.9 


The  statistics  are  published  by  the  scientific  mining  committee  of 
the  Ministry  of  Agriculture  and  State  Domains  in  its  annual  reports 
of  the  mining  industry  of  Russia.    The  reports  embrace,  besides  the 


CHAPTER   IX. workmen's   INSURANCE   IN   RUSSIA.  2197 

mining  industry  proper,  also  the  metallurgical  establishments,  and 
they  follow  no  well-defined  rule  in  regard  to  the  limits  between  the 
metallurgical  and  metal-working  industry.  An  examination  of  the 
table  following  shows  that  while  the  number  of  accidents  reported 
from  the  mines  has  been  regularly  increasing,  due  to  improvement  of 
statistical  service,  the  accidents  in  the  metallurgical  establishments 
(mainly  iroii  and  steel  mills)  fluctuated  greatly  as  from  8,602  in 
1897  to  18,349  in  1898,  then  again  to  9,876  in  1899;  and  increased  to 
25,195  in  1900,  to  drop  again  to  17,509  in  1901.  These  violent 
fluctuations  are  explained  by  the  fact  that  some  very  large  steel- 
manufacturing  plants  furnished  data  and  were  included  in  the 
metallurgical  report  for  the  years  1898,  1900,  1902,  1903,  and  1904 
and  did  not  furnish  any  data  and  were  not  included  in  the  years 
1896,  1897,^1899,  1901,  and  1905. 

NUMBER  OF  ACCIDENTS  IN  MINES  AND  METALLURGICAL  ESTABLISHMENTS.  ACCORD. 
ING  TO  REPORTS  OF  SCIENTIFIC  MINING  COMMITTEE,  1896  TO  1907. 

(Sonrce:  Sbomik  Statisticheskikh  svedenii  o  gornoxavodskoi  promyshlennosti  Rossii,   1896-1907     Data 
for  the  Duchy  of  Finland,  which  are  included  in  the  original  report,  have  been  eliminated.] 


Year. 


Fatal  accidents: 

1896 

1897 

1898 

1899.  

1900 

1901 

1902 

1903 

1904 

1905 

1906 

1907 

Nonfatal  accidents: 

1896 

1897 

1898 

1899 

1900 

1901 

1902 

1903 

1904 

1905 

1906 

1907 

All  accidents: 

1896 

1897 

1898 

1899 

1900 

1901 

1902 

1903 

1904 

1905 

190G 

1907 


Coal 
mines. 


125 
151 
251 
205 
288 
327 
267 
211 
266 
380 
350 
363 

295 

601 

708 

1.147 

1,503 

1,717 

4,726 

7,711 

20,853 

23,468 

27,871 

29,410 

420 

752 

959 

1,352 

1.791 

2,044 

4,993 

7.922 

21,119 

23,848 

28,221 

29,047 


Gold 
and 
plat- 
inum 
mines. 


46 
33 
42 
50 
36 
35 
55 
53 
50 
53 
48 
74 

286 

299 

426 

635 

673 

557 

592 

779 

915 

1.090 

1,382 

1,703 

332 

332 

468 

685 

709 

592 

647 

832 

965 

1,143 

1,430 

1,777 


Iron, 

copper, 

and 

other 

mines. 


39 
53 
69 
64 
58 
50 
32 
45 
59 
61 
40 
70 

443 

408 

392 

419 

476 

618 

608 

649 

2,381 

2,396 

3,283 

4,143 

485 

461 

461 

483 

534 

668 

640 

694 

2,440 

2.457 

3,323 

4,073 


Quar- 
ries. 


65 
40 

51 
62 
50 
49 
36 
50 
38 
26 
20 
29 

179 
64 
72 
430 
311 
328 
209 
250 
162 
132 
142 
162 

244 

104 
123 
492 
361 
377 
245 
300 
200 
158 
162 
191 


Oil 
wells 

.\11  mines 

Metallur- 

and 
salt 

and  quar- 
ries. 

gical  es- 
tablish- 

mines. 

ments. 

17 

292 

86 

31 

306 

95 

50 

463 

145 

60 

441 

147 

65 

497 

142 

53 

514 

133 

39 

429 

95 

38 

397 

113 

30 

443 

112 

32 

552 

117 

45 

503 

99 

11 

547 

116 

55 

1,258 

8,228 

83 

1,455 

8,507 

142 

1,740 

18.204 

309 

2,940 

9,729 

445 

3,408 

25.053 

2,092 

5,312 

17.376 

2.407 

8,542 

24,519 

3,484 

12,873 

31,214 

4,536 

28,847 

37,817 

3.083 

30,169 

31,180 

4,289 

36,967 

34.332 

900 

35,885 

36,362 

72 

1,553 

8,314 

114 

1.763 

8.602 

192 

2.203 

18.349 

369 

3.381 

9.876 

510 

3.905 

25.195 

2,145 

5,826 

17,509 

2,446 

8,9n 

24.614 

3.522 

13.270 

31,327 

4,566 

29.290 

37.929 

3,115 

30.721 

31.297 

4,334 

37.470 

34,431 

911 

36. 432 

36,478 

Mines 
and  met- 
allurgi- 
cal OS  tab- 
lish- 
ments. 


378 
403 
606 
588 
639 
647 
524 
510 
555 
669 
602 
663 

9,486 
9,962 
19,W4 
12,669 
28,461 
22,688 
33.088 
44,087 
66.6<>4 
61.349 
71. -299 
?2.247 

9,867 
10.305 
20.552 
13.257 
29.100 
23.335 
33.585 
44.597 
67.119 
62.018 
71.901 
72,910 


f 


2198 


REPORT   OF   THE   COMMISSIONER  OF  LABOR. 


The  general  increase  of  the  number  of  accidents  reported  in  1900 
was  due  to  the  union  of  the  local  mining  councils  with  the  factory 
councils  mto  local  councils  on  factories  and  mines.  From  1903  the 
effect  of  the  workmen's  compensation  law  of  June  2  (15)  1903  which 
demanded  accurate  accident  statistics,  was  to  increase  the  number 
of  reported  accidents  by  more  than  50  per  cent. 

In  the  original  reports  from  which  the  tables  were  (Compiled  no 
companson  was  made  between  the  number  of  accidents  and  the  total 
number  of  workmen,  and  different  classifications  were  used  In 
order  to  obtam  the  accident  rate  in  the  various  branches  of  the  min- 
ing mdustry  the  two  classifications  were  carefully  adjusted  For 
reasons  given  above,  the  rates  do  not  approach  any  degree  of  accu- 
racy until  1903,  and  therefore  such  comparison  is  made  only  for  the 

!fno  ^^^'^'     ^^^  ""^^  ^^  accidents  for  the  entire  industry  in 

1903  was  73.6  per  thousand.     The  enforcement  of  the  compensation 
act  increased  it  to  112.7  in  1904. 

Contrary   to  popular  impression   the  work  in  the  metallur^rical 
establishments  is  more  hazardous  than  that  in  the  mines,  the  first 
showmg  m  1905  a  rate  of  127.7,  and  the  latter  one  of  92.4  only 
There  are  many  differences  in  the  various  classes  of  mines  and  quar- 
ries     Ihe  quarnes  showed  an  accident  rate  of  only  4.3  per  thou- 
sand.    This   rate   may   be  explained   by   the  fact   that   the  great 
majonty  of  quarries  with  very  few  employees  do  not  come  under  the 
provision  of  the  compensation  act  of  1903,   and  no  increase  has 
taken  place  m  the  number  of  accidents  reported  since  1904      Thus 
m  1905  there  were  3,920  quarries  with  36,820  employees,  or  less 
than  10  emp  oyees  per  establishment.     In  the  gold  mines  the  rate 
is  also  very  low-14.9  per  thousand-because  most  of  tlio  gold  is 
obtained  m  Russia  by  processes  of  surface  mining.     In  the  other 
metal  mines  the  rate  rises  to  48.5,  and  in  the  oil  fields  to  65.3,  while 
m  the  coal  mines  it  is  as  high  as  198.4  per  thousand. 

In  regard  to  the  results  of  the  accidents,  the  cases  are  classified 
mto  fatal  and  nonfatal,  no  further  information  as  to  the  nature  of 
mjury  m  the  recovered  cases  being  given.  The  data  for  fatal  acci- 
dents are  much  less  subject  to  fluctuation,  and  evidently  more  com- 
parable for  the  entire  decade.  They  constitute  about  1  per  cent  of 
all  accidents;  m  the  coal  mines  the  proportion  rises  to  about  1^  per 
cent.  In  1903  one  out  of  every  1,188  employees  shown  in  the  table 
followmg  was  fatally  injured;  and  in  1907  one  out  of  every  983.  In 
I  the  coal  mines  the  proportion  was  1  out  of  every  454  in  1907. 


CHAPTER   IX. — workmen's  INSURANCE   IN   RUSSIA.         2199 

NUMBER  OF  EMPLOYEES,  ACCIDENTS  REPORTED,  AND  ACCIDENT  RATE  PER  1009 
IN  MINES  AND  METALLURGICAL  ESTABLISHMENTS,  ACCORDING  TO  REPORTS  OF 
SCIENTIFIC  MINING  COMMITTEE,  1903  TO   1907. 

[Source:  Sbomlk  Statisticheskikh  svedenii  o  gomozavodskoi  promyshleanosti  Rossil,  1903-1907.1 


Industry. 


Metallurgical  establishments: 

1903 

1904 

1905 

1906 

1907 ;;.;; 

Coal  mines: 

1903 

1904 

1905 

1906 

1907 '.'.'.'.'.'.'.'.'. 

Gold,  silver,  and  platinum  mines: 

1903 

1904 

1905 

1906 

1907 "!!!!!!!! 

Iron,  copper,  and  other  mines: 

1903 

1904 

1905 

1906 

1907 .'!!!!!.'!]!!;" 

Quarries: 

1903 

1904 

1905 

1906 

1907 '.["["'.'.[[[]'.'. 

Oil  wells  and  salt  mines: 

1903 

1904 

1905 

1906 

1907 [[[[[[[['.[[[['.[ . 

All  mines  and  quarries: 

1903 

1904 

1905 

1906 

1907 """!!!!!!!!!!!!!! 

All  mines  and  metallurgical  establishments 

1903 

1904 

1905 

1906 

1907 '...". 


Number 
of  em- 
ployees. 


Accidents  reported. 


280,987 
260,049 
245, 146 
281,535 
264,136 

105, 774 
117, 743 
120,214 
145,392 
164,819 

90,633 
81,703 
77,203 
74,366 

72,484 

42,653 
48,177 
50,678 
52.980 
61,071 

43,946 
41,605 
36,820 
34,875 
34,367 

41,932 
46,249 
47,696 
49.605 
64,737 

324,938 
335, 477 
332,611 
352,245 
387,478 

605,925 
595, 526 
577, 757 

638,468 
651, 614 


Fatal. 


113 
112 

117 

99 

116 

211 
266 
380 
350 
363 

53 
50 
53 

48 
74 

45 
59 
61 
40 
70 

50 
38 
26 
20 
29 

38 
30 
32 
45 
all 

397 
443 
552 
503 
547 

510 
555 


Nonfatal. 


602 
663 


31,214 
37,817 
31,180 
34,332 
36,362 

7,711 
20,853 
23,468 
27,871 
29,410 

779 

915 

1,090 

1,382 

1,703 

649 
2,381 
2,396 
3,283 
4,143 

250 
162 
132 
142 
162 

3,484 
4,536 
3,083 
4,289 
0900 

12,873 

28,847 
30.169 
36,967 
35,885 

44,087 
66,664 
61,349 
71,299 
72,247 


Total- 


Number. 


31,327 
37,929 
31,297 
34.431 
36,478 

7,922 
21, 119 
23.848 
28.221 
29,047 

832 

965 

1,143 

1.430 

1,777 

694 
2,440 
2,457 
3.323 
4,073 

300 
200 
158 
162 
191 

3,522 
4,566 
3,115 
4.334 
a  911 

13,270 
29, '290 
30,721 
37. 470 
36,432 

44,597 
67, 119 
62,018 
71.901 
72,910 


Per  1,000 

em- 
ployees. 


111.5 
145.9 
127.7 
122.2 
138.1 

74.9 
179.3 
198.4 
194.1 
176.2 

9.2 
11.8 
14.9 
19.2 
24.5 

16.3 
50.6 
48.5 
62.7 
66.7 

6.8 
4.1 
4.3 
4.7 
5.5 

84.0 
98.7 
65.3 
87.5 


Number 
of  em- 
ployees 
to  each 
fatal  ac- 
cident. 


40.8 
84.2 
92.4 
106.4 
94.0 

73.6 
112.7 
107.4 
112.6 
111.9 


2.4S6 
2,322 
2,095 
2.844 
2,277 

501 
443 
316 
41S 
454 

1,7W 
L634 
1,457 
1,549 
979 

94€ 
816 
831 
1,324 
873 

87t 
1.095 


416 
744 

185 


1.104 
1.542 
1,492 
1.  lOS 


818 
757 
603 
TOt 
713 

1, 18S 
1,073 

864 
1,061 

983 


a  Data  are  incomplete. 

Accident  Statistics  According  to  Reports  of  Mine  Inspect- 
ors.—Notwithstanding  the  high  rate  of  112  per  thousand,  the  acci- 
dent statistics  gathered  by  the  scientific  mining  committee  and 
presented  in  the  prepeding  table  are  far  from  complete.  Since  the 
accident  compensation  law  of  1903  went  into  effect,  the  mining 
department  of  the  Ministry  of  Commerce  and  Industry  has  under- 
taken the  publication  of  accident  statistics  through  its  mining  inspec- 
tors, who  exercise  the  same  functions  in  regard  to  the  mining  and 

67725°— VOL  2—11 45 


/ 


2200 


BEPOBT   OF   THE   COMMISSIONER  OF  LABOR. 


metallurgical  establishments  as  the  factory  inspectors  do  for  the 
manufacturing  industry. 

The  reports  for  1905  and  1906  are  available,  and,  notwithstanding 
a  certam  lack  of  statistical  accuracy  (which  manifests  itself  mainly 
m  the  fact  that  in  many  instances  the  items  in  the  tables  do  not 
add  to  the  total),  the  data  of  these  reports  are  thought  sufficiently 
maportant  to  be  presented  here.  The  reports  embrace  only  such 
mmmg  and  metallurgical  establishments  as  are  subject  to  mine  inspec- 
tion and  include  only  about  500,000  workmen  as  against  650,000 
recorded  by  the  mining  committee,  which  includes  also  the  establish- 
ments of  the  State  and  Crown.  Nevertheless  the  mine  inspectors 
record  a  larger  number  of  accidents  (69,031  in  1905  against  63  018 
and  75,907  .in  1906  against  72,910),  and  a  very  much  higher  'acci^ 
dent  rate,  which  in  1906  reached  150  per  thousand.  The  rate  in 
the  metallurgical  establishments  rises  to  177  per  thousand  and  in 
the  coal  mines  to  247.6. 

NUMBER  OF  EMPLOYEES,  ACCIDENTS  REPORTED.  AND  ACCIDENT  RATE  PFR  1  nnn 

[Source:  Ministerstvo  Torgvoli  i  Promyshlennosti     Corny  Departament.    Statistik.  neschastnykh  da- 

chaev  s  raboclumi,  1905,  1900,]  vi^««»iuj^ikii  uu 


Industry. 


MetaUurgical  establishments. . 

Metal  mines 

Coal  mines '.'.'.'.'.'.'. 

Gold  mines '.'.'.'.'.'.'.'. 

Salt  quarries '..'.'.'.'.'.'. 

Quarries '..'.'.'.'.'.. 

All  others  and  unelassided  («) 


IVA. 


Em- 
ployees. 


Accidents  reported. 


Total. 


188.080 

49, 987 

117,589 

81,715 

3,204 

7.491 

38, 412 


&  483, 882 


Number. 


29,377 

2,380 

32,232 

1,188 

11 

160 

3,683 


Per 
1,000  em- 
ployees. 


1906. 


Em- 
ployees. 


156.2 
47.6 

274.1 

14.5 

3.4 

21.4 

95.9 


176, 436 
47,344 

140, 139 

76,342 

2,133 

14,787 

46,697 


Accidents  reported. 


Number. 


09,031  142.7,^504,555 


31,226 

3,143 

34,697 

1,599 

13 

176 

5,053 


75,907 


Per 

1,000  em- 
ployees. 


177.0 
«6.0 

247.6 

20.9 

6.1 

11.9 

108.2 

150.4 


inSu^sty.^'"''"  ^'  ^^"^"'  "^^^«  ^^^^"*'*'  ^^'°^i°g  "^^^^y  «"  ^ell«^  were  not  clarified  by  branch  of 
f>  This  total  is  not  the  correct  sum  of  the  items;  the  figures  are  given  as  shown  in  the  original  report. 

The  nature  of  the  injuries  sustained  in  mines  and  metallurgical 
establishments  is  given  in  the  following  table,  and  the  same  classifi- 
cation bemg  used  as  for  accidents  in  manufacturing  establishments 
comparisons  are  made  possible.  Bums  are  very  frequent  in  the 
metallurgical  plants,  representing  14.31  per  cent  of  all  accidents. 
Injuries  to  the  upper  extremity  and  fingers  seem  less  frequent  than 
m  manufacturing  estabhshments,  being,  in  1906,  27.6  per  cent  against 
35  per  cent. 


CHAPTER  IX. workmen's  INSURANCE  IN  ETJSSIA.  2201 

NUMBER  AND  PEE  CENT  OF  INJURIES  OF  EACH  SPECIFIED  CLASS  IN  MINES  AND 
METALLURGICAL  ESTABLISHMENTS,  ACCORDING  TO  REPORTS  OF  MINE  INSPEC- 
TORS, 1905  AND  1900. 

[Source:  Ministerstvo  TorgovH  i  Promyshlennosti.    Gomy  Dcpartament.    Statistika  neschastnvkh  sin- 

chaev  sxabochimi,  1905, 1906.]  ' 


Nature  of  injury. 


1905. 

Bums  and  scalds: 
One     part    of 
body  (except 

eyes) , 

Several  parts  of 
]x>dy  (except 

eyes) 

Eyes 


Accidents  in— 


MetaUurgl-  | 

cal  e-stab-     Metal  mines. 

lishments. 


Num- 
ber. 


Total 

Traumatism  with- 
out lacerations. ., 

Wounds,  ftactiires, 
etc.: 
Head,  face  (ex- 
cept eyes), 

and  neck 

One  eye 

Both  eyes 

fihooW'er,  ann, 
or  wrist- 
Right 

Left 

Both 

Fingers— 

Rijjht  hand 
Left  hand.. 
Both  hinds. 
Lower  extrem- 
ity- 

RiRbt 

LeCt 

Both 

Trunk 

Internal  inju- 
ries without 
external 
wounds 
<chest,  abdo- 
men, and 
skull) 


2,862 


754 


Coal  mines. 


Pa-   Num- 
cent.    l>er 


602 


9.71 


2.56 
2.04 


4,218!  14.31 


8,136!  27.60 


Total. 


Asphyxiation     by 

^gas 

Drowning 

All  other  injuri^]!! 

Grand  total.. 

1906. 

Bums  and  scalds: 
One    part    of 

body  (except 
eyes) 

Several  parts  of 
l>ody  (except 
eyes) 

Eyes 


Total. 


1,383 

960 

61 


1,506 

1,224 

64 

3,453 

3,050 

144 


2,075 

1,766 

74 

318 


31 


21 
10 


62 


Per 

cent. 


Niun- 
ber. 


1.23 


.84 
•  «)! 


264 


166 
62 


2.47i 


492 


309 


355 


16, 433 


31 
661 


29.479 


2,865 


720 

738 


4.69 

3.26 

.21 


5.11 

4.15 

.22 

11.71 

10.34 

.49 


7.04 

5.99 

.25 

L08 


1.20 


55  74 


20« 
99 
14 


141 

152 

5 

342 
319 

7 


351 

317 

18 

92 


12.31    11,140 


84 


2,149 


8.28 

3.94 

.56 


5.62 

6.05 

.20 

13.62 
12.70 

.28 


13.98 
12.62 

.72 
3.66 


3.35 


85.58020,511 


.11 
2.24 


2 

"is 


100.0002,511 


.80 

.'7^ 


olOO.OO 


9.15 


2.30 
2.36 


4.323 


13.81 


39 


17 
21 


/ 1 


L23 


.53 
.66 


1.42 


2,842 

1.458 

51 


1,451 

1,494 

62 

3.940 

4,274 

68 


1.737 

1,801 

69 

85 


Per 

oent. 


0.81 


.51 
.19 


L51 


Gold  mines. 


Nuni-     Per 
ber.     oent. 


14 


34. 2R 


413 


15 
254 


8.74 

4.48 

.16 


4.46 

4.59 

.19 

12.11 

13.14 

.21 


S.34 

5.54 

.21 

2.C4 


281 


1.27 


63.07 


.30 
.05 

.78 


«32, 522;«100. 00 


233 


193 
62 


488 


.66 


.55 
.17 


1.38 


131 

42 

3 


78 

65 

2 

103 

105 

1 


131 

1351 

7 

41 


0.51 


.59 
.06 


All  other. 


Nxun- 
ber. 


18 


23| 
U 


Per 
cent. 


L72 


2.19 
1.05 


Total. 


Num-  j    Per 
bM.     cent. 


3,181       I.S7 


971 
686 


L18 


52      4.96 


23.69       1 


10^ 


9.72 


21 


5 
6 

I5J 


11.05 

3.54 

.25 


&58 

5.48 

.17 

8.68 

8.85 

.08 


11.05 

11.38 

.59 

3.46 


L77 


79 

104 

4 


59 

43 

5 

110 

124 

2 


127 

1.32 

2 

38 


7.53 

9.91 

.38 


5.63 

4.10 

.48 


4,838 


19,977 


4.643 

2.663 

133 


3.235 

2.978 

142 


L39 


6.95 


28.71 


10. 4»|'     7. 948 

11.82     7,872 

.  19        216 


51 


865     72.93J      880 


.42 

.51 

1.27 


1,186 


11 


21 


1 
"i.3 


100.0001,049 


.70 


.26 

.38 


1.34 


25 


17 
11 


S3 


12.11, 

12.58i 

.19j 

3.62' 


4.421 

4.1S1 

170 

1,343 


4.86 


83.89 


.10 


«ioo.or> 


2.47 


L68 
1.09 


5.44 


924 


40,839 


137 

21 

3,774 


3,173 


975 
845 


4.993 


6.67 

3.83 

.19 


4.65 

4.28 

.20 

11.42 

11.31 

.31 


6.35 

5.97 

.25 

1.93 


L33 


58.68 


.20 

.03 
5.42 


009.588*100-00 


4.14 


1.27 
1.10 


a  51 


b  Including  i  ,f,mnoff?n^*'r;!H^  °^  ^^"^  l^"^-^'  ^^^  ^^"^**^  ^"^  eiven  as  shown  in  the  orirfnal  report, 
total  i^northecS?.n^n/til'  injuries  to  persons  who  received  injuries  of  more  than  one  kinr  This 
wuii  IS  not  tne  correct  sum  of  the  items;  the  figures  are  given  as  shown  in  the  orijrinal  report. 


^ 


2202 


REPORT   OF   THE    COMMISSIONER   OF   LABOR. 


NUMBER  AND  PER  CENT  OF  INJURIES  OF  EACH  SPECIFIED  CLASS  IN  MINES  AND 
METALLURGICAL  ESTABLISHMENTS,  ACCORDING  TO  REPORTS  OF  MINE  INHPEC- 

TORS,  1905  AND  1906— Concluded. 


Nature  of  injury. 


1906— Concluded. 

Traumatism  with- 
out lacerations . . . 

Wounds,  fractures, 
etc.: 
Head,  face  (ex- 
cept eyes), 

and  neck 

One  eye 

Both  eyes 

Shoulder,  arm, 
or  wrist: 

Right 

Left 

Both 

Fingers — 

Right  hand 
Left  hand . . 
Both  hands 
Lower  extrem- 
ity- 
Right 

Left 

Both 

Trunk 

Internal  inju- 
ries without 
external 
wounds 
(chest,  abdo- 
men, and 
skull) 


Accidents  in- 


MetaUvu-gi- 
cal  estab- 
lishments. 


Num- 
ber. 


5,872 


Per 
cent. 


18.76 


1,287 

1,344 

126 


1,142 

1,089 

52 

4,518 

5,401 

96 


2,640 

1,896 

59 

257 


To^aL 


by 


Asphyxiation 

gas 

Drowning 

All  other  injuries. . . 

Grand  total.. 


701 


20,618 


4.11 

4.29 

.40 


3.65 

3.48 

.17 

14.44 

17.26 

.30 


8.44 

6.06 

.19 

.82 


Metal  mines. 


Num- 
ber 


454 


301 

167 

21 


la^ 

156 
13 

679 

389 

18 


288 

205 

18 

76 


Per 
cent. 


14.25 


2.24       117 


65.88 


2,641 


9.45 

5.24 

.66 


6.06 

4.90 

.41 

21.31 

12.21 

.56 


9.a3 

6.43 

.56 

2.39 


Coal  mines. 


Num- 
ber. 


11,151 


Per 

cent. 


31.58 


3.67 


82.88 


2,968 

1,529 

53 


1,761 

1,817 

64 

4,605 

4,826 

55 


2,058 

2,111 

106 

941 


Gold  mines. 


Num- 
ber. 


381 


538 


8.40 

4.33 

.15 


4.99 

6.] 
.18 

13.05 

13.67 

.16 


5.&3 

5.98 

.30 

2.66 


Per 
cent. 


24.37 


All  other. 


Num- 
ber. 


95 


173 
65 
14 


100 

61 

2 

140 

136 

3 


182 

153 

14 

55 


L62         31       1.98 


11.07 

4.16 

.89 


6.40 

3.90 

.13 

8.96 

8.70 

.19 


11.64 

9.79 

.90 

3.52 


Per 
cent. 


Total. 


Num-     Per 
ber.      cent. 


9.40 


19 

1 

463 


631,296 


.07 
(a) 

1.48 


100.00 


13 


3,186 


.03 
'."4i 


23,492     66.53 


39 

2 

140 


100.00fc35,312 


.11 
.01 
.39 

100.00 


1,129 


5 

5 

22 


72.23 


92 

76 

4 


46 

40 

4 

92 

95 

4 


84 

10-3 

12 

84 


81 


17,953;    23.43 


9.10 

7.62 

.39 


4.55 

3.  IHi 

.39 

9.10 

9.40 

.:i9 


8.31 

10. 19 

1.19 

8.31 


817 


.32 

.32 

1.40 


2 
34 


61,563  6100.00  61,011 


8.01 


4,821 

3,181 

220 


3,244 

3,163 

135 

10,034 

10,907 

176 


5,255 

4,468 

209 

1,413 


1,468 


80.81 


.20 
3.36 


6100.00 


6.29 

4.15 

.29 


4.23 

4.13 

.18 

13.09 

14.23 

.23 


6.88 

5.84 

.27 

1.84 


1.91 


48,699     63.55 


6i 

9 

672 


I 


.08 
.01 
.88 


c76, 629,6100. 00 


a  Less  than  one-hundredth  of  1  per  cent. 

b  The  total  is  not  the  correct  sum  of  the  items;  the  figures  are  given  as  shown  in  the  original  rej>ort. 
c  Including  4,205  injuries  the  nature  of  which  is  not  reported.     This  total  is  not  the  correct  sum  of  the 
items;  the  figures  are  given  as  shown  in  the  original  report. 

Kesults  of  Accidents. — Fatal  results  of  accidents  are  propor- 
tionately more  frequent  in  the  mining  establishments  than  in  manu- 
facturing, the  proportion  of  fatal  accidents  in  mines  in  1906  being 
0.82  per  cent  as  against  0.62  per  cent  in  manufactures.  On  the  other 
hand,  the  cases  of  permanent  disability  are  not  so  frequent,  as  only 
8.21  per  cent  resulted  in  permanent  disability  as  against  17.12  per 
cent  in  the  manufactures. 

The  number  and  per  cent  of  accidents  resulting  in  temporary  dis- 
ability, permanent  disability,  and  death  are  shown  in  the  table 
following: 


CHAPTER   IX. workmen's   INSURANCE   IN   RUSSIA. 


2203 


RESULTS  OF  ACCIDENTS  IN  MINES  AND  METALLURGICAL  ESTABLISHMENTS  ACCORD 
ING  TO  REPORTS  OF  MINE  INSPECTORS,  BY  INDUSTRIES,  1905  AND  1906. 

[Source:  Ministerstvo  TorgovU  i  Prorayshlennosti.    Gomy  Departament.    Statistika  neschastnvkh 

sluchaev  s  rabochimi,  1905, 1906.]  ^^^u^iawy mm 


Industry. 


1905. 

Metallurgical  establish- 
ments   

Metalliferous  mines 

Coalmines 

Gold  mines 

All  other  and  unclassi- 
fied (6) 

Total 

1906. 

Metallurgical  establish- 
ments   

Metalliferous  mines 

Coal  mines 

Gold  mines 

All  other  and  unclassi- 
fied (6)  

Total 


Accidents  resulting  in- 


Temporary  disability  lasting— 


3  weeks. 


Num- 
ber. 


22,742 

1,640 

22,248 

791 

2,510 


49,931 


23,439 
2,288 

21,620 
1,037 

2,341 


50,725 


Per 
cent. 


77.41 
68.91 
69.03 
66.58 

65.13 


72.33 


75.06 
72.80 
62.31 
64.85 

44.66 


66.83 


3  to  13 
weeks. 


Num- 
ber. 


4,941 
452 

6,331 
213 

583 


12,520 


5,705 
568 

8,634 
313 

1,060 


16,280 


Per 
cent. 


16.82 
18.99 
19.64 
17.93 

15.13 


18.14 


Over  13 

weeks. 


Num- 
ber. 


345 
35 

549 
48 

40 


«1,077 


;l: 


18.27 
18.07 
24.88 
19.59 

20.22 


480 
62 

745 
35 

103 


21. 45  al,  404 


Per 
cent 


1.17 
1.47 
1.70 
4.04 

1.04 


1.47 


1.54 
1.65 
2.15 
2.19 

1.96 


Permanent  disability. 


Partial. 


Num- 
ber. 


1,210 

199 

2,717 

48 

619 


4,793 


1.85 


1,489 

183 

3,313 

86 

1,158 


6,229 


Per 
cent. 


4.12 
8.36 
8.43 
4.04 

16.06 


6.94 


4.77 
5.82 
9.55 
5.38 

22.09 


8.21 


Total. 


Num- 
ber. 


16 
8 

25 
2 


56 


14 

10 
12 
10 

8 


54 


Death. 


Per  Num 
cent.    ber. 


0.05 
.34 
.06 
.17 

13 


.08 


.05 
.32 
.03 

.62 

.15 


.07 


116 
46 

361 
50 

67 


640 


95 

39 

339 

66 

85 


624 


Per 
cent. 


93 
12 
21 

74 

93 


Total 
acci- 
dents. 


39j«29. 377 

2,380 

12|a32.'232 

ol,lS8 


«3,854 


«69,031 


.30031.226 
1.24   03.143 

.98o34,697 
4.13^  ol,599 

1.621  o5,242 


,82075,907 


report, 
branch  of 


a  This  total  is  not  the  correct  sum  of  the  items;  the  figures  are  given  as  shown  in  the  original 
Ind    t  Caucasus  mmmg  district,  including  mainly  oil  wells,  were  not  classified  by 

Causes  of  Accidents.— The  causation  of  accidents  in  mines  and 
metallurgical  establishments,  as  shown  in  the  follow  mg  tables  for  1905 
and  1906,  is  very  much  different  from  that  in  manufacturing  estab- 
lishments. Cave-ins,  collapse  of  structures,  and  falling  objects  are 
responsible  for  over  one-fourth  of  all  the  accidents  reported,  loading 
and  unloading  for  nearly  one-fifth,  and  transportation  by  rail  for 
about  one-eighth,  so  that  these  three  classes  alone  claim  from  55  to 
60  per  cent  of  the  accidents.  While  in  manufacturing  establishments 
accidents  due  to  machinery  or  dangerous  substances  represent  nearly 
two-fifths  of  all  accidents,  in  mines  and  metallurgical  establishments 
these  causes  are  comparatively  imimportant,  claiming  in  1906  only 
18.8  per  cent.  Hand  implements  in  manufactories  caused  15  per 
cent,  and  in  mines  and  metallurgical  establishments  only  8.85  per 
cent  of  the  total  number  of  accidents.  As  accidents  due  to  collapse 
of  structures,  falls,  loading,  and  raih-oad  transportation  are  likely  to 
be  more  severe,  this  difference  in  causation  carries  with  it  a  corre- 
spondingly greater  gravity  than  injuries  in  manufacturing  establish- 
ments. Especially  is  this  true  of  the  coal  mines,  where  the  three 
causes  specified  were  responsible  in  1906  for  nearly  three-fourths  of 
all  accidents. 


2204 


BEPORT  OF  THE  COMMISSIONEB  OF  LABOm. 


CAUSES  OF  ACCIDENTS  IN  MINES  AND  METALLURGICAL  ESTABLISHMENTS,  ACCORI>- 
ING  TO  REPORTS  OF  MINE  INSPECTORS.  1905  AND  IQOfli 

[Source:  Ministerstvo  TorgoTli  i  Promysliiainosti.    Gorny  Departamait-    Statbtlka  neschastaykli 

sluchaev  s  rabocbimi,  1905, 1906.] 


Cause  of  accident. 


Accidents  in— 


Metallur^cal 

establijih- 

ments. 


Num- 1    Per 
bar.  1  cent. 


Metal  mines. 


Coal  mines. 


Gold  mines. 


1905. 

Engines 

Transmission  apparatus 

Worldng  machinery 

Lifts,  elevators,  etc 

Steam  boilers  and  steam 
fittings 

Explosives 

Injurious  gases 

Poisonous  and  injurious 
substances 

Cave-ins,  collapse,  and 
falling  objects 

Falls 

Loading,  unloading, 
and  carrying 

Transportation,  rail- 
road   

Transpt^ation,  water. . . 

Animals 

Implements 

All  others 


Total 

1906. 

Engines 

Transmission  apparatus 

Working  machinery 

Lifts,  elevators,  etc 

Steam  boilers  and  steam 
>•    fittings 

Explosives 

Injurious  gases 

i  Poisonous  and  injurious 
{     substances 

Cave-ins,  collapse,  and 
(     falling  objects 

Falls 

Loading,       unloading, 
I     and  carrying 

Transportation,      rail- 
'     road 

Transportation,  water. . , 

Animals 

Implements 

All  others 


«29,377 


251 

305 

2,170 

606 

254 

15 

173 

3,395 

2,941 
1,409 

7,824 

2,115 

51 
2,929 
4,976 


Num- 
ber. 


•100.00 


0.85 
1.04 
7.38 
2.06 

.86 
.06 
.59 

11.56 

10.01 
4.80 

26.63 

7.20 
.02 
.17 

9.97 
16.94 


Per 
cent. 


Total. 


224 

240 

2,529 

492 

190 
16 
54 

3,529 

3.892 
1,804 

7,660 

2,267 

8 

63 

3,213 

5,(^ 


«31,226 


.72 

.77 
8.10 
L57 

.61 

.051 

-17 

11.30 

12.46 
5.78 

24.53 

7.20 

.02 

.20 

10.29 

16.17 


2 

3 

59 

S2 

14 

59 
1 

36 

676 
196 

751 

99 


Num- 
ber. 


31 
247 
154 


2,380 


2 

4 
43 

47 

18 
64 


25 

946 
303 

562 


0.08 

.13 

2.48 

2.19 

-59 

2.19 

.04 

L51 

28.40 
8.24 

3L55 

4.16 


Per 
cent. 


Num- 
ber. 


1.30 

10.38 

6.47 


alOO.OO 


37 
203 
434 
902 

1^ 

274 
63 

264 

13,019 
1,112 

4,269 

5,840 
S2 

363 
2,383 
2,812; 


0.11 

.63 

1.35 

2.80 

.60 
.85 
.19 

.82 

40.40 
3.45 

13.21 

18.12 

.10 

1.13 

7.39 

8.72 


Per 
cent. 


All 
tithers 

and 

un- 
classi 

fied. 


7 
19 
26 
30 

11 

39 

4 


0.99 

i.eo 

2.19 
2.63 

.93 

3.28 

.34 

.50 


Total. 


Num- 
ber. 


322     27.10 
95      8.  (K) 


a32, 232  •100.00 


28 
291 
1991 


100.00  «  3. 143 


.06 

.12 

1.36 

1.49 

.57 

2.03 

.19 

-79 

30.09 
9.64 

17.88 


608     19.34 


9.25 


14 

265 

297 
791 

125 
1£2 

57 

IrtO 

13,933 
1,260 

4,4^2 

7,477 

14 

3r.5 

2, 359 


95 

217 

S 

55 

134 

113 


0  1,1880100.00 


6.33     2,991 


0100.00,034,697 


.04 

.76 

.86 

2.28 

.36 
.44 

.16 

.48 

40.16 
3.63 

12.77 

21.55 

.041 

1.05i 

6.80 

8.62 


30 
24 
25 
30 

5 

39 

5 

14 

445 
144 

123 


8.00 

18.27 
.67 

4.63 
11.28 

9. 51 


100 

62 

219 

119 

51 

34 

5 

112 

431 
202 

731 

184 


51 

550 

1,008 


397 

592 
2,908 
1,709 

523 
421 

246j 

■ 

3,813 

17,389 
3,014 

«13,661 

8,455 
46 
551 
6,243 


«3,854 


1.88 
l.fiO 
1.56 
1.88 

.n 

2.44 
.31 

.88 

27.83 
9.01 


209{  13.07 

5  .31 

68!  ^  26 

225  14. 07; 


139 

13 

437 

181 

86 
14 

6 

151 

469 
331 

996 

122 

1 

37 

637 


I'er 
cent. 


69,031 


0.57 

.86 

4.21 

2.47 

.76 
.61 
.36 

5.52 

25. 19 
4.37 

19.79 

12.25 

.07 

.08 

9.04 


9,063     13.13 


^100.00 


206i     13.01    1,113 


100.00     1,599   100.00io5,242 


409 

546 

3,331 

1,491 

424 
285 
128 

3,885 

19.685 
3,842 

13,773 

10,683 

28 

561 

6,725 

9,561 


•75,907 


.53 
.71 

4.38 
1.96 

5.58 
.37 
.16 

5.11 

25.93 
5.06 

18-14 

14.07 

.03 

-73 

8.85 

12.59 


al00.00 


a  This  total  is  not  the  correct  sum  of  the  items;  the  figures  are  given  as  shown  in  the  oriijinal  report. 


ACCIDENTS   TO    RAILWAY    EMPLOYEES. 

The  reports  of  the  Russian  railways  contain  data  of  accident  sta- 
tistics for  over  20  years,  and  they  show  a  very  low  accident  rate. 
Thus  in  1906,  according  to  these  reports,  there  were  11, 784  accidents, 
of  which  814  were  fatal,  the  number  of  employees  being  825,:U5, 
which  gives  an  accident  rate  of  only  14.28  per  1,000  employees.     It 


CHAPTER  IX. workmen's   INSURANCE   IN   RUSSIA.         2206 

seems  certain  that  only  the  grave  injuries  are  reported,  as  is  shown 
by  the  fact  that  the  fatal  accidents  constituted  nearly  7  per  cent  of 
the  total  number  of  accidents  reported.  But  another  more  accurate 
source  gives  a  very  much  larger  number  of  accidents.  This  is  the 
series  of  annual  reports  of  the  medical  service  of  the  Russian  rail- 
ways, from  which  the  following  tables  were  compiled  for  1902  to 
1907.  The  number  of  accidents  is  over  seven  times  as  large  as  that 
reported  by  the  raikoad  administrations,  and  the  rate  has  rapidlv 
increased  from  55  per  thousand  in  1902  to  102  per  tliousand  in  1907. 

NUMBER   OF  ACCIDENTS  TO   EMPLOYEES  IN   RAILWAY  SERVICE.  1902  TO   1907. 

[Source:  Ministerstvo  Putel  Soobshchenia.    Upravleniezheleznykhdorog.    Otchiot  o  vrachebno-sanitar 

nora  sostoianii  zheleznykh  dorog  1902-1907  ]  "i- "  ^racneono-samtar- 


Year. 


1902. . . 
1903. . . 
1904. . . 
1905.... 
1900.-.. 
1907.... 


Number  of  accidents. 


In  train  service. 


Light. 


5,218 
8,054 
9,646 
8,437 
15,603 
15,301 


Severe. 


1,036 
1,209 
2,050 
1,643 
1,846 
1,967 


FataL 


367 
479 
449 
525 
662 
682 


Total. 


6,621 
9,742 
12,145 
10,605 
18,111 
17,950 


Outside  of  train  service. 


Light.   Severe. 


26,729 
31,747 
37,403 
44,020 
56,067 
62,554 


1,029 
1,176 
1,429 
1,826 
1,7&3 
2,133 


Fatal. 


120 
109 
123 
275 
177 
210 


Total. 


27,948 
33,022 
38,955 
40, 121 
58,007 
64,897 


TotaL 


Light. 


32,017 
39, 791 
47,049 
52, 457 
71,670 
77,855 


Severe.   Fatal.   TotaL 


2,065 
2,385 
3,479 
3,469 
3,609 
4,100 


487 
588 
572 
800 
830 
892 


34,569 
42,764 
51,100 
56,726 
76, 118 
82,847 


NUMBER  OF  EMPLOYEES,  NUMBER  OF  ACCIDENTS,  AND  ACCIDENT  RATE  PER  1  000 

IN   RAILWAY  SERVICE,  1902  TO   1907.  ' 

[Source:  Ministerstvo  Putei  Soobshchenia.    Upravlenie  zheleznykh  dorog.    Otchiot  o  viachebno-sanitar 

nom  sostoianii  iheleznykh  dorog  1902-1907.)  racneono-samiar- 


Year. 


1902 
1903 
1904 
1905 
1906 
1907 


Employees, 


Accidents. 


Fatal. 


628,021 
662,567 
709, 531 
726,825 
763, 425 
808,444 


Number. 


487 
588 
572 
800 
839 
892 


Per  1,000 

em- 
ployees. 


0.77 
.88 
.81 
LIO 
LIO 
1.10 


Severe. 


Number. 


2,065 
2,385 
3,479 
3,469 
3,609 
4,100 


Per  1,000 

em- 
ployees- 


3.29 
3.60 
4.90 
4.77 
4.73 
5.07 


Light. 


Per  1,000 
Number.  I      em- 
ployees. 


32,017 
39,791 
47,049 
52, 457 
71,670 
77,855 


50.98 
60.06 
66.31 
72.17 
93.88 
96.30 


Total. 


Number. 


trt,  Ouv 

42,764 
57,100 
56,726 
76,118 
82,847 


Per  1,000 

em- 
ployees. 


55.04 
64.54 
r2. 02 
78.04 
99.71 
102.47 


Total  Number  of  AcciDENTs.-It  is  possible  to  combine  the 
statistical  data  for  manufacturing  industry,  mining  and  metallurgical 
inrtustry  and  railroads,  and  to  obtain  approximately  the  total  num- 
ber of  industnal  accidents  in  Russia,  not  including  agriculture  or 
commercial  establishments.  In  the  following  table  this  has  been  done 
ror  1906.  The  accidents  included  comprise  those  recorded  by  the 
factory  inspectors,  mine  inspectors,  and  the  raiboad  service  "  The 
.^atement  is  not  altogether  complete,  for  many  smaller  establish- 
ments and  many  government  manufacturing  establishments,  not 


2206 


REPORT   OF   THE   COMMISSIONER  OF   LABOR. 


subject  to  factory  inspection,  are  omitted.  But  as  far  as  the  data 
go  they  show  1,834  fatal  and  210,333  nonfatal  accidents,  giving  a 
total  of  212,167  accidents  for  2,927,965  employees,  or  a  rateof  72.46 
per  thousand. 

TOTAL  NUMBER  OF  EMPLOYEES  AND  OF  RECORDED  ACCIDENTS  AND  ACCIDENT 

RATE   PER  1,000,  1906. 

[Compiled  from  preceding  tables.] 


Industry. 


Manufactures 

Mines  and  metallurgical  estab- 
lishments  

Railroads 

Total 


Employees. 


Accidents. 


Fatal. 


Number. 


1,658,985 

505,555 
763,425 


371 

624 
839 


2,927,965 


1,834 


Per  1,000 

em- 
ployees. 


0.22 

1.23 
1.10 


.M 


Nonfatal. 


Number. 


59,771 

75,283 
75,279 


Per  1,000 

em- 
ployees. 


36.03 

148.91 
98.61 


210,333 


7L83 


Total. 

Number. 

Perl, (XX) 

em- 
ployees. 

60,142 

75,907 
76,118 

3ft.  25 

150.15 
99.71 

212, 1(17 

72. 46 

SICKNESS  INSURANCE. 

The  field  of  ''sickness  insurance,"  which  includes  all  forms  of  pro- 
vision for  workmen  in  case  of  sickness,  may  be  divided  into  (1)  med- 
ical care  of  the  diseased,  and  (2)  financial  assistance  to  him  and  those 
dependent  upon  him  for  support  during  the  time  of  inabihty  to 
work,  resulting  from  such  sickness.  Whenever  such  sickness  follows 
an  industrial  accident  the  various  compensation  acts,  described  in  the 
preceding  sections,  meet  this  condition  by  requiring  the  employer  to 
furnish  both  the  cost  of  medical  help  and  the  allowances  to  the  injured 
and  his  family.  As  far  as  sick  benefits  are  concerned,  the  law  requir- 
ing that  fines  collected  in  estabUshments  shall  be  used  for  that  pur- 
pose  is  the  only  general  legislation  on  tlie  subject.  In  addition,  some 
provision  for  the  sick  may  be  found  in  isolated  branches  of  industry: 
In  government  mining,  and  in  metallurgical,  and  a  few  other  industrial 
establishments.  Establishment  sick  benefit  associations  are  found 
mainly  in  the  mining  industry  of  the  western  Provinces,  such  as 
Poland  and  the  Baltic  region;  and  industrial  sick  benefit  associations 
are  found  in  the  larger  industrial  centers.  Informatiou  in  regard  to 
these  private  local  funds  is  very  meager. 

The  need  of  a  better  system  of  provision  for  the  sick  is  strongly 
felt  in  Russia,  and  a  system  of  obUgatory  sick  insurance  through 
estabhshment  benefit  associations  forms  a  part  of  the  general  plan  of 
compulsory  workmen's  insurance,  discussed  both  in  the  governmental 
schemes  and  by  society  at  large  since  1905.  A  bill  to  that  effect  has 
been  introduced  into  the  Third  Duma  in  conjunction  with  the  bill 
for  a  new  accident-insurance  law. 


CHAPTER  IX. — WOEKMEN's  INSURANCE  IN   RUSSIA.         2207 


MEDICAI,  Am. 


HISTORY. 


To  understand  the  development  of  Russian  legislation  in  regard  to 
medical  assistance  to  workmen  employed  in  factories  it  is  necessarv  to 
point  out  that,  in  theory,  medical  aid  is  considered  a  proper  govern- 
mental function,  to  be  supphed  in  cities  by  the  municipal  govern- 
ment, and  in  the  rural  districts  by  the  so-called  "zemstvos"— orc^ans 
of  local  self-government.  In  provinces  where  zemstvos  have  not  been 
organized  the  duty  of  furnishing  medical  aid  to  the  rural  population 
devolves  upon  the  governmental  authorities.  In  practice  only  averv 
few  mumcipahties  have  met  this  duty,  and  in  those  provinces  which 
have  as  yet  no  zemstvos  the  organization  of  medical  aid  is  purely 
formal  and  perfunctory.  On  the  other  hand,  the  zemstvos  have,  since 
their  orgamzation  in  the  early  sixties,  always  looked  upon  the  organi- 
zation of  medical  aid  as  one  of  their  most  important  functions  The 
combined  budgets  of  these  zemstvos  amount  to  many  miUions  of 
dollars,  and  about  one-fourth  of  the  total  expenditures  is  being 
devoted  to  medical  aid  in  rural  communities.  There  are  many  fr^ 
hospitals  and  dispensaries  in  each  county  (uyezd)  where  a  zemstvo 
exists  and  the  Russian  peasant  may  be  said  to  be  fairly  well  provided 
with  free  medical  assistance. 

Law  OF  1866.-The  law  which  imposed  upon  the  factory  owners 
the  duty  of  furnishing  medical  aid  to  their  factory  employees  dates 
from  the  yearl866.  It  owes  its  origin  to  the  begimiilig  of  an  epi- 
demic of  Asiatic  cholera  in  Moscow.  The  governor  of  Moscow,  con- 
sidering the  large  factories  with  their  insanitary  conditions  and  large 
number  of  workers  a  possible  means  of  spreading  the  cholera  epidemic 
m  a  report  to  the  minister  of  interior  suggested  that  the  owners  of 
large  factones  be  required  to  estabhsh  hospitals  and  employ  physi- 
cians m  connection  with  their  industrial  establishments.  As  a  result 
of  this  suggestion  a  decision  of  the  committee  of  ministers  was 
approved  by  the  Emperor  August  26  (Sept.  7),  1866,  ordering  as 
a  temporary  measure  that  "there  be  established  in  comiection  with 
each  factory  employing  1,000  workers  a  hospital  with  ten  beds,  and 
at  each  factoiy  employing  more  than  1,000  workers  15  beds  or  more 
and  at  each  factoiy  employing  less  than  1,000  workers  5  beds  or 
more   at  the  rate  of  one  for  each  100  workers."     Though  the  order 

Th  :r  ,        *" .  ?,*  tef^Poraiy  measure  no  time  hmit  was  mentioned, 
and  the  law  is  still  in  force. 

The  indefinite  language  of  this  law  and  the  absence  of  anv  punitive 
measures  for  noncompliance  with  its  demands  or  any  organ  of  inspec- 
tion and  control  except  the  police  authorities,  left  the  entire  problem 

thatTZT'^  7  r^'^l*'""-     "^^^  '^"g"''^*'  «f  *!>«  order  showed 

that  the  mtention  existed  at  that  time  to  foUow  it  up  with  a  systematic 


2208 


REPORT   OF   THE   COMMISSIONER  OF   LABOR. 


law  regulating  the  question  of  medical  aid  to  factory  employees,  for 
the  minister  of  interior  was  ordered  to  ])resent  a  plan  for  such  legis- 
lation to  the  Imperial  Council.  In  1867,  and  again  in  1874  in  con- 
nection with  a  proposal  of  a  law  for  regulation  of  conditions  of 
employment,  these  legislative  propositions  were  discussed,  but  with- 
out success,  as  the  Imperial  Council  judged  the  law  of  1866  to  be 
sufficient  and  refused  to  go  any  further  in  tliis  matter.  The  effect  of 
this  law  was  far  from  uniform;  its  execution  depended  mainly  upon 
the  zeal  and  energy  of  the  provincial  governors.  In  some  factori<^s 
good  hospitals  were  estabhshed ;  in  others  the  beds  were  left  without 
medical  attendance,  and  in  a  great  many  locaUties  the  law  was 
entirely  disregarded.  In  many  factories  the  costs  of  these  medical 
estabUshments  were  charged  to  the  workmen. 

Law  of  1886. — This  latter  abuse  was  checked  by  the  law  of  June 
3  (15),  1886,  regulating  the  conditions  of  employment  and  the  rela- 
tions between  employers  and  employees,  which  among  other  things 
prohibited  the  deducting  of  the  cost  of  medical  aid  from  the  wages  of 
the  workmen  (Code,  Vol.  XI,  2,  Industrial  Code,  sec.  102).  On  the 
other  hand,  it  estabhshed  serious  limitati<»ns  to  the  extent  of  medical 
aid  to  the  workmen  required  of  the  emj)loyers,  by  laying  down  the 
rules  that  the  employer  could  discharge  any  workman  at  two  weeks' 
notice  and  immediately  in  case  of  a  contagious  disease.  Evidently  a 
dismissed  employee  had  no  claim  to  medical  aid  from  the  employer 
after  the  termination  of  the  employment. 

The  law  of  June  3  (15),  1886,  established  municipal  factory  commis- 
sions for  St.  Petersburg,  Moscow,  Odessa,  and  Warsaw,  and  provincial 
•  commissions  for  the  separate  Provinces,  and  these  commissions  were 
intrusted  among  other  things  with  the  atlministrative  regulations  of 
the  problem  of  medical  aid  to  factory  employees. 

Extension  of  the  Law  to  Minincj  and  Metallitigy. — By  a 
decree  of  March  9  (21),  1892,  the  provisions  of  the  law  of  1886  were 
extended  to  apply  to  the  mining  and  metallurgical  industries  and 
were  embodied  in  the  Mining  Code.  Local  mining  commissions  were 
estabhshed  with  functions  parallel  to  those  of  the  fatrtory  commis- 
sions, including  the  regulation  of  medical  assistance  to  the  employees 
A  law  requiring  proprietors  of  mining  and  metallurgical  establish- 
ments to  establish  hospital  facihties  for  treatment  of  sick  employees 
had  been  on  the  Russian  statute  books  for  sixty  years  before  similar 
provisions  were  made  for  factor}^  industries,  namely,  in  the  general 
mining  law  of  July  13  (25),  1806,  for  the  mining  industrj^  was  devel- 
oped much  earher  than  manufactures.  The  greater  danger  to  health 
and  life  from  work  in  the  mines  was  evident,  and  many  of  these  estab- 
lishments were  owned  from  the  beginning  of  Russian  industry  by  the 
State  or  Crown,  which  was  more  inclined  to  take  care  of  its  employees. 


chapter   IX. workmen's   insurance   in   RUSSIA. 


2209 


According  to  this  law,  both  the  State  and  private  mining  and  metal- 
lurgical estabUshments  employing  200  persons  or  more  were  required 
to  have  a  hospital  and  one  or  more  resident  physicians;  but  in  the 
case  of  privately  owned  mines  the  law  remamed  a  dead  letter  until 
1892.  Finally  both  the  local  factory  commissions  and  tlie  local 
mining  commissions  were  united  into  factory  and  mining  commissions 
by  the  act  of  June  7  (19),  1899,  which  also  established  a  central 
factory  and  mining  commission  and  put  it  in  control  of  the  local 
commissions,  for  the  purpose  of  unif\dng  this  work.  The  central 
commission  is  required  to  formulate  general  principles  for  the  admin- 
istration of  the  law  of  1866,  but  the  actual  administration  is  still  in 
the  hands  of  the  local  commissions  and  exercised  through  the  factory 
and  mine  inspectors.  Provincial  commissions  were  establislied  in 
64  provmces;  in  35  of  these  such  regulations  were  estabhshed  and 
m  the  remaining  29,  mostly  nonindustrial  provinces,  practicaUy 
nothing  wa^  added  to  the  ambiguous  language  of  the  law  of  1866. 

WhUe  the  establishment  of  factory  hospitals  was  mandatory  accord- 
ing to  the  exact  language  of  the  law  of  1866,  it  was  nevertheless  evi- 
dent that  for  small  industrial  estabUshments  mth  100  or  even  less 
employees  the  organization  of  such  a  private  hospital  would  either 
be  a  great  hardship,  possibly  not  demanded  in  view  of  the  existence 
of  good  hospitals  in  the  immediate  vicinity,  or  would  become  a  pure 
formality  without  any  substantial  benefit  to  the  employees.  Nor 
was  It  clear  whetlier  the  law  appUed  to  factories  wiUi  less  than  100 
workmen,  whether  5  beds  was  the  minimum  number  for  a  factory 
hospital,  and  what  the  requirements  were  in  r^ard  to  medical 
attendance.  In  answer  to  inquiries  from  the  Moscow  provincial 
factory  commission  it  was  explained  in  1887  that  conditions  had 
changed  considerably  during  tlie  prex^eding  two  decades,  and  that 
the  growth  of  the  activity  of  zemstvos  and  municipaUties  in  supplying 
liospital  faciUties  has  made  the  organization  of  special  factory  h^ 
pitals  unnecessary  in  many  cases,  and  that  as  a  substitute  for  the 
required  hospitals  factory  owners  may  in  certam  cases  be  required 
to  enter  into  agreements  with  zemstvos  and  other  bodies  for  the 
supply  of  hospital  and  other  medical  faciUties  to  their  employees. 

REGULATIONS   OF   MOSCOW. 

As  an  example  of  the  regulations  established  by  the  provincial 
factory  commissions,  those  in  force  since  February  1  (13)  1897  in 
the  province  of  Moscow,  outside  of  the  city  of  Moscow,  may'  be 
briefly  mentioned.  Factories  employing  500  or  more  workmen  are 
required  to  have  a  factory  hospital  with  one  bed  for  each  100  work- 
men,  a  resident  physician  and  a  -feldsher''  (a  medical  assistant  of 
a  somewhat  higher  grade  than  a  tramed  nurse).     When  tlie  number 


2210 


EEPORT   OF   THE   COMMISSIONER  OF   LABOR. 


of  workmen  exceeds  3,000  two  physicians  must  be  em])loyed,  one  of 
whom  shall  reside  at  the  factory.     Factories  employing  from  17  to 
500  workmen  may  be  freed  from  this  obhgation  if  they  make  arrange- 
ments with  the  zemstvo  hospital  or  any  other  hospital,  or  several 
factories   may   combine   for   estabhshing   a   common   hospital.     In 
exceptional  cases  such  arrangement  may  be  permitted  to  factories 
having  more  than  500  workmen.     When  the  factory  hospital  has 
less  than  5  beds  the  physician  need  not  reside  at  the  factory,  but  must 
live  not  more  than  7  versts  (4.7  miles)  from  it,  and  must  visit  it  at 
least  three  times  a  week,  while  the  hospital  must  have  a  resident 
*'feldsher."     When  the  factory  has  no  hospital  of  its  own,  and  the 
distance  to  the  hospital  with  which  such  arrangements  have  been 
made  is  more  than  3  versts  (2  miles),  the  factory  must  liave  an 
emergency  room  with  all  necessary  appliances  for  first  aid  to  sick 
or  injured,  and,  if  the  number  of  workmen  exceeds  200,  also  a  ''feld- 
sher."     Artisans'  shops  employing  no  more  than  16  workmen  are  not 
subject  to  any  of  these  requirements.     In  factories  employing  more 
than  500  workmen  the  hospital  is  required   to  consist  of  three  divi- 
sions— a  general  ward,  a  contagious  ward  with  faciUtios  for  isolation 
when  necessary,  and  a  dispensary  for  outside  patients.     Where  both 
men  and  women  are  employed  there  must  be  separate  rooms  for  each 
sex  in  both  the  general  ward  and  the  contagious  ward.     The  rooms 
must  contain  a  minimum  air  capacity  of  3  cubic  sazhens  (1,029  cubic 
feet)  per  each  bed;  there  must  also  be  warm  privies.     In  factories 
employing  from  200  to  500  workmen  the  hospital  must  contain  at 
least  four  rooms — two  wards,  an  examination  room,  and  a  waiting 
room  for  outside  patients.     In  factories  employing  less  than  200 
workmen  at  least  two  rooms  are  required,  one  for  thti  beds  and  one 
for  the  outdoor  patients.     Where  200  or  more  women  are  employed, 
a  special  maternity  room  must  be  provided  and  also  the  services  of  a 
resident  trained  midwife;  where  less  than  200  women  are  employed, 
such  room  and  the  services  of  a  midwife  must  be  furnished  by  the 
employer    when    necessary.     Information    must    be    furnished    the 
factory  commission  in  regard  to  the  exact  measures  taken  for  com- 
phance  with  these  regulations. 

REGULATIONS    OF    OTHER    LOCALITIES. 

The  above  regulations  of  the  ^loscow  commission  have  bet^n  quoted 
as  a  type.  Considerable  variations  of  greater  or  less  importance  are 
found  in  other  districts.  Quite  uniformly  establishments  with  no 
more  than  16  workmen  are  excepted,  while  the  regidations  quoted 
require  that  hospital  facihties,  either  in  factory  hospitals  or  other 
hospitals  by  arrangement,  shall  be  furnished  by  all  factories  above 
that  size;  others  except  factories  with  less  than  100  and  in  some  cases 


CHAPTER  IX. workmen's   INSURANCE   IN   RUSSIA.  2211 

less  than  50  workmen,  requiring  for  these  smaUer  factories  only  dispen- 
sary treatment  or  treatment  at  the  homes  of  the  employees.  In 
some  districts  all  factories,  no  matter  how  large,  are  permitted  to 
substitute  arrangements  with  zemstvo  or  other  hospitals  for  estab- 
hshment  of  factory  hospitals;  such  permissions  are  more  readily 
granted  in  cities  than  in  rural  districts.  About  one-half  of  the  com- 
missions, while  waiving  the  demands  for  factory  hospitals  altogether 
or  permitting  joint  factory  hospitals  or  arrangements  with  other 
hospitals,  nevertheless  require  emergency  wards,  under  certain  var>Hng 
conditions,  such  as  distance  to  the  nearest  hospital  or  physician, 
number  of  employees,  or  presence  of  dangerous  machinery  Onlv 
three  commissions,  those  of  St.  Petersburg,  Moscow,  and  Warsaw 
Provinces,  require  maternity  wards  in  factories  emploving  considera- 
ble numbers  of  workers.  A  few  commissions  have^  established  a 
maximum  time  limit  of  three  months  for  this  free  medical  help. 

In  contradistinction  to  the  requirements  of  the  law  of  1866  special 
municipal  taxes  for  the  purpose  of  supporting  hospitals  for  wa^e- 

workers  have  been  estabhshed  inl6  cities,  most  of  which  are  important 
mdustrial  centers. 

SPECIAL  TAX  ON  WORKMEN  FOR  SUPPORT  OF  HOSPITALS. 


City. 


St.  Petersbur?? 

Ivanovo- Voznesensk . 

Kharkof 

Kronstadt 

Moscow 

Vladivostolc 

Odessa 

Rostov """ 


Year 
estab- 
lished. 


1842 
1860 
1869 
1881 
1890 
1892 
1892 
1893 


Amount 
of  tax. 


$0..'>2 
.39 
.26 

1.03 
.M 

1.03 
.31 
.52 


City. 


Nikolaiev 

Warsaw 

Astrakhan 

Nakhichevan.. 

Baf  ooni 

Akennan 

Khabarovsk 

Blagovechensk. 


Year 
estab- 
lished. 


1894 
1894 
1896 
1896 
1898 
1899 
1899 
1899 


Amount 
of  tax. 


fO.52 
.52 
.52 
.52 
.52 
.31 

(«) 

(«) 


o  For  males  $1.03,  for  females  $0.52. 


The  tax  in  St.  Petersburg  and  Ivanovo-Vosnesensk  had  been  intro- 
duced before  the  law  of  1866  was  promulgated.  In  the  other  cities 
tlie  special  tax  for  hospital  purposes  was  introduced,  although  it 
evidently  unposed  a  duty  upon  the  workmen,  which  according  to 
the  law  of  1866  devolved  upon  the  employers.  The  tax  in  St.  Perers- 
burg  diffei-s  from  that  in  all  other  cities  enumerated  in  that  it  applies 
!!l]  ^fK^^'?T?^''  construction  workers,  unskilled  laborei-s  (so- 
called  black  laborers  in  Russia),  drivers,  in  short,  to  practically 
ail  wage-earners  except  factory  workers,  and  so  it  does  not  come  in 
conflict  with  the  legislation  in  regard  to  factory  hospitals.  In  the 
otner  cities  all  wage-earners  are  included,  and  in  some  cases  other 
groups  of  persons  of  approximately  the  same  economic  status,  such  as 
peddlers,  teamsters,  etc.  The  law  establishing  the  tax  in  Ivanovo- 
Vosnesensk  permits  the  employer  to  pay  the  tax  for  his  employees, 


2212 


EEPOET  OF   THE  COMMISSIONER  OF  LABOR. 


but  does  not  require  him  to  do  it.  In  view  of  the  law  <if  1866  charg- 
ing the  factory  owner  with  the  cost  of  medical  aid  to  the  employees, 
and  the  provisions  of  the  law  of  1886  proliibiting  the  factory  owners 
from  chargmg  their  employees  for  ho^ital  service,  the  natural  ques- 
tion arose,  whether  ihi&  tax  should  not  be  paid  by  the  factory  owneis; 
but  in  response  to  an  inquiry  from  the  Warsaw  municipal  factory 
commission,  the  Mmistiy  of  Finance  decided  that  such  prohibition 
of  the  law  of  1886  (Industrial  Code, sec.  102),  was  dkected  only  against 
factory  owners  and  not  against  municipahties,  aiid  that  the  hos- 
pital tax  must  be  paid  by  the  persons  taxed. 

In  return  for  this  tax  the  wage-earoers  obtamed  the  right  of  free 
medical  treatmeat  in  ho^itak,  not  only  for  themselves  but  for  theur 
minor  children. 

The  obligations  of  tlie  factory  owners  have  been  considerably 
modified  by  this  ho^ital  tax  in  the  cities  affected.    The  St.  Peters- 
burg municipal  factory  conmiission  waives  the  demand  for  factory 
hospitals  in  view  of  the  sufficient  number  of  municipal  hospitals, 
though,  as  was  stated  above,  in  that  city  the  factory  employee  do 
not  pay  the  hospital  tax  and  have  no  right  of  free  medical  treatment. 
Instead,  the  factory  owners  are  requued  to  meet  the  cost  of  treat- 
ment of  their  employees  in  the  hospitals.     In  addition  the  factories 
are  required  to  provide  for  a  di^ensaiy  for  treatment  of  outside 
patients  by  a  physician,  and  also  for  an  emergency  war<l  for  first  aid. 
The  factory  physician  must  visit  the  factory  at  stated  intervals,  the 
frequency  of  which  depends  upon  the  size  of  the  factory,  from  a 
weekly  visit,  where  the  number  of  workers  is  50  to  100,  to  daily  visits 
ta  factories  employing  over  1,000  persons,  in  addition  to  which  the 
factory  physician  must  treat  the  patients  at  his  house,  or  if  necessary 
at  their  houses. 

MEDICAL   AID   IN  MANUFACTURING  INDUSTRIES. 

For  the  study  of  the  practical  results  of  this  legislation  two  reports 
are  available  which  indicate  the  deveioj)ments  within  the  last  decade. 
The  first  investigation  was  undertaken  by  the  Department  of  Com- 
merce and  Manufactures  of  the  Ministry  of  Finance  in  1897,  and  the 
results  were  published  in  1899.  The  investigation  is  based  upon 
data  obtained  by  the  corps  of  factory  inspectors  in  1898  and  covering 
the  calendar  year  of  1897.  The  investigation  was  repeated  ni  1908 
for  1907  by  the  Department  of  Industry  of  the  Mnistry  of  Commerce 
and  Industry  through  the  factory  mspection  system,  and  wliile  the 
report  of  this  investigation  has  not  yet  been  pubhshed,  the  mam 
data  were  printed  in  one  of  the  official  pubhcations  of  the  Russian 
Government. 


CHAPTER  IX. workmen's  INSURANCE   IN   RUSSIA.  2215 

NUMBER  AND  PER  CENT  OF  ESTABLISHMENTS  AND  OF  WORKMEN  EMPLOYED   AKll 
EXPENDITURES,  IN  FACTORIEi?   SUBJECT   TO   INSPECTION    PROVIDIVG   MFDirVl 
aid; BY  FORM  OF  AID,  1897  AND  1»7.  J^e.uiK.AL. 

[Source:  Mlnisterstvo  Finansoy,  Departament  Torgovli  i  Mannfalrttrr,  Vrachebnaia  Pomosheh  faUrw^hn,™. 

rabochini,  1899.    Viestnik  Fiaansov,  1910,  No!  5  ]  '^^'"''''^^''^  fabndmym 


Form  of  aid. 


Establishments. 


1897. 


1907. 


Workmen  employed. 


1897. 


Num- 
ber 


Hospital 

Einerg^nc^  wards 

Dispensanes 

Ag«ements  with 
«emstvos 

Agreements  with 
mimicipalities . . 

A^eeraents  with 
Red  Ctosh. 

Agreements  vith 
oth^r  hospitals. 

Ind^endient^  un-' 
saUsfectory  fa- 
cilities   


Total.. 
No  provisiofl. 


Grand  to ta], 


710 

449 

1,464 

215 

13 

57 

33 

547 


Per 
cent. 


Num- 
ber. 


3,488 
15,804 


3.7 
2.3 

7.6] 

LI 
.1 
.3 
.2 

' 

2.8 


18.1 
81.9 


19,292100.0 


964 

327 

2,932 

295 
37 
87 

122 

675 


ii'^^'-o^. 


6  8,     514,615 

2.3     173,134 

20.6     223,797 


1907. 


Nmnber 


5,439 

8,808 


2.1 
.3 
.6 
.8 

4.7 


38.2 
61.8 


30, 988i     2. 1 


3.5.41    798,279 


11.9 
15.4 


7,964 

17,656 

8,511 

40,652 


.6 

L2 

.6 

2.8 


14,247100.0 


1,017,309:  70.01,528,600 


436,616  30.0 


12:3,993     6.8 
461,551  25.4 

43,950 

6,458 

29,852 

21,651 


Per 
cent 


43,766 


299,029 


2.4 

.4 

1.6 

L2 

2.4 


Expenditures. 


1897. 


Ttrtal. 


Aver- 
age 
per 
em- 
ploy- 


43.9^,211.111 
308,294 
376,823 


1907. 


Total. 


Aver- 
age 
per 
em- 
ploy- 
ee. 


12.  35  f  2, 858, 568 


84.1 
15. 9 


1,453,925100.0,1,818,629100.0 


37,974 

24,706 
(2,134 
14,661 

42,966 


1.78 
l.ffi 

1.23 

3.10 

1.82 

L72 

L06 


2.048,669;     2  01 


332,466 
1,360.025 

73,031 

10,330 


$3.58 
2.70 
2.95 

L68 

1.60 


113,G57|    3.81 
54,089     2.50 

71,296     L6J 


4,874,052     3.19 


Number  op  Persons  Provided  for.— Altc^ether  19,292  manu- 
facturing establishemnts  with  1,453,925  workers  were  subject  to 
factory  inspection  in  1897.  Of  these  3,488  estabhshments,  or  18.1 
per  cent,  had  some  systematic  provision  for  rendering  medical  aid 
to  its  employees,  but  these  few  establishments  employed  1,017,309 
workers,  or  70  per  cent  of  the  total. 

Ten  years  later  (1907),  14,247  manufacturing  estabhshments,  with 
1,818,629  workers,  were  subject  to  factory  inspection;  of  these  5  439 
estabhshments,  or  38.2  percent,  providesome  form  of  medical  assistance, 
and  these  establishments  employed  1,528,600  persons,  or  84.1  per 
cent  of  the  total.  Thus,  during  the  ten  years  a  considerable  extension 
ot  medical  facihties  took  place.  While  the  increase  of  the  propor- 
tion of  establishments  furnishing  medical  aid  from  18.1  per  cent 
to  38  2  per  cent  is  partly  due  to  the  fact  that  a  large  number  of  smaU 
establishments  h^ve  during  the  decade  been  exempted  from  factory 
inspection,  yet  the  ax?tual  increase  from  3,488  to  5,439  establishments 
IS  55.9  per  cent,  and  the  number  of  workers  furnished  some  form  of 
medical  assistance  has  increased  from  1,017,309  to  1,528.600  or  50  3 
percent.  ^       ,       , 

The  facihties  for  medical  aid  were  best  in  large  estabhshments,  as 
IB  sho^-n  by  the  fact  that  less  than  two-fifths  of  the  estabhshments 


2214 


KEPOET   OP   THE   COMMISSIONER   OF   LABOR. 


were  giving  medical  assistance  and  the  number  of  w(»rkmen  provided 
for  exceeded  four-fifths.  The  close  dependence  of  the  size  of  the 
factory  upon  the  medical  facilities  is  shown  in  the  following  table: 

^rf^l^r.''^.^^l^r?rl^'^  ^^  FACTORIES  SUBJECT  TO  INSPECTION  GRANTING  MEDI- 
CAL AID  AND  NUMBER  AND  PER  CENT  OF  WORKMEN  PROVIDED  FOR  BY  NUM- 
BER OF  EMPLOYEES  IN  FACTORIES,  1897  AND  1907. 

[Source:  Ministerstvo  f  ^F^^ov  De^rtainent  Torgovli  i  manufaktur.    Vrachebuaiapomoshch  fabrichnym 

rabochim,  1899.    Viestnik  Finansov,  1905,  No.  5, 1910,  No.  5.j 


Factories. 

Workmen. 

Number  of  em- 
irfoyees. 

1897. 

1907. 

1S97. 

1907. 

Tota). 

Providing 
medicul  aid. 

Total. 

Providing 
medical  aid. 

Total. 

Provided  with 
medical  aid. 

Total. 

Provided  with 
medi<  al  aid. 

Num- 
ber. 

Per 
cent. 

Num- 
ber. 

Per 
cent. 

Num- 
ber. 

Per 
cent. 

Num- 
ber. 

Per 

cent. 

15  and  under... 

16  to  50 

51  to  100 

101  to  500 

501  to  1,000 

Over  1,000 

8,778 
6,195 
1,961 
1,812 
352 
194 

155 
838 
718 
1,283 
309 
185 

1.77 
13. 53 
36.59 
70.80 
87.77 
95.34 

3,799 
5,698 
1,999 
2,023 
429 
299 

326 

1,507 

1,144 

1,764 

415 

283 

8.58 
26.45 
42.77 
87.20 
96.74 
94.65 

63,865 
176,600 
143,024 
414,079 
242, 185 
414,172 

1,787 

28,119 

54, 159 

320,  475 

211,933 

400,836 

2.78 
15.91 
37.84 
77.38 
87. 5;< 
94. 76 

36,601 
167,416 
144,492 
472,901 
306,039 
691,180 

3,502 

49,727 

85,976 

423, 9  >5 

295,8:<9 

669, 6.U 

9.67 
29.70 
59.50 
89.64 
96.(16 
96.88 

Total.... 

19,292 

3,488 

18.06  14,247 

5,439 

38.181,4.53.9251,017,309 

69.97 

1.818,639 

1,528,610 

84.05 

Thus,  of  the  small  factories  with  fifteen  workmen  c»r  less  only  8.58 
per  cent  in  1907  furnished  medical  aid,  while  of  the  factories  with 
over  500  employees  over  95  per  cent  had  some  medical  facilities. 

In  these  large  factories  provisions  were  usually  satisfactory  even 
at  the  time  of  the  eariier  investigation  in  1897.  The  development  of 
the  last  ten  years  manifested  itself  largely  in  the  middle-sized  facto- 
ries employing  from  16  to  100  workmen,  as  the  number  of  such 
factories  giving  medical  aid  increased  from  1,556  in  1897  to  2  651 
in  1907. 

Altogether,  over  30  per  cent  of  the  workmen  were  left  without  any 
medical  assistance  in  1897  and  16  per  cent  in  1907,  although  it  is 
prescribed  by  the  law  for  all  factories.  This  may  be  partly  explained 
by  the  small  size  of  some  establishments.  Thus  out  of  8,808  estab- 
lishments providing  no  medical  assistance  at  all  in  1907, 8,519,  or  96.7 
per  cent,  employed  100  workmen  or  less,  7,664,  or  87  per  cent,  50 
workmen  or  less.  Of  all  the  290,029  workmen  deprived  of  meclical 
assistance,  209,304,  or  72.7  per  cent,  worked  in  factories  employing 
100  persons  or  less,  150,798,  or  52  per  cent,  in  factories  employing  50 
persons  or  less.  Nevertheless,  this  is  not  the  only  explanation,  for  of 
the  factories  employing  over  100  persons  each,  289,  with  70,728  wage- 
workers,  were  not  providing  any  assistance.  The  proportion  of  workers 
receiving  some  assistance  varied  considerably  in  different  provinces. 
At  the  time  of  the  first  investigation  (1898)  60  provinces  had  an 
organized  system  of  factory  inspection,   but   only    18   had  issued 


CHAPTER  IX. workmen's  INSURANCE   IN   RUSSIA.  2215 

regulations  in  regard  to  medical  aid.  Only  10  provinces  had  such 
regulations  before  1896,  and  in  these  10  provinces  the  organization 
of  medical  aid  was  very  much  superior  to  the  rest  of  the  country. 
At  present  35  provinces  have  such  regulations  («)  and  the  general 
situation  has  accordingly  improved  considerably. 

Method  of  Providing  Medical  Aid.— The  methods  of  providing 
medical  aid,  and  consequently  its  quality,  were  subject  to  great 
variations.     The  tables  enumerate  the  main  classes. 

These  were  the  separate  factory  hospital,  either  for  one  factory 
or  supported  by  several  factories;  factory  emergency  wards,  either 
separately  or  cooperatively  supported;  factory  dispensaries;  and 
arrangements  with  other  pubhc  and  private  agencies.  The  com- 
parative value  of  the  separate  medical  institutions  declines  in  the 
order  named.  Only  hospitals  provide  full  medical  aid  and  care,  emer- 
gency wards  doing  very  little  hospital  treatment,  and  dispensaries 
treating  exclusively  ambulatory  cases;  i.  e.,  cases  of  slight  illness, 
usually  not  accompanied  with  disability.  Arrangements  with 
zemstvos  and  with  other  hospitals  were  often  satisfactory. 

In  addition,  675  factories,  mostly  of  the  smaller  class,  with  43,766 
workmen,  provided  some  form  of  medical  aid  in  1907  by  employing  a 
physician  or  a  nurse,  but  this  aid  was  of  such  unsatisfactory  nature 
that  in  the  official  reports  this  service  is  described  as  almost  wortldess. 

Taking  the  establishment  as  a  basis,  the  most  frequent  method  of 
rendering  this  medical  aid  was  by  dispensaries,  which  in  1897  existed 
in  42  per  cent  of  all  establishments  furnishing  medical  aid  and  in  1907 
in  54  per  cent;  next  followed  factory  hospitals  and  emergency  wards. 
But  as  far  as  the  number  of  workmen  ])rovided  for  is  concerned,  the 
factory  hospital  is  the  most  important  institution,  as  over  one-half 
of  the  workmen  had  factory  hospital  facilities  at  their  disposal. 

Independent  hospitals,  emergency  wards,  and  dispensaries  made  the 
largest  gains  within  the  decade  which  elapsed  between  the  two  inves- 
tigations, the  number  of  workmen  thus  protected  increasing  from 
910,546  to  1,382,923.  Agreements  with  zemstvos,  municipaHties, 
red  cross  societies,  or  other  hospitals  for  treatment  of  the  factory 
workers,  while  permitted,  are  few  and  do  not  show  any  tendency  to 
increase. 

The  quality  of  the  medical  assistance  declines  with  the  size  of  the 
factory  establishments.  In  the  larger  factories  the  hospital  predomi- 
nates. Of  the  factories  with  1,000  employees  or  over,  69.23  per  cent 
have  separate  hospitals;  of  those  with  501  to  1,000  employees,  49.88 
per  cent  have  hospitals;  and  so  on  in  a  rapidly  dechning  scale.  The 
greatest  proportion  of  emergency  wards  was  found  in  the  factories 
with  501  to  1,000  workmen,  12.59  per  cent,  though  they  were  also 

«  Mikulin,  Fabrichnaia  inspektzia  v  Rossii,  p.  171. 
67725°— VOL  2—11 4G 


2216 


REPORT  OF   THE   COMMISSIONER   OF   LABOR. 


frequent  in  the  next  higher  and  lower  classes.  Dispensaries  predomi- 
nated in  the  factories  employing  less  than  500  workmen. 

Altogether  900,000  workmen,  or  over  50  per  cent,  in  1907  had 
hospital  facihties  at  their  disposal,  either  in  an  inde]>endent  factory 
hospital  or  by  agreement  with  some  other  hospital,  as  against  580,000, 
or  40  per  cent,  in  1897,  while  dispensary  treatment  only  (including 
emergency  wards)  was  provided  for  584,000,  or  32  per  cent,  in  1907, 
as  against  397,000,  or  27  per  cent,  in  1897. 

It  must  be  added  that  usually,  when  hospital  or  dispensary  facilities 
are  available  at  the  hospital,  the  members  of  the  workmen's  families 
are  given  the  privilege  of  free  medical  treatment  on  equal  terms  with 
the  employees  themselves.  In  1897  the  number  of  i)ersons  granted 
this  privilege  was  189,401,  and  of  these  about  one-half  belonged  to 
factories  with  over  100  workmen.  Similar  data  for  1907  are  not 
available. 

The  two  tables  following  show,  by  size  of  establisliment,  the 
number  and  per  cent  of  factories  and  of  employees  provided  with  the 
various  means  of  medical  assistance: 

NUMBER    AND    PER    CENT    OF    FACTORIES    SI  EJECT    TO    INSPECTION    PROVIDING 
MEDICAL  AID,  BY  FORM  OF  AID  AND  SIZE  OF  ESTABLISHMENT,  1907. 

[Source:  Viestnik  Finansov,  1910,  No.  5.] 

NUMBER. 


Form  of  aid. 


Hospitals 

Emergencj'  wards 

Dispensaries 

Agreement  with  zeinstvos,  etc 

Independent,  unsatisfactory  facilities. 

Total 

No  provision 


Grand  total. 


Factories  employing— 


15  per- 
sons 
and 

under. 


22 

2 

187 

41 

74 


326 
3,473 


3,799 


16  to  50 
persons. 


134 

36 
881 
148 
308 


1,507 
4,191 


5,698 


51  to  100 
persons. 


100 
51 
703 
110 
180 


1,144 

855 


1,999 


101  to 
600  per- 
sons. 


287 
171 
995 
199 
112 


1,764 
259 


2,023 


Wl  to 

1,000 

persons. 


214 
54 

118 
29 


415 
14 


429 


Over 

1,000 

persons. 


207 

13 

48 

14 

1 


283 
16 


299 


Total 
factories. 


964 
327 
2,932 
541 
675 


5,439 
8,808 

14,247 


PER   CENT. 


Hospitals 

Emergency  wards 

Dispensaries 

Agreement  with  zemstvos,etc 

Independent,  unsatisfactory  facilities. 

Total 

No  provision 


Grand  total. 


0.58 
'    .05 
4.92 
1.08 
1.95 

2.35 

.63 

15.46 

2.  GO 

5.41 

5.00 
2.55 
35.17 
5.50 
9.01 

14.19 
8.45 

49.18 
9.84 
5.54 

49.88 

12.59 

27.51 

6.76 

69.23 
4.35 

16.05 

4.68 

.34 

8.58 
91.42 

26.45 
73. 55 

42.77 
57.23 

87.20 
12.80 

%.74 
3.26 

94. 6.5 
5.35 

100.00 

100.00 

100.00 

100.00 

lUO.OO 

100.00 

6.77 
2.29 
20.58 
3.80 
4.74 

38.18 

61.  82 

100.00 


CHAPTER  IX. — workmen's  INSURANCE   IN   RUSSIA.  2217 


NUMBER  AND  PER  CENT  OF  EMPLOYEES  IN  FACTORIES  SUBJECT  TO  INSPECTION 
PROVIDED  WITH  MEDICAL  AID,  BY  FORM  OF  AID  AND  SIZE  OF  ESTABLISHMENT, 


1907. 


[Source:  Viestaik  Finansov,  1910,  No.  5.] 
NUMBER. 


Form  of  aid. 


Hospitals 

Emergency  wards 

Dispensaries 

Agreements  with  zemstvos 

Agreements  with  municipalities 

Agreements  with  Red  Cross 

Agreements  with  other  hospitals 

Independent,  unsatisfactory  facilities. , 


Total.. 
No  provision. 


Employees  in  factories  employing— 


15  per- 
sons 
and 

under. 


251 

22 

1,976 

374 

28 

9 

24 

818 


3,502 
33,099 


Grand  total 36, 601 


16  to  50 
persons. 


4,393 

1,259 

29,314 

2,771 

366 

245 

1.392 

9,987 


49, 727 
117,689 


167,416 


51  to  100 
jiersons 


7,418 
4.057 

53,014 

4,681 

753 

1.011 

1,932 

13,110 


85,976 
38,516 


144,492 


101  to  500 
persons. 


94,114 

50,942 

213,961 

20,203 

1,739 
15,255 

8.915 
18.796 


423.925 
48,976 


472,901 


501  to 

1,000 

persons. 


153, 127 

42,727 

80,200 

8.726 

522 

5.779 

4,758 


295.839 
10.200 


306,039 


Over 

1,000 

persons. 


Total 
employ- 
ees. 


538.976 
24.086 
83.086 
7.195 
3.050 
7,553 
4.630 
1,055 


798.279 

123.093 

461.551 

43.950 

6.458 

29.852 

21.651 

43,776 


669,631 
21.549 


1,528.610 
290.029 


601.180   1,818,639 


PER  CENT. 


Hospitals 

Emergency  wards 

Dispensaries '..'.'.'.'.. 

Agreements  with  zemst vos,  etc. ........ 

Independent,  unsatisfactory  facilities... 


Total,. 
No  provision . 


Grand  total. 


0.69 
.06 
5.40 
1.19 
2.23 


9.57 
90.43 


100.00 


2.62 

.75 

17.51 

2.86 

5.96 


5.13 
2.81 
36.69 
5.80 
9.07 


29.70 
70.30 


100.00 


59.50 
40.50 


19.90 

10.77 

45.24 

9.76 

3.97 


89.64 
10.36 


100.00 


100.00 


50.03 

13.96 

26.21 

6.46 


96.66 
3.34 


100.00 


77.98 
3.49 

12.02 

3.24 

.15 


96.88 
3.12 


100.00 


4.3.89 

O.  I  I 

25.38 
5.60 
2.41 


84.05 
15.95 


100.09 


Cost  of  Medical  Aid.— In  the  official  reports  from  which  these 
data  are  taken,  the  cost  of  medical  assistance  is  also  given.  The  cost 
IS  quite  considerable  and  is  increasing.  It  increased  from  $2,048,069 
in  1897  to  $4,874,052  in  1907,  or  more  than  doubled  in  ten  years, 
the  per  capita  cost  increasing  from  $2.01  to  $3.19.  This  per  capita 
cost  is  fairly  uniform  for  establishments  of  different  size,  but  tliis 
uniformity  is  brought  about  by  the  smaller  estabhshments  substi- 
tuting less  satisfactory  and  consequently  cheaper  forms  of  medical 
assistance,  namely,  emergency  wards  and  dispensaries  for  hospitals. 
The  difference  in  the  per  capita  cost  for  different  forms  of  medical 
assistance  is  much  greater.  Arrangements  with  Red  Cross  hospitals 
showed  an  average  cost  of  $3.81  per  capita,  in  factory  hospitals  the 
average  cost  was  $3.58,  in  emergency  wards  $2.70,  and  in  dispen- 
saries $2.95,  while  arrangements  with  zemstvos  and  municipalities 
were  cheaper. 


2218 


REPORT  OF   THE   COMMISSIONER  OF   LABOR. 


The  total  and  per  capita  cost  of  medical  aid  to  the  factories  subject 
to  inspection  are  shown  by  form  of  aid  and  by  size  of  establishment 
in  the  tabh  following: 

TOTAL  AND  PER  CAPITA  COST  OF  PROVIDING  MEDICAL  AID  TO  EMPLOYEES  OF 
FACTORIES  SUBJECT  TO  INSPECTION ,  BY  FORM  OF  AID  AND  SIZE  OF  ESTAB- 
LISHMENT, 1907. 

[Source:  Viestnik  Finansov,  1910,  No.  5.] 

TOTAIi  COST. 


Form  of  aid. 


Cost  ia  factories  employing— 


15  per- 
sons 
and 

under. 


Hospitals 

Emergency  wards 

Dispensaries 

Agreements  with  zemstvos 

Agreements  with  municipalities 

Agreements  with  Red  Cross 

Agreements  with  other  hospitals 

Independent,  imsatisfactory  facilities . 

Total 


$6.58 

77 

7,543 

446 

71 

164 

154 

2,943 


12,056 


16  to  50 
per- 
sons. 


$13,692 

5,159 

103.942 

4,255 

397 

607 

5,506 

24, 123 


157, 681 


51  to  100 
per- 
sons. 


|;J9, 106 

19,612 

160, 896 

8,984 

702 

3, 112 

4,695 

21,066 


258, 173 


101  to  500 
persons. 


$408,818 

158,184 

600,990 

32,842 

4.014 

56,964 

2.3,189 

22,492 


1,307,493 


501  to 

1,000 

persons. 


$537,  702 
94,818 
216,  490 
15,  372 
1,185 
23,265 
11,789 


900,611 


Over  1,000 
persons. 


$1,858,592 
64,616 
270, 164 
11,732 
3,951 
29,555 
8,756 
672 


2,238,038 


Total. 


$2,858,568 

332, 466 

1,360.025 

73,631 

10,320 

113.657 

54,089 

71,296 


4,874,052 


PER  CAPITA  COST. 


Hospitals 

Emergency  wards 

Dispensaries 

Agreements  with  zemstvos 

Agreements  with  municipalities 

Agreements  with  Red  Cross 

Agreements  with  other  hospitals 

Independent,  unsatisfactory  facilities. 

Average 


$2.62 

$3.12 

$5. 27 

$4.34 

$3.  fd 

$3.45 

3.50 

4.10 

4.83 

3.11 

2.22 

2.27 

3.82 

3.55 

3.03 

2.81 

2.70 

3.25 

1.19 

1.54 

1.92 

1.63 

1.76 

1.63 

2.54 

1.08 

.93 

2.31 

2.27 

1.30 

18.22 

2.48 

3.08 

3.73 

4.02 

3.91 

6.42 

3.96 

2.43 

2.60 

2.48 

1.89 

3.60 

2.42 

1.61 

1.20 

.64 

3.44 

3.17 

3.00 

3.08 

3.04 

3.34 

$3.58 
2.70 
2.95 
1.68 
1.60 
3.81 
2.50 
1.63 


3.19 


MEDICAL    AID    IN    MINING    AND    METALLURGICAL    INDUSTRIES. 

The  situation  is  somewhat  more  favorable  in  the  mining  and  the 
metallurgical  industries,  both  as  regards  legislation  and  the  actual 
practice.  Originally  the  Government  controlled  a  large  share  of 
these  industries  and  it  took  better  care  of  its  employees.  On  the 
other  hand,  the  isolated  position  of  the  mining  and  metallurgical 
establishments,  together  with  the  greater  frequency  of  accidents 
and  diseases,  makes  the  necessity  of  systematic  medical  aid  more 
pressing.  B}^  the  Mining  Code  of  1806  each  government  mining  or 
metallurgical  establishment  with  ovar  200  workers  was  required  to 
have  a  hospital  and  a  physician,  and  another  article  of  the  same  code 
required  private  establishments  to  comply  with  tlie  same  reciuire- 
ments  as  regards  medical  assistance.  The  temporary  law  of  1866 
did  not  apply  specifically  to  mining  and  metallurgy,  but  the  law  of 
June  3,  1886,  conferred  upon  the  factory  commissions,  among  other 
functions,  the  right  to  issue  regulations  concerning  the  care  of  the 
health  and  life  of  the  workmen,  and  by  the  extension  of  this  law  to 


CHAPTEE  IX. — workmen's   INSURANCE   IN   RUSSIA.         2219 

the  mining  and  metallurgical  establishments  on  March  9,  1892,  the 
same  rights  were  given  to  the  mining  commissions  established  in  the 
principal  mining  regions.  In  conformance  with  this  law,  the  mining 
commissions  passed  regulations  concerning  the  organizations  of 
medical  aid  on  the  following  dates: 

(1)  The  central  mining  commission  (the  northern,  northwestern, 
Volga,  and  Moscow  mining  territories)  on  April  9,  1893. 

(2)  The  Ural  mining  commission  on  July  31,  1896,  and  amended 
August  9,  1897. 

(3)  The  western  mining  commission  on  April  6,  1896. 

(4)  The  south  Russia  mining  commission  on  May  18,  1893. 

(5)  Southeastern  mining  commission  on  November  18,  1898. 

(6)  Caucasus  mining  commission  on  March  12,  1897,  amended 
July  17,  1897. 

(7)  Wastern  Siberia  mining  commission  on  December  15,  1900. 

(8)  Eastern  Siberia  mining  commission  on  May  3,  1899. 

While  the  special  mining  commissions  in  European  Russia  were 
abolished  by  the  law  of  June  7,  1899,  the  regulations  remained  in 
force. 

There  are  considerable  differences  between  the  regulations  of  dif- 
ferent mming  commissions,  but  those  adopted  by  the  Ural  commis- 
sion may  be  taken  as  a  type;  both  because  the  Ural  mining  territory 
claims  nearly  150,000  out  of  a  total  of  480,000  persons  employed  in 
mining,  or  nearly  one-third,  and  also  because  the  regulations  of  the 
central  commission,  with  30,000  employees  under  its  jurisdiction,  of 
the  western  commission,  with  42,000  employees,  and  of  the  Caucasus 
commission,  with  43,000,  are  very  similar  to  those  of  the  Ural  com- 
mission. Thus  these  rules  apply  to  about  265,000  workers,  or  over 
55  per  cent  of  those  employed  in  mining. 

These  regulations  of  the  Ural  commission  are  as  follows :  All  pri- 
vate mining  and  metallurgical  establishments  are  required  to  furnish 
medical  aid  to  their  employees  free  of  charge  according  to  the  following 
conditions:  Establishments  employing  less  than  100  workers  and 
located  withm  the  distance  of  15  to  25  verets  (10  to  17  miles)  from  a 
hospital  may  furnish  only  an  emergency  room  without  permanent 
beds.  The  establishment  employing  from  100  to  400  workers  must 
have  a  permanent  hospital  ward  with  not  less  than  one  bed  for  each 
100  workers,  and  a  permanent  '^feldsher"  (medical  assistant),  and 
must  call  a  physician  whenever  necessary.  Establishments  employ- 
mg  over  400  workers  must  have  a  hospital  with  a  private  pharmacy, 
not  less  than  one  bed  for  each  100  workers  employed,  a  permanent 
physician,  and  the  necessary  number  of  ''  feldshers."  While  no  such 
hospital  facihties  are  required  of  the  smaller  establishments,  they 
must  make  arrangements  with  hospitals  in  the  vicinity  for  such  sick 
employees  as  require  hospital  treatment.     Owners  of  establishments 


2220 


REPORT   OF   THE   COMMISSIONER   OF   LABOR. 


located  near  each  other  may  enter  into  agreements  for  the  establish- 
ment of  common  hospitals. 

Each  mining  and  metallurgical  establishment  must  be  provided 
with  the  necessary  medical  and  surgical  appliances  for  giving  first 
aid  to  persons  injured  or  suddenly  taken  ill,  and  also  with  convey- 
ances for  transportation  of  such  patients  to  the  iiearest  hosi)itals. 
In  addition  the  very  large  establishments,  employing  over  1,000 
persons,  must  organize  a  permanent  emergency  service  for  first  aid 
to  the  injured  and  sick. 

New  hospital  buildings  must  be  erected  with  due  regard  to  the 
demands  of  hygiene.  They  must  be  located  in  a  dry  place  at  some 
distance  from  dwellings  and  such  shop  buildings  as  would  unfavor- 
ably influence  the  course  of  treatment,  and  be  provided  with  good 
drinking  water.  The  hospitals  must  be  well  lighted,  ventilated, 
and  heated.  The  wards  must  contain  at  least  5  cubic  sazhen  (1,715 
cubic  feet)  of  air  space,  1  square  sazhen  (49  square  feet)  of  floor  space, 
and  one-sixth  square  sazhen  (over  8  square  feet)  of  window  space, 
per  bed.  The  ceiling  must  be  at  least  14  feet  high.  Each  hospital 
must  be  provided  with  a  reception  ward,  a  bathroom,  an  operating 
room,  a  morgue,  rooms  for  the  ''feldshers"  and  servants,  a  kitchen, 
a  laundry,  a  bath  house,  and  similar  accessories.  The  dispensaiy 
must  be  separate  from  the  hospital  w  ards.  All  toilet  rooms  must  be 
heated,  have  proper  ventilation,  and  be  in  the  same  building  with 
the  hospital.  Eveiy  hospital  must  be  provided  witli  a  special  room 
for  contagious  diseases,  permitting  perfect  isolation  when  neccHsary. 
This  contagious  ward  must  have  its  own  bathroom  and  toilet  facili- 
ties. There  must  also  be  a  special  room  for  preparation  and  distribu- 
tion of  drugs,  and  a  room  for  disinfection  of  clothing  and  dressings. 

Statistics  for  1904. — A  special  investigation  of  the  conditions 
obtaining  under  these  regulations  was  made  through  the  mining 
inspectors  in  1904.  The  main  results  of  tliis  investigation  are  shown 
in  the  following  summary  statement,  where  data  for  European  and 
Asiatic  Russia  are  shown  separately: 

SUMMARY   OF   MEDICAL   AID   IN   THE   MININCJ  AND    METALLl-RGICAL  ESTABLISH- 
MENTS, IWH. 

[Source:  Tigranov,  G.  Th,  i  Gussiatnikov.   Vrachebnaya  pomoshch  rabochim  na  gomykhzavordakh,  1907.) 


Item. 


Number  of  establishments 

Nmnber  of  employees 

Numl>er  of  hospitals 

Number  of  beds  in  hospitals 

Emergency  rooms  and  dispensaries 

Beds  in  emergency  rooms  and  dispensaries 

Total  numl^er  of  beds 

Cost  of  building  hospitals,  etc 

Cost  of  building  per  l)ed 

Annual  cost  of  medical  aid 

Cost  of  medical  aid  per  employee 

Number  of  workmen  per  bed 


European 

Asiatic 

Russia. 

Russia. 

3,833 

659 

426,334 

54,744 

2i;i 

126 

4,244 

1,025 

355 

170 

314 

322 

4,55« 

1,347 

$2,823,731 

$212, 472 

|62() 

$158 

$1,476,132 

$229,348 

$3.4<> 

$4.19 

94 

41 

Total. 


4,492 

481,078 

339 

5,269 

625 

636 

5,905 

$3,036,203 

$514 

$1,705,480 

13.54 

n 


CHAPTEB  IX. — workmen's  INSURANCE   IN  RUSSIA.  2221 

The  investigation  disclosed  339  hospitals  with  525  hospital  wards 
and  5,905  beds,  built  at  the  cost  of  $3,036,203,  or  $514  per  bed. 
This  was  an  average  of  one  hospital  bed  for  81  employees,  which 
shows  compUance  with  the  requirements  of  the  regulations.  The 
total  cost  of  medical  aid  was  $1,705,480,  while  the  average  cost  per 
employee  was  $3.54,  or  10  per  cent  more  than  in  the  factories. 

The  detail  statistics  of  this  report  for  1904  were  prepared  in  har- 
mony with  the  investigations  of  the  factories  for  1897  and  1907,  thus 
permitting  many  comparisons.  The  tables  show  the  organization  of 
medical  aid,  by  size  of  establishments,  both  for  the  number  of  estab- 
lishments and  employees.  The  detailed  data  quoted  refer  only  to 
European  Russia,  including  the  entire  Caucasus;  but  are  exclusive 
of  Asiatic  Russia,  for  which  the  information  is  too  fragmentary  for 
detailed  analysis. 

Combinations  for  the  establishment  of  hospitals  are  more  popular 
in  the  mming  industry  than  in  the  factories,  1,011  establishments,  or 
over  one-fourth,  furnishing  medical  aid  in  that  way.  Next  in  popu- 
larity are  agreements  with  the  zemstvos,  while  independent  hospi- 
tals are  much  less  frequent. 

Altogether  less  than  three-fifths  of  the  establishments  were  f ur- 
nishmg  organized  medical  aid,  nearly  three-tenths  providing  their 
own  hospital  facilities,  nearly  two-tenths  havmg  agreements  with 
various  hospitals,  and  less  than  one-tenth  having  various  substitutes 
for  hospital  treatment.  The  establishments  making  no  systematic 
arrangement  for  medical  aid  almost^all  belonged  to  the  small  type, 
1,417  of  the  1,568  employing  15  workers  or  less  and  143  from  16  to 
100  workers.  One  estabUshment  with  1,623  employees  is  reported 
as  having  no  systematic  medical  aid,  but  in  reahty  this  comprises 
all  the  small  gold-minmg  enterprises  of  a  district  where  the  actual 
number  of  establishments  was  not  ascertained.  As  would  be  ex- 
pected from  the  regulations,  the  separate  hospitals  are  most  frequent 
among  the  large  establishments,  and  emergency  wards  and  coopera- 
tive hospitals  among  the  small  establishments. 


2222 


REPORT  OF   THE   COMMISSIONER  OF  LABOR. 


NUMBER  AND  PER  CENT  OF  MINING  AND  METALLURGICAL  ESTABLISHMENTS  PRO- 
VIDING  MEDICAL  AID,  BY  FORM  OF  AID  AND  SIZE  OF  ESTABLISHMENT.  1904. 

[Source:  Tigranov,  G.  Th,  i  Gussiatnikov.    Vrachebnaya  pomoshch  rabochim  aa  gornykh  zavodakh,  1907.] 

NUMBKa. 


Establishments  employing— 

Total 

Form  of  aid. 

15  per- 
sons and 
under. 

16  to  100 
persons. 

101  to  500 
persons. 

501  to 
1.000  per- 
sons. 

Over 

1,000 

persons. 

estab- 
lish- 
ments. 

Separate  hospitals 

1 

380 

6 

r 

1 

3 
240 
106 

8 

337 

44 

71 

6 

29 

308 

17 

2 
21 

29 

194 

64 

24 

10 

17 

5 

3 

1 

13 

25 

36 

8 

1 
2 
2 
1 

61 
45 

124 

1,011 
11 

Hospitals  of  several  establishments  combined. 
Separate  emergency  wards 

Emergency  wards  of  several  establishments  com- 
bined  

i 

1 
2 

133 

20 

Separate  dispensaries 

Dispensaries  of  several  establishments  combined . 
Agreements  with  zemstvos 

52 

Agreements  with  municipalities 

128 

Agreements  with  Red  Cross 

3 

Agreements  with  other  hospitals 

8 

3 

45 

Total 

802 

1,417 

53 

2, 272 

843 

143 

17 

360 
7 
2 

78 

110 
1 

2,193 

1,5€8 
72 

No  organized  medical  aid 

Not  reported 

Grand  total 

1,003 

369 

78 

111 

3,833 

PEE  CENT. 


Hospitals 

Emergency  wards 

Dispensaries 

Agreements  with  zemstvos,  etc 


Total 

No  organized  medical  aid . 
Not  reported 


Grand  total . 


17.60 

.18 
15.67 


35.  .30 

62,  37 

2. 3.i 


100.00 


34  40 

11.46 

3.49 

34.70 


60.43 

23.85 

7.32 

5.96 


84.05 

14.26 

1.69 


100.00 


97.56 

1.90 

.54 


100.00 


78.20 

11.54 

5.13 

5.13 


100.00 


100.00 


95.50 

"i'.'m 

1.80 


99.10 
.90 


100.00 


29.61 
6.62 
1.88 

19.10 


57.21 

40.91 

1.88 


100.00 


The  actual  situation  is  more  favorable  to  the  employees  than  the 
preceding  table  would  indicate.  It  appears  from  the  following;  table 
that  78.92  per  cent  have  the  benefit  of  either  inde])endent  or  cooper- 
ative establishment  hospitals,  6.46  per  cent  more  ani  treated  hi  other 
hospitals  by  agreement,  and  nearly  10  per  cent  may  go  to  either 
emergency  wards  or  dispensaries,  most  of  these  having  als<^  the  right  to 
treatment  in  near-by  hospitals  when  such  treatment  is  necessary,  so 
that  altogether  about  20,000  workers,  or  less  than  5  per  cent  of  the 
employees,  are  not  provided  with  medical  aid. 


CHAPTER   IX.— WORKMEN  S  INSURANCE   IN   RUSSIA.  2223 


NUMBER  AND  PER  CENT  OF  EMPLOYEES  OF  MINING  AND  METALLURGICAL  EST\R- 
LISHMENTS  PROVIDED  WITH  MEDICAL  AID,  BY  FORM  OF  AID  AND  SIZE  'oF 
ESTABLISHMENT,  1904. 

[Source:  Tigranov,  G.  Th,  i  Gussiatnikov.  Vrachebnaya  pomoshch  rabochim  na  gornykh  ravodakh,  1907.J 

NUMBER. 


Form  of  aid. 


Separate  hospitals ; 

Hospitals  of  several  establishments  combined . . . 

Separate  emergency  wards 

Emergency  wards  of  several  establishments  com- 
bined   , 

Separate  dispensaries 

Dispensaries  of  several  establishments  com  bined '. 

Agreements  with  zemstvos 

Agreements  with  municipalities 

Agreements  with  Red  Cross 

Agreements  with  other  hospitals ] . 


Total 

No  organized  medical  aid . 
Not  reported 


Grand  total. 


Employees  in  establishments  employing— 


15  per- 
sons and 
under. 


10 

2,829 

49 

322 

12 

32 

2,500 

769 


63 


6,586 

11,405 

620 


18,611 


16  to  100 
l)ersons. 


515 

14, 172 

2,617 

2.897 

295 

1.350 

11,106 

708 

39 

1.251 


101  to 

500 

persons. 


501  to 

1,000 

I)eraons. 


8.364 
42,700 
13,611 

3,667 
2,506 
3,432 
1,022 
494 
150 
2,985 


16.515 

23,570 

3,944 

796 
1,192 
1,510 

590 


2,128 


34,950 

5,848 

614 


78,931 

1,227 

264 


41,412 


80,422 


60,245 


50,245 


Over 

1.000 

persons. 


144.206 
83,567 


1,200 
1,303 
3,745 


234.021 
1,623 


235,644 


Total 
employ- 
ees. 


169.610 

166.838 

20,221 

7.682 
5.205 
7.627 
18.963 
1,971 
189 
6.427 


404,733 

20,103 

1.498 


426,334 


PER  CENT. 


Hospitals 

Emergency  wards 

Dispensaries 

Agreements  with  zemstvos,  etc. 


Total 

No  organized  medical  aid . 
Not  reported 


Grand  total. 


15.26 

1.99 

.24 

17.90 


35.39 

61.28 

3.33 


100.00 


35.47 

13.32 

3.97 

31.64 


84.40 

14.12 

1.48 


63.50 

21.48 

7.38 

5.78 


79.78 
9.43 
5.38 
5.41 


96.66 


1.06 
1.59 


)8.14 

1.53 

.33 


100  00 


100.00 


100.00 


99.31 
.69 


100. 00  I    100. 00 


78.92 
6.54 
3.01 
6.46 


94.93 

4.72 

.36 


100.00 


The  total  annual  cost  and  the  per  capita  cost  are  shown  in  the  next 
table.  Agreements  with  zemstvos  seem  the  cheapest  way  to  provide 
medical  help,  while  independent  hospitals  are  the  costliest.  The 
per  capita  cost  of  these  hospitals  decreases  with  the  increase  in  the 
size  of  the  establishment.  For  the  smaller  establishments  a  coopera- 
tive hospital  is  very  much  cheaper  than  an  independent  one,  but  tliis 
•difference  declines  with  the  increase  in  the  size  of  the  estabhshments. 

The  data  of  the  table  do  not  give  the  correct  total  of  the  expendi- 
tures of  the  minmg  and  metallurgical  industry  for  medical  help  to 
the  workers,  because  over  40,000  employees  provided  only  with 
emergency  rooms  or  dispensaries  at  the  establishment,  receive  in 
addition,  when  necessary,  hospital  treatment  at  some  hospital  in 
the  vicinity  at  the  expense  of  the  employer. 


2224 


REPOET  OF   THE   COMMISSIONER   OF  LABOR. 


TOTAL  AND  PER  CAPITA  COST  OF  PROVIDING  MEDICAL  AID  TO  EMPLOYEES 
OF  MINING  AND  METALLURGICAL  ESTABLISHMENTS,  BY  FORM  OF  AID  AND 
SIZE    OF    ESTABLISHMENTS,   1904. 

[Source:  Tigranov,  G.  Th,  i  Gussiatnikov,  Vrachebnayii  pomoshch  rabochim  na  gomykh  zavo<lakh,  1907.] 

TOTAL  <;OST. 


Form  of  aid. 


Separate  hospitals 

Hospitals  of  several  establishments  combined. 

Separate  emergency  wards 

Emergency  wards  of  several  establishments 

combined 

Separate  dispensaries 

Dispensaries  of  several  establishments  com- 

bmed 

Agreements  with  zemstvos 

Agreements  with  municipalities 

Agreements  with  Red  Cro.Ks 

Agreements  with  other  institutions 

No  organized  medical  aid 


Total. 


Cost  in  establishments  employing- 


15  per- 
sons and 
under. 


(«) 
$13,701 

129 

379 
40(1 

45 

591 
52 


16  to  100 
persons. 


15 
1,287 


$5,083 
51,366 
14,385 

1,284 
1,450 

4.570 
2,866 
1,328 
41 
1.454 
1,543 


16,667 


85,360 


101  to 

500 

persons. 


$54,330 

19o,d26 

42,607 

5.5''8 
10,731 

10,479 
672 
374 
193 
2,790 
206 


318,286 


501  to 

1000 

I>ersons. 


$87,176 

66,796 

7,669 

2,553 
2,610 

4,929 
(«) 


536 


176,269 


Over 

1,000 

persons. 


$572,099 
294, 198 


4,606 

4,679 
301 


b 879, 548 


TotaL 


$718,688 

619,437 

64,790 

9,794 
20,805 

24,702 
4,490 
1,754 
234 
4,795 
3,036 


6  1,476,132 


PER  CAPITA  COST. 


Separate  hospitals 

Hospitals  of  several  establishments  combined. 

Separate  emergency  wards 

Emergency  wards  of  several  establishments 
combined 

Separate  dispensaries 

Dispensaries  of  several  establishments  com- 
bined   

Agreements  with  zemstvos 

Agreements  with  municipalities 

Agreements  with  Red  Cross 

Agreements  with  other  institutions 

No  organized  medical  aid 


Average, 


(a) 
$4.86 
2.63 

1.17 
3.40 

1.40 
.24 
.07 


.24 
.12 


,84 


$9.87 
3.63 
5.50 

.44 
4.91 

3.38 
.26 

1.87 

1.06 

1.16 

.29 


2.08 


$6.49 
4.45 
3.13 

1.52 

4.28 

3.05 
.65 
.77 

1.29 
.94 
.16 


15.27 
2.96 
1.94 

3.20 
3.03 

3.26 


.25 


$3.97 
3.52 


3.84 

3.57 
.10 


3.96 


3.51 


$4.21 
3.71 
3.20 

1.27 
4.00 

3.24 
.24 
.80 

1.24 
.75 
.15 


3.73 


3.46 


o  Not  reported. 

fc  This  total  is  not  the  correct  sum  of  the  items;  the  figures  are  given  as  shown  in  the  original  report. 

MEDICAL    AID   TO   RAILROAD   EMPLOYEES. 

Of  all  industrial  employees,  those  employed  by  the  railroads  are 
best  provided  with  medical  aid.  The  State  as  W(^ll  as  private  rail- 
roads support  a  large  number  of  hospitals  and  emergency  wards,  in 
which  not  only  the  employees  themselves  but  the  members  of  their 
families  receive  gratuitous  medical  and  surgical  aid.  In  the  follow- 
ing statement  are  given  the  main  data  concerning  these  medical  facili- 
ties of  the  railroads  for  1902  and  H)07,  indicating  their  rapid  growth 
within  the  five  years  in  which  the  mileage  has  in(;ieased  from  35,655 
to  40,197  miles,  or  less  than  13  per  cent. 


CHAPTER  IX. workmen's  INSURANCE   IN   RUSSIA.  2225 

MEDICAL  STAFF  AND  HOSPITAL  FACILITIES  PROVIDED  FOR  RAILROAD  EMPLOYEES 

1902  AND  1907.  * 

[Source:  Ministerstvo  Putei  Soobshchenia.    Otdiel  zheleznykh  dorog.    Otchot  o  vrachebno-sanitamom 

soetoianii  zheleznykh  dorog,  1902, 1907.] 


Medical  staff. 

Hospital  facilities. 

Year. 

Physi- 
cians. 

Drug- 
gists. 

Med- 
ical as- 
sistants, 

mid- 
wives, 

etc. 

Other 
em- 
ployees. 

Total. 

Hos- 
pitals. 

Emer- 
gency 
wards. 

Beds. 

In  hos- 
pitals. 

In  emer- 
gency 
wards. 

Total. 

1902 

642 
891 

56 
88 

1,741 
2,406 

1.672 
2,399 

4,111 

5,784 

74 
114 

694 

849 

2,234 
3,688 

1.362 
1,583 

1907 

3.696 

5,271 

As  is  shown  in  the  table  followdng,  the  number  of  persons  entitled 
to  the  medical  aid  increased  from  1,802,237  in  1901  to  2,794,795  in 
1907,  and  the  members  of  the  famihes  constituted  nearly  2,000,000, 
or  over  71  per  cent  of  the  entire  ntimber.  The  cost  of  this  medical 
aid  nearly  doubled  within  this  period,  while  the  average  cost  per 
person  entitled  to  treatment  increased  from  $1.63  to  $1.98,  and  the 
average  cost  per  person  employed  increased  from  $3.76  to  $4.86. 

NUMBER  OF  RAILROAD  EMPLOYEES  AND  OF  MEMBERS  OF  THEIR  F'V.MILIES   \ND 

EXPENDITURES  FOR  MEDICAL  AID.  1901  TO  1907. 

[Source:  Ministerstvo  Putei  Soobshchenia.    Otdiel  zheleznykh  dorog.    Otchot  o  vrachebno-sanitamom 

sostoianu  zheleznykh  dorog,  1902-1907.J 


Year. 

Number 
of  em- 
ployees. 

1901 

545.554 
628.021 
662. 5C7 
726.825 
709,531 
763.425 
808,444 

1902 

1903 

1904 

1905 

19(KJ....                            

1907 

Members 
of  families. 


1,256,683 
1,400,134 
1,523,817 
1,635,068 
1,761.276 
1,883,828 
1,986,351 


Total  en- 
titled to 
aid. 


1,802,237 
2,028,155 
2,18(),384 
2,361,923 
2,470,807 
2.647,253 
2,794,795 


Expenditures  for  medical 
aid. 


Per  per- 
son en- 
titled 
to  aid. 


Per 

Total. 

em- 

ployee. 

$2,050,350 

$3.76 

2.372.844 

3.78 

2.517,453 

3.80 

2.  (••98.066 

3.71 

2.900.808 

4.09 

3,4.50.496 

4.52 

3,935.586 

4.86 

$1.63 
1.60 
1.65 
1.65 
1.65 
1.83 
1.98 


2226 


REPORT  OF   THE   COMMISSIONER  OF  LABOR. 


The  main  items  of  expenditures  are  shown  in  the  table  following. 
Nearly  one-half  of  the  expenditure  is  for  salaries  and  traveling  ex- 
penses of  the  medical  staff,  and  the  bulk  of  the  other  half  for  medical 
and  surgical  supplies  and  the  cost  of  keeping  the  patients  in  the  rail- 
road hospitals  or  in  other  hospitals: 

EXPENDITURES  OF  RAILROADS  FOR  MEDICAL  AID  TO  EMPLOYEES  AND  MEMBERS 

OF  THEIR  FAMILIES,  1901  TO  1907. 

ISource:  Ministerstvo  Putei  Soobshchenia.    Otdiel  z.heleznykh  dorop.    C>t<-hot  o  vrachebno-sanitamom 

sostoianii  zhelezni  kti  dorog,  1902-1907.] 


Year. 


1901 
1902 
1903 
1904 
1905 
1906 
1907 


Salaries, 

traveling 

expenses, 

etc. 


11,117,879 
1,291,053 
1,358,197 
1,404,512 
1,478,075 
1,667.729 
1,914,440 


Rent, 
heat, 
light, 
cleaning, 
and  re- 
pairs. 


1242.321 
269,795 
286,863 
307,327 
339.793 
388,233 
431,608 


Furni- 
ture, etc. 


MedicaL^®*P"*S 

-^--ifnTar 
S^ef!l"P-|riadhos- 


$55,614 
77.067 
66,623 
83,706 
91,801 
107,056 
111,894 


piles. 


$302,973 
32;<.079 
3«i(t.069 
359, 724 
397.010 
634,319 
582,  .501 


pitals. 


$129,100 
144,471 
153,705 
185,536 
252,268 
292,787 
311,245 


Keeping 
patients 
in  other 

hos- 
pitals. 


Funeral  All  other! 

ex-       expeiidi-'  Total. (a) 


,$155,392 
176,436 
207,416 
223,649 
255,205 
374,99*^ 
397, 19ti 


penses. 


$18,367 
34,131 
33,905 
33. 3<* 
50. 4i.k^ 
41,9t^7 
48, 0«) 


tureg. 


$19,074 
55,106 
50,6'.!4 

100,244 
62,001 
43,4^8 

138,743 


$2,050,350 
2,372,844 
2,  .517, 453 
2,698,066 
2,900,808 
3.450,496 
3,935,586 


a  For  most  of  the  years  the  totals  are  slightly  different  from  the  sum  of  the  Items;  the  figur<'S  are  given  as 
shown  in  the  original  reports. 

The  extent  to  which  the  employees  utilize  these  medical  facilities 
is  shown  in  the  next  table.  There  were  229.0  cases  for  each  100 
employees  in  1901  and  279  per  each  100  employees  in  1907,  an  increase 
of  2 1 .5  per  cent  in  six  years.  The  members  of  the  families  do  not  apply 
for  medical  aid  as  frequently,  but  here,  too,  the  increase  was  from 
107.5  per  100  in  1901  to  130.9  in  1907,  or  21.8  per  cent.  As  the  num- 
ber of  members  of  families  exceeds  that  of  employees  by  nearly  150 
per  cent,  the  actual  treatment  given  to  them  was  greater  than  to  the 
employees,  notwithstanding  the  very  much  liigh<;r  sickness  rate  of  the 
former.  Altogether  nearly  5,000,000  cases  of  illness  are  being  treated 
by  the  railroads'  medical  staff. 

NUMBER  OF  EMPLOYEES  OF  RAILROADS  AND  MEMBERS  OF  THEIR  FAMILIES 
TREATED  BY  THE  RAILROAD  MEDICAL  STAFF,  1901  TO  1907. 

[Source:  Ministerstvo  Putei  Soobshchenia.    Otdiel  zheleznykh  dorog.    Otchot  o  vrachebno-sanitamom 

sostoianii  zheleznykh  dorog,  1902-1907.] 


Employees. 

Members  of  families. 

Total. 

Yesir. 

Number. 

Cases  treated. 

Number. 

Cases  treated. 

Number. 

Caaes  treated. 

Total. 

Per  100 

em- 
ployees 

Total. 

Per  100 
mem- 
bers. 

Total. 

Per  100 
per- 
sons. 

1901 

1902 

1903 

1904 

1905 

1906 

1907 

545,554 
628.021 
662,567 
726,825 
709,531 
763,425 
808,444 

1.252,520 
1,383,765 
1,492,527 
1,568,755 
1,757,581 
2,074,901 
2,255,763 

229.6 
220.3 
225.3 
215.8 
247.7 
271.8 
279.0 

1,256,683 
1,400,134 
1,523.817 
1,635  Of 8 
1,761.276 
1,883.828 
1,986,351 

1,351.036 
1.552,615 
1,704,896 
1,851,658 
1,975.076 
2,293.743 
2,599,854 

107.5 
110.9 
111.9 
113.2 
112.1 
121.8 
130.9 

1,802.237 
2.028,155 
2,186,384 
2.361,923 
2,470.807 
2.647,2.'j3 
2,794,796 

2,60;i.556 
2,93<.,380 
3,197,423 
3,420,413 
3,732,657 
4.368,644 
4,85.S618 

144.5 
144.8 
1^.2 
144.8 
15L1 
165.0 
173.7 

CHAPTER  IX. — workmen's  INSURANCE  IN  RUSSIA.         2227 

PROPOSED    REFORMS. 

The  foregoing  statistical  data  show  that  in  manufactures,  minino- 
and  railroads  the  employers  expended  in  1907  nearly  $12,000,000  in 
furnishing  medical  aid  to  some  2,750,000  employees  and  their  families; 
but  nevertheless  the  system  is  not  considered  satisfactory. 

The  shortcomings  of  the  system  of  medical  aid  to  workers  in  private 
establishments,  as  established  by  the  temporary  rules  of  1866  and  the 
later  fragmentary  legislation,  were  disclosed  in  the  report  of  the  fac- 
tory inspector  above  quoted,  and  since  the  beginning  of  the  present 
century  a  plan  for  a  comprehensive  law  has  been  under  preparation 
in  the  Ministry  of  Finance.  A  draft  of  this  plan  was  made  public  in 
1903,  and  referred  for  criticism  to  the  Ministries  of  Justice,  Agricul- 
ture, Interior,  and  Ways  of  Communication.  A  later  draft  embody- 
ing the  changes  suggested  by  these  ministries  was  made  public  in 
1905.  The  proposal  at  that  time  seemed  very  near  becoming  a  law, 
but  action  on  it  was  postponed  for  the  consideration  of  the  newly 
established  Duma,  in  connection  with  the  intended  complete  revi- 
sion of  the  entire  labor  legislation.  The  plan  was  again  under  discus- 
sion in  connection  with  the  problem  of  labor  insurance  in  the  sprmg 
of  1908,  but  no  action  has  as  yet  been  taken. 

This  proposed  law  establishes  the  principle  that  workmen  employed 
in  factories,  mills,  mines,  and  metallurgical  establishments  privately 
owned  must  be  furnished  medical  aid  at  the  expense  of  the  employer. 
The  earlier  draft  included  the  private  railroad  shops,  but  it  was  pointed 
out  by  the  minister  of  ways  of  communication  that  all  railroad  em- 
ployees had  been  provided  for,  under  more  favorable  conditions,  since 
1893.  This  medical  aid  may  include  first  aid  to  the  injured  or  those 
suddenly  taken  ill,  medical  advice,  medicine,  dressings  and  similar  ap- 
phances  in  ambulatory  cases,  medical  attendance  in  confinements,  full 
hospital  treatment  and  subsistence  in  cases  requiring  confinement  in 
bed,  cr  in  exceptional  cases,  treatment,  medicines,  etc.,  but  without 
subsistence,  when  the  patient  prefers  to  remain  at  home,  with  the  per- 
mission of  the  attending  physician.  When  the  nature  of  sickness  is 
such  as  to  cause  disability  to  work,  such  medical  aid  must  be  given 
until  recovery,  but  not  longer  than  three  months,  though  in  excep- 
tional cases  this  limit  may  be  extended  to  six  months.  In  these 
cases  the  duration  of  treatment  does  not  depend  upon  the  employ- 
ment contract.  In  cases  which  do  not  cause  disabihty  the  employer 
is  required  to  furnish  treatment  only  up  to  the  expiration  of  the 
employment  contract. 

To  meet  the  requirements  of  this  plan,  the  employer  may  establish 
and  support  hospitals  and  dispensaries  independently  or  in  conjunc- 
tion with  other  employers  of  labor,  and  in  such  cases  the  medical 
institutions  of  the  factory  must  satisfy  in  every  particular  the  stand- 


2228 


REPORT  OF   THE   COMMISSIONER  OF  LABOR. 


arcl  requirements  to  be  published  by  tbe  medical  council  of  the  Min- 
istry of  Interior,  or  he  may  enter  into  agreement  with  municipal 
authorities  or  the  zemstvo  to  furnish  this  aid  in  their  medical  insti- 
tutions for  compensation.  It  was  the  intention  of  the  legislative  plan 
to  encourage  such  agreements,  and  it  provided,  therefore,  that  when 
the  employer  desired  to  enter  into  such  an  agreement  public  institu- 
tions could  not  decline  to  accept  it.  For  such  services  the  employer 
could  be  required  to  pay  the  municipality  or  zemstvo  annual  com- 
pensation for  the  current  cost,  as  well  as  a  lump  sum  for  the  organi- 
zation of  the  necessary  hospital  facilities,  the  rates  of  compensation 
to  be  fixed  by  the  municipality  or  zemstvo  under  approval  of  the 
civil  authorities  and  the  factory  and  mining  commissions.  Appeals 
against  the  decisions  of  the  latter  are  permitted  to  the  ministers  of 
finance  and  interior,  and  penalties  are  provided  for  failure  to  carry 
out  the  demands  of  the  law.  This  legislative  proposal  has  evidently 
abandoned  the  specific  demands  of  the  old  temporary  law  of  1866  as 
to  the  number  of  beds,  and  left  tlie  elaboration  of  all  practical  details 
to  administrative  regulations. 

The  destructive  tendency  of  this  new  proposal  is  its  effort  to  trans- 
fer the  organization  of  medical  aid  from  the  factory  to  the  local  civil 
authorities,  while  recognizing  the  duty  of  the  employer  to  meet  the 
financial  burden.  This  was  the  result  of  the  many  disclosures,  official 
as  well  as  private,  that  the  organization  of  medical  aid  in  factory  hos- 
pitals and  dispensaries  was  not  entirely  satisfactory.  In  an  oiiicial 
report  on  this  matter,  published  in  1905,  it  is  frankly  admitted  that 
the  law  of  1866  ''forces  upon  the  employer  a  function  utterly  foreign 
to  him,  which  in  the  very  nature  of  things  can  not  be  satisfactorily 
fulfilled."  It  was  recognized  at  the  same  time  that  there  were  a  few 
highly  satisfactory  factory  hospitals,  and  these  should  not  be  abso- 
lutely prohibited.  The  choice  between  an  indej)endent  hospital  and 
an  agreement  with  existing  hospitals  is  left  with  the  employer;  but  a 
high  standard  is  established  for  private  hospitals  which  would  require 
such  a  high  cost  that  in  the  majority  of  cases  an  agreement  would  be 
considerably  cheaper,  and  the  local  hospital  authorities  are  not  per- 
mitted to  decline  to  enter  into  such  agreement.  Finally  the  argu- 
ment is  brought  forth  that  such  agreements  are  preferable  for  the 
treatment  of  the  employee's  family,  since  by  no  principle  can  the 
employer  be  required  to  furnish  hospital  facilities  for  the  benefit  of 
the  workmen's  families,  while  if  the  local  authorities  will  extend  their 
hospital  facilities  in  accordance  with  agreements  with  factory  owners 
room  will  be  found  for  the  workmen's  families  as  well. 

In  view  of  the  preparation  of  this  draft  of  a  special  law  for  regu- 
lating conditions  of  medical  aid  to  employees  of  the  manufacturing, 
metallurgical,  and  mining  industries  the  draft  of  a  general  labor  insur- 
ance law  of  1 905  did  no t  contain,  in  its  chapter  on  sickness  insurance,  any 


CHAPTER  IX. — workmen's  INSURANCE  IN  RUSSIA.         2229 

reference  to  medical  aid.  When  subsequently  the  proposal  of  a  labor 
insurance  law  was  broken  up  into  its  component  parts  and  a  special 
bill  prepared  for  each  branch  of  labor  insurance,  the  matter  of  medical 
assistance  was  combined  with  that  of  sick  benefits  into  one  bill. 
Nevertheless  the  essential  features  of  the  proposal  remained  the  same 
as  in  the  drafts  of  1903  and  1905.  In  the  draft  of  December,  1906, 
presented  to  the  Duma  in  June,  1908,  the  obligation  of  furnishing 
medical  aid  and  that  of  furnishing  sick  benefits  are  still  kept  sepa- 
rately, because  of  the  conviction  that  the  workmen's  sick  benefit  asso- 
ciations to  be  established  in  the  factories  and  mines  would  not  have 
any  experience  with  the  work  of  furnishing  medical  aid  and  could  not 
be  expected  to  cope  with  this  important  problem  successfuUy.  The 
burden  of  the  cost  of  medical  aid  is  left  upon  the  employer.  It  is  pro- 
vided, however,  that  the  employer  may  transfer  this  duty  to  the  sick- 
benefit  fund  by  mutual  agreement,  in  addition  to  the  option  of  making 
siniilar  agreements  with  other  employers  or  pubhc  hospitals  in  the 
vicinity.  Where  no  such  agreement  exists,  the  wage-worker  obtains 
the  right  to  receive  treatment  in  the  hospitals  of  the  municipal  or 
zemstvo  authorities,  and  the  actual  cost  must  be  borne  by  the  em- 
ployer. The  elaboration  of  the  regulations  and  the  entire  administra- 
tion of  the  law  is  to  be  placed  in  the  hands  of  the  labor  insurance 
council,  the  establishment  of  which  is  contemplated  in  the  general 
scheme  of  labor  insurance. 

FINANCIAL  ASSISTANCE  DURING  SICKNESS. 

Much  less  has  been  accomplished  for  financial  relief  during  illness 
of  workmen  than  for  medical  aid.  If  the  sickness  requires  hospital 
treatment,  subsistence  is  given  to  the  patient  free,  in  comphance 
with  a  decision  of  the  Ministry  of  Finance.  By  the  law  of  1886 
subsistence  was  a  part  of  the  hospital  treatment  and  the  employer 
could  not  charge  for  it.  The  conditions  of  life  of  the  majority  of 
the  Russian  factory  workers  are  such  that  serious  cases  requiring 
confinement  in  bed  can  not  be  satisfactorily  treated  at  home.  Only 
two-fifths  of  the  factory  workers  had  factory  hospitals  at  their 
disposal.  Where  only  dispensary  treatment  is  furnished,  and  in  all 
cases  not  requiring  hospital  treatment,  no  subsistence  is  granted ; 
besides,  in  case  of  hospital  treatment  the  family  of  the  patient  is 
without  income.  The  only  general  legislation  wMch  endeavoi-s  to 
meet  this  situation  is  that  referring  to  "fhie  funds." 

FINE    FUNDS. 

The  imposition  of  fines  and  penalties  upon  emplovees  is  a  feature 
of  Russian  industry.  Before  the  adoption  of  the  law  of  1886  regu- 
lating the  relations  between  employers  and  employees,  fines  in  some 


2230 


EEPORT   OF   THE   COMMISSIONER  OF  LABOR. 


establishments  furnished  considerable  returns  to  the  employers. 
This  abuse  was  remedied  by  law,  wliich  regulated  the  imposition 
of  fines  and  provided  that  the  proceeds  be  used  for  the  rehef  of 
the  workmen  only.  This  and  all  other  provisions  of  the  law  of  1886 
were  extended  in  1892  to  the  mines  and  metaUujgical  establish- 
ments. 

According  to  this  law  the  manager  of  the  mdustrial  establishment 
may  by  his  own  authority  impose  fines  for  only  three  reasons:  (1) 
For  faulty  work,  (2)  for  absence  without  excuse,  (3)  for  '^  disturbance 
of  the  peace  and  order,'^  such  as  tardiness,  carelessness  with  machm- 
ery  or  with  fire,  lack  of  cleanliness,  lights,  quarrels,  disobedience, 
drunkenness,  gambling,  or  any  conduct  contrary  to  the  factory  rules. 
The  fines  must  be  imposed  accordmg  to  a  definite  scale  approved 
by  the  factory  inspector.     The  actual  amount  of  fines  unposed  must 
not  exceed  one-third  of  the  wages  due  at  pay  day,  but  when  the 
sum  of  fines  unposed  would  exceed  that  lunit  the  manager  may 
dismiss   the  employee.     Against  these  fines  the  employee  has  no 
appeal,  but  if  the  factory  inspector  during  his  visit  of  inspection 
discovers  cases  of  illegal  fining,  he  must  hold  the  manager  resi)on- 
sible  for  it.     The  amount  of  fines  collected  in  each  establishment 
constitutes  a  special  fund,  which  may  be  used  only  for  the  benefit 
of  the  employees  with  a  special  approval  of  the  factory  inspector 
m  each  case,  and  in  conformity  with  the  regulations  to  be  published 
by  the  mmister  of  fmance  in  regard  to  the  purpose  and  methods 
of  such  relief.     Accordmg  to  these  regulations  promulgated  by  the 
mmister  of  finance  on  Decei^ber  4  (16),  1890,  subsidies  from  these 
funds  may  be  granted  for  the  following  purposes  only:  Permanent  or 
temporary  disabHity  due  to  sickness;  pregnancy,  if  work  has  been 
discontinued  two  weeks  before  childbirth;  funeral  expenses;  sudden 
loss  of  employee's  property  through  fije  or  other  causes.     The  fund 
IS  administered  by  the  employer,  but  all  sums  over  100  rubles  ($51  50) 
must  be  deposited  with  the  state  savings  bank,  and  the  accounts 
of  this  fund  are  subject  to  the  control  of  the  factory  uispectors 
The  factory  commission  may,    upon  its   own  judgment,  grant  the 
employers  the  right  to  grant  subsidies  not  to  exceed  15  rubles  ($7.73) 
each,  but  this  permission  is  subject  to  lecaU  when  the  subsidies  are 
granted  extravagantly  or  not  in  conformity  with  the  laws  and  regu- 
lations.    On  the  other  hand,  the  factory  inspectors  may  giant  such 
subsidy  when  the  manufacturer  unjustly  refuses  it  to  a  needy  work- 
man; but  the  manufacturer  may  entei-  a  complaint  with  the  local 
factory  commission  against  such  acts  of  the  inspector. 

In  comparatively  few  factories  are  fines  levied.  While  the  data 
do  not  go  back  of  1900,  even  for  the  eight  years  1900  to  1907  the 
number  of  establishments  in  which  the  collection  of  fines  is  author- 
ized has  declined,  and  also  the  number  of  factories  in  which  fines 


/I 


1' 


CHAPTER  IX. — workmen's  INSURANCE   IN  RUSSIA.  2231 

have  actually  been  imposed.  The  percentage  of  establishments 
imposmg  fines  decreased  from  26.8  in  1900  to  20.2  in  1907,  and  the 
percentage  of  workmen  employed  in  such  estabhshments  decreased 
from  70.8  to  63.7.  The  decline  was  greatest  in  1906  and  1907,  imme- 
diately following  the  extraordinary  wave  of  strikes  in  1905  and  1906. 
But  in  1908,  the  last  year  for  which  data  are  available,  there  has  been 
a  slight  increase  of  fining. 

Fmes  are  most  frequent  in  the  larger  establishments,  for  while 
the  factories  imposmg  fines  constituted,  in  1905,  26.5  per  cent  of 
the  total,  the  number  of  workmen  employed  in  these  factories  con- 
stituted 71.5  per  cent. 

The  accumulated  fine  funds  on  January  1,  1900,  amounted  to 
$1,240,583,  and  by  January  1,  1905,  had  reached  $1,561,694,  but 
since  then  has  been  declining.  The  income  of  these  funds  consists 
only  of  fines  and  mterest  on  the  money  accumulated;  the  other 
revenues  are  mainly  due  to  the  sale  or  purchase  of  securities.  While 
the  income  from  interest  was  gradually  increasing,  due  to  increased 
accumulations,  the  amounts  collected  in  fines  were  steadily  declining. 
On  the  other  hand,  the  benefits  were  increasing,  being  in  1905  much 
greater  than  the  sum  of  the  fines.  In  the  years  1905  to  1907  excep- 
tionally small  amounts  were  collected  in  fines,  so  that  the  benefits 
granted  were  larger  than  the  fines  collected,  and  this  has  caused  a 
decrease  in  the  amount  of  the  funds.  With  the  reestabhshment  of  nor- 
mal industrial  conditions  in  1908  the  amount  of  fines  has  acrain 
increased.  ^ 

The  following  table  shows  the  income  and  expenditures  of  these 
funds  for  1900  to  1908: 

INCOME  AND  EXPENDITURES  OF  FINE  FUNDS  IN  RUSSIAN  FACTORIES,  1900  TO  1908. 

[Source:  Ministerstvo  Torgovli  i  Promyshlennosti.    Otdiel  Promyshlennosti.    Svod  otchotov  fabrichnykh 

mspectorov,  1900-1908.)  i^uin,iuiyKa 


Year. 


1900 

1901 

1902 

1903 

1904.... 
1905.... 

1906 

1907 

1908 


Amount 
of  funds,  (a) 


Income. 


Fines. 


$1,240,583 
1,353,761 
1,415,461 
1,471,529 
1,522,133 
1,561,694 
1,498,438 
1,432,831 
1,400,847 


$296, 166 
285,850 
273,043 
271,631 
276,012 
163,157 
142, 462 
160,801 
222,819 


Interest. 


Other.(J)) 


Total. 


Expenditures. 


$44,818 
45,632 
48,807 
48,886 
53,751 
55,837 
51,786 
50,376 
49,056 


$108,097 
250,910 
170, 731 
93,761 
73,919 
74,811 
74.800 
85,435 
79, 189 


$354,591 
517,947 
d  439,  UiO 
364,G(i8 
379.584 
366.803 
332, 159 
336,982 
336,554 

oe5iS|yifSe^hJt'^f^iS?^S^^ 

made  in  tlie  oHginal  repoiS      ^'^''"''^  ^'"  ^^  obtained.    The  discrepancies  are  due  to  many  correctfona 

*>  Mainly  sale  of  securities.' 

d  ^^!"|y  P'Tfhase  of  securities  for  investment. 

ms  total  IS  not  the  correct  sum  of  the  items;  the  figures  ar«  given  as  shown  in  the  origmal  report. 
67725°— VOL  2—11 47 


$449,081 
682. 392 
492.581 
414,278 
419, 132 
293.805 
269,048 
296,612 
351,064 


Benefits. 


Other  i  Transfers 
exx)endi- !  to  central 
tures.  (c)j     fund. 


$256,631 
258, 752 
258,203 
266,184 
275,977 
282,824 
248.354 
242,730 
265,142 


$97,298 
245.659 
167,746 
93,468 
89.111 
76,264 
79,541 
89,985 
65,430 


$662 

13.536 

13,365 

5,016 

14,496 

7,715 

4,264 

4,267 

5,982 


TotaL 


< 


2232 


KEPORT   OF   THE   COMMISSIONER   OF   LABOR. 


The  causes  for  fines  imposed  are  shown  in  the  next  table.  The 
total  number  of  cases  in  1908  was  L>,690,036,  and  the  average  fine 
smce  1905  was  only  8  cents.  Fmes  for  faulty  work  are  most  frequent, 
constituting  in  1908,  78.7  per  cent  of  aU  cases,  but  the  average  fine 
is  only  6  cents.  The  average  fine  for  unexcused  absence  is  much 
higher,  bemg  22  cents  in  1908;   and  for  disorderly  conduct,  14  cents. 

NUMBER,  AMOUNT,  AND  AVERAGE   OF  FINES  COLLECTED   FROM  FACTORY 

EMPLOYEES,  BY  CAUSES,  1908. 

[Source:  Ministerstvo  TorgovU  i  Promyshlennoeti.    Otdiel  Promyshlennosti.    Svod  otchotov  fabrichnvkh 

inspectorov,  1908.] 


Cause  of  fine. 


Faulty  work 

Unexcused  absence 
Disorderly  conduct 

All  causes... 


Number 
of  cases. 


2,118,lfi7 
337.717 
234. 162 


2, 690.  ate 


Amount  of  fine. 


Total. 


$117,970 
72, 707 
32,142 


222,819 


Average. 


$0.06 
.22 
.14 

.08 


While  the  total  amount  of  fines  is  considerable,  their  proportion  to 
wages  received  was  small,  being  only  13.8  cents  per  each  $100  of  wages 
in  1908,  or  17  cents  per  workman.  It  amounted  to  about  20  cents 
per  $100  of  wages  and  22  cents  per  workman  before  1905,  and  was 
considerably  lower  during  the  three  years  1905  to  1907. 

As  a  source  of  relief  for  the  workmen,  these  funds  are  not  very 
important.  In  1908  a  total  of  $265,142  was  distributed  in  92,611 
payments,  or  $2.86  per  each  payment,  and  the  cases  of  more  than'one 
payment  were  rare.  Rehef  for  temporary  disabihty  from  sickness  is 
the  most  important  item,  and  this,  with  the  sums  granted  for  perma- 
nent disabihty  from  sickness  and  for  pregnancy,  or  what  may  be 
termed  for  purposes  of  sick  rehef,  in  1908  was  60  per  cent  of  the  total 
amount  distributed. 

This  form  of  relief  is  entirely  voluntary  with  the  employer,  except 
in  cases  in  which  a  factory  inspector  may  grant  a  small  sum  in  opposi- 
tion to  the  decision  of  the  employer. 

The  table  following  shows  the  number,  amount,  and  average  of 
each  kind  of  benefit  paid  out  of  fine  funds. 


I 


CHAPTER   IX. — workmen's  INSURANCE   IN  RUSSIA.  2233 

NUMBER,  AMOUirr,  AND  AVERAGE  OF  BENEFITS  PAID  OUT  OF  FINE   FUNDS    BY 

KIND  OF  BENEFITS.  1900  TO  1908.  *      "' 

[Source:  Ministerstvo  Torgovli   i   Promyshlennosti.    Otdiel   Promyshlennosti.    Svod  otchotov 

fabnchnykh  inspectorov,  1900-1908.]  oicaotov 


1 

Year. 

Perma- 
nent 
disability 

due  to 
sickness. 

Tempo- 

'  diSity    „^^£ 
due  to       *^cy- 

sickness. 

Funeral 
expenses 

Loss  of 
property 
•    by  fire. 

Other 
objects  or     Total, 
causes. 

1900. 

Number  of  payments 

(«) 

$48,872 

$79,309 

$38,000 

$40,973 

$28,625 

$20,8.52 

Total  amount 

(«) 

$256,631 

Average 

i 1. 

1901. 

Number  of  payments 

3,613 
$33, 149 

31,060 
$95,782 

16,910 
$33,632 

13,^75 
$42,670 

4,957 
$36,140 

3.605 
$17,379 

Total  amount 

73.820 

$258. 752 

Average 

$9.15 

$3.08 

$1.99 

$3.12 

$7.29          $4.82 

$3.51 

1903. 

Number  of  payments 

5,859 
$39, 155 

32,486 
$89,575 

20,744 
$36,475 

15,598 
$45,307 

Total  amount 

4. 671 

6.670 

86.028 

$26,291  i     $21,400 

$258,203 

Average 

$6.68 

$2.76 

$1.76 

21,166 
$35,085 

$2.90 

$5.63           $3.21 

$3.00 

1903. 

Number  of  payments. 

6.520 
$42. 597 

35.279 
$90,005 

16,184 
$45,341 

6.174 
$34,397 

4.556 

$18,  759 

Total  amount 

88.899 

$266,184 

Average 

$6.53           $2.56 

$1.66 

$2.80 

$6.65 

$4.12 

$2.99 

1904. 

Number  of  payments. 

7,014 
$45, 106 

34,311 
$91,784 

22.301 
$38,189 

18,174 
$50,581 

4.241           6.179 
$25,265       $25,052 

Total  amount 

92,878 

$275,977 

Average 

$6.43 

$2.68 

$1.71 

$2.78 

$5.96  1        $4.05 

$2.97 

1905. 

Number  of  payments. . . 

6.575 
$41,528 

32,464 
$90,122 

18.984 

20,241 

4.610 

9.691 

Total  amount 

92.465 

$32,995       »«),451 

$28,906       $32,822 

$282,824 

Average 

$6.32  1        $2.78 

$1.74 

$2.79 

$6.41 

$3.39 

$3.06 

1906. 

Number  of  pajonents. . . 

fi  Vi7 

OA    OOA 

17,599 

$32,481 

17,968 

5.077 

8.353 
$23,794 

Total  amount 

$37, 136  !    $73, 198 

85.354 

$51,075       $30,670  i 

S24S. 354 

Average 

$5.68           $2.45 

$1.85 

$2.84  i        $6.04  1        $2.85 

$2.91 

1907. 

Number  of  payments. . . 

6,433 

S't*!    Til 

28,379 

20,144 
$33,233 

19.252 
$52, 197 

Total  amount 

5.1S9          6.103 
$25,268       $22,923 

85.000 

«t>0,  lOi            ^t^,VOI     1 

.?242. 730 

Average 

S5.62          $2.57  1        $1.65 

$2,711        $4.85- 1 

$3.76 

$2.86 

1908. 

Number  of  payments. . . . 

Q  (YXi 

Oi    Aon 

19.834 
$36,347 

21,169  I        4,048 
$58,340       $23,325 

6.542 
$22,855 

' 

lotal  amount 

$46,105       $78,169 

92,611 

$2r.5.i42 

Average 

■ 

S5.ll           $2.44 

$1.83 

S2.76          $5.76          $3.49 

S2.86 

«  Not  reported. 


numTrl  !'Ir  1''''''-^'<>^S^  ^OTceA  or  voluntary  liquidations  of 
faTorv  ^''"-^^''^^'T'  their  penalty  funds  remained  in  charge  of 
lactory  inspectors  in  absence  of  any  object  for  which  they  could  be 


2234 


EEPOET  OF  THE  COMMISSIONER  OF  LABOR. 


Wully  used.     A  central  penalty  fund  for  relief  of  sick  and  iniured 
workmen  was  established  by  the  law  of  May  29  (June  10),  1895      Into 
this  fund  all  penalty  funds  of  liquidated  establishments  must  be  paid 
and,  m  addition,  all  fines  imposed  by  the  factory  commissioQs  or  by 
the  courts  upon  employers  for  infractions  of  factory  legislation      The 
fund  was  so  small  that  not  until  June  28  (July  11),  1901    six  years 
later  were  the  conditions  of  its  application  announced.    According 
to  the  rules(«)  only  the  interest  on  the  capital  and  one-half  of  the 
tones  collected  m  any  one  year  may  be  used  for  purposes  of  relief 
The  selection  of  cases  for  relief  is  left  to  the  chief  inspectors  of  the  six 
districts,  into  which  the  entire  factory  inspection  area  in  Russia  is 
divided.    It  may  be  given  either  in  the  form  of  lump-sum  payments 
not  over  $51.50,  or  pension  not  over  $4.12  per  month  for  a  period  not 
exceeding  three  years,  unless  extended  by  special  order  of  the  minister 
01  hnance  (now  of  the  minister  of  commerce  and  industry).    Relief  may 
be  given  only  to  workmen  employed  or  previously  emoloyed  in  estab- 
lishments subject  to  factory  inspection  and  only  to  workmen  in  most 
urgent  need,  preferably  in  cases  of  complete  disability  from  illness  or 
accident  or  to  families  of  deceased  workmen.    In  judging  the  merits 
of  the  case  and  the  amount  of  pension  to  be  granted,  the  inspector 
must  consider  the  causes  of  disability,  the  degree  of  distress,  the  length 
of  time  the  workman  was  employed  in  industrial  establishments  his 
earnmgs,  and  whether  he  is  receiving  any  other  relief,  whether  for 
injury  by  friendly  agreement,  or  through  an  award  of  the  court   or 
from  the  establishment  fine  fund.     Though  this  last  qualification  is 
included  m  the  rules  of  June  8  (21),  1901,  a  special  amendment  to  the 
law  was  approved  February  19  (March  3),  1904,  to  the  effect  that  per- 
sons receivmg  compensation  for  injuries  by  virtue  of  the  law  of  June  2 
(15),  1903,  are  not  debarred  from  the  rigiit  to  receive  relief  from  the 
central  fine  fund.     On  January  1, 1901,  the  central  fine  fund  amounted 
^  llAol  ™K^  If  39'^38)  and  by  January  1,  1909,  it  had  increased 
to  594,225  rubles  ($306,026).     The  income  from  all  sources,  transfer 
of  establishments,  special  fines,  and  interest  on  accumulation  in 
1903  was  84,488  rubles  ($43,511);  in  1904,  65,253  rubles  ($33  605)- 
in  1905,  53,452  rubles  ($27,528);  m  1.906,  104,006  rubles  ($53,563  ■ 
fo.^x'^^V^'^^^  ™''*^'  ($27,284);  and  in  1908,  78.226  rubles  ($40- 
286).    The  grantmg  of  relief  from  this  fund  began  on  July  1   1902 
and  during  the  six  months  of  that  year  amounted  to  24,442  'rubles 
($12,588);   during   1903  it   amounted  to  43,939  rubles  ($22  629)- 
during    1904,  to  39,801   rubles    ($20,498);  during  1905,  to  38  254 
rubles  ($19,701);  during  1906,  to  43,551   rubles  ($22,429)-  during 
1907,  to   35,865   rubles  ($18,470);  and   in    1908,  to  41,069  rubles 

"Balabanov,    M.    Fabrichnye     zakony.    Sbornik     zakonov,    raspoorazhemi    i 
raziasnenu  po  voprosam  russkavo  fabrichnavo  zakonodalelstva.  *~  •» 


CHAPTER  IX. — WORKMEN  S  INSURANCE  IN  RUSSIA.         2235 

21,150).  The  total  number  of  beneficiaries  in  1905  was  1,282, 
the  average  benefit  being  therefore  about  30  rubles  ($15.54).('') 

Fine  Funds  fob  State  Employees.— The  principle  of  fine  funds 
for  the  benefit  of  the  employees  has  been  extended  in  later  vears  to 
private  mining  and  metallurgical  establishments,  by  the  decree  of 
March  9  (21),  1892,  making  the  law  of  1886  applicable  to  them;  to 
the  workmen  employed  by  the  navy  department  on  October  8  (20), 
1892,  the  maximum  allowance  being  60  rubles  ($30.90)  and  not  more 
than  once  a  year;  and  to  the  employees  of  the  arsenals  and  ammunition 
factories  of  the  war  department  on  April  21  (March  3),  1895.  In 
other  departments,  or  in  those  special  groups  of  industry  where  special 
sick  benefit  funds  (Kassy)  exist,  which  will  be  described  hereafter, 
the  proceeds  of  fines  and  penalties  are  turned  into  these  funds.  This 
is  done  in  all  state  mining  and  metallurgical  establishments,  in  all 
private  mining  and  metallurgical  establishments  of  Poland,  in  some 
private  mining  establishments  of  Russia  proper,  and  on  railroads.  (^) 
An  imperial  fine  fund  exists  also  for  the  mining  industry  similar  to 
that  for  the  manufacturing  industry.  On  January  1,  1901,  it 
amounted  to  about  245,000  rubles  ($126,175). (0 

SICK   BENEFIT   FUNDS. 

As  a  whole  the  sick  relief  furnished  by  the  fine  funds  does  not 
meet  the  demand.  The  reUef  granted  is  small  and  the  chances  for 
relief  are  slight  in  view  of  the  limitations  of  the  funds.  The  system 
of  relief  through  special  sick  relief  funds,  organized  and  supported 
either  by  the  workmen  alone  or  by  cooperation  between  the  employers 
and  employees,  is  growmg  in  Russia,  but  it  has  so  far  a  limited  appli- 
cation, and  is  in  the  initial  stages  of  development. 

Workmen's  funds  are  most  frequently  found  in  the  mining  and 
metallurgical  industry;  they  were  made  obUgatory  on  all  establish- 
ments in  this  industrial  group,  owned  by  the  State;  they  are  foimd 
in  almost  all  private  mining  and  metallurgical  establishments  of 
Poland,  and  a  number  of  various  relief  funds  exist  in  the  mining 
industry  of  South  Russia.  The  progress  of  these  funds  is  explained 
by  the  greater  necessity  for  reUef  due  to  the  dangerous  nature  of 
the  work  in  mines  and  metallurgical  establishments.  Wliile  this 
consideration  influenced  the  employees,  the  employers  found  in  these 
funds  some  protection  against  the  frequent  liabihty  suits  arising 
from  accidents  to  employees. 


«  Ministerstvo  Torgovli  i  Promyshlennosti.    Ob  obespechneii  rabochikh  na  sluchai 
boliezni. 

6  Trudy    Vysochaishe    Uchrezhdionnavo    Rossiiskavo    Torgovo-Promyshlennavo 
Siezda  1896  goda,  v  Nizhnem  Novgorodie,  Tom  3. 

cMinisterstvo  Toigovli  i  Promyshlennosti.     Ob  obespechneii  rabochikh  na  sluchai 
bohezni. 


2236 


EEPOET  OF  THE  COMMISSIONEE  OF  LABOB. 


Comparatively  few  of  the  workmen's  or  establishment  funds  are 
purely  sxck  benefit  funds.  Most  of  them  combine  this  with  old-age 
or  mvahdity  benefits,  pensions  to  widows,  or  general  relief.  Before 
the  compensation  laws  were  adopted  reUef  of  accident  cases  claimed 
a  considerable  share  of  the  income  of  those  funds,  to  wUch  the^m, 
ployers  con  nbuted.  Those  funds  which  are  intende.l  mamly  for 
pensions  wiU  be  treated  later  in  comiection  with  the  subject  of  o  d- 
age  insurance.  •* 

Sickness  Insurance  in  the  State  Mines  and  Metallukgipat 
EsTAB.isHMENTs.-The  most  favorable  conditions  of  sic^rrrr- 
ance  are  found  m  the  state  mines  and  metallurgical  establishments 
According  to  the  law  of  March  8  (20),  1861,  organization  of  brother- 
hoods (tovar^nchestvo)  was  required  in  aU  these  minu.g  and  metal- 
lurgical establishments.    Membership  was  made  oblife^tory  to  1 

CdTc^T  ""^l^^  ''",  ^'''-  ^^^  ^*"  "™^i^«d  ^I'^t  these  brother- 
hoods care  for  the  workmen  m  case  of  illness,  old  age,  or  injuries 
resulting  from  accidents,  provide  for  their  widows  or  oiS^ 

reTalL^bT''^  t  *'"  T'^^  P°P"'''"-'  -^  furthraSaWe 
relations  between  the  employees  and  the  Government.     The  latter 

.1  rTf  v^  '•'"  '*^  '"^  ^'^^^^^  fr««  hospitals  and  tlZ 
sick  re hef .  Every  member  of  the  brotherhood  in  case  of  illnSs  L 
enti  led,  according  to  the  provisions  of  this  law,  to  fi^e  meScal 
treatment  and,  if  necessary,  to  hospital  cure  during'the  period  oft  o 
months,  and  m  exceptional  cases  for  a  longer  Le.  Durino:  Z 
time  married  workmen  who  have  children  receive  a  subsidy  enua  to 

We  oLL  Jtr^"' "^"'^•^  ""^'^'^^'^  without' cludren 
receive  one-half  of  then-  wages;  unmarried  workers  who  support 

parents  or  other  relatives  from  their  eammgs,  one-third  of  Telr 

wages;  while  no  money  subsidy  is  granted   tV  unmarried  workere 

^ithout  dependent  relatives.     Further  relief  after  the  expiratLn  5 

funds  established  m  comiection  with  these  brotherhocfds.    These 

^e  i<=rK"J  r.'''^  P"'"'"'^  ^''  ''^^-'^'  '''^^  ^'-^d  relief,  and  wm 

In  1895  SI""  ""  '"°r  *r-  ^'•^'^  '^'  ^'^^^■««*  «^  old-age'pensions 
In  1895  there  were  employed  m  the  state  mmes  and  Jnetallurcdcal 
estabhshments  24,000  persons,  and  on  January  1,  19^7    the  £  a 
membership  of  these  miners'  brotherhoods  was'igSSO?)',  while  the 
to  al  number  of  persons  employed  in  the  mining  ;nd    netluurdc J 
mdustry  IS  over  half  a  million  people.    This  system  of  sicSeSur 
aScItSn  "^  '*  *''  '""''"'  "'  ''^  ^-P'°^-'  has  therefoi^lliS 
Benefit  Funds  in  Private  Mines  and  Metallubgical  Estab- 
UHMENTS  OP  PoLAND.-The  workmen's  relief  funds  in  the  privtte 
mmes  and  metaUurgical  establishments  of  Poland  were  organS  S 


CHAPTER  IX. — workmen's  INSURANCE   IN   RUSSIA.  2237 

1859.  By  1880  there  were  7  such  funds,  and  18  to  20  by  the  end  of 
the  last  century.  In  1898,  according  to  the  latest  data  available, 
22,676  employees  belonged  to  them.(«)  In  1906  the  13  most  impor- 
tant funds  had  26,944  members.  They  present  a  variety  of  types 
both  as  to  the  sources  of  income  and  the  objects  of  their  expendi- 
tures. The  main  feature  upon  which  these  funds  agreed  was  the 
obhgatory  participation  of  all  workmen  employed  in  the  establish- 
ment, while  for  the  superior  administrative  employees  participation 
was  optional.  The  workmen  contributed  regularly,  such  contribu- 
tions being  defined  in  per  cent  of  earnings,  usually  from  1  to  3  per 
cent,  and  deducted  from  the  wages  by  the  establishment.  To  some 
of  these  funds  the  employers  contributed  an  amount  equal  to  the 
total  deductions  from  the  wages,  and  in  a  few  cases  a  greater  sum. 
In  several  cases,  however,  the  sum  contributed  by  the  employers 
was  only  one-half  or  one-third  of  the  deductions  from  wages,  while 
in  one  or  two  funds  no  regular  contributions  were  made.  In  a  verv 
few  cases  the  object  is  strictly  hmited  to  rendering  medical  aid,  and 
the  funds  are  known  as  hospital  funds;  in  a  few  other  cases  they  are 
strictly  sick  benefit  fimds.  In  the  majority  of  cases  the  funds  under- 
took to  furnish  medical  advice,  medicines,  hospital  care,  sick  bene- 
fits, accident  relief,  pensions  for  old  age  or  invalidism,  pensions  to 
widows  and  orphans,  as  well  as  rehef  in  many  other  emert^encies. 
The  funds  for  a  long  time  remained  unregulated  by  law,  and  when 
the  question  of  their  regulation  was  raised  in  1884  by  the  local 
authorities,  the  Central  Government  suggested  that  they  be  left 
undisturbed  until  a  general  law  was  elaborated. 

When  the  factory  law  of  June  8  (20),  1886,  was  extended  to  mines 
and  metallurgical  establishments  on  March  9  (21),  1892,  a  demand 
was  made  by  the  administration  upon  the  employers  of  these  estab- 
lishments to  furnish  medical  assistance  and  hospital  facilities,  and 
the  deductions  from  the  wages  for  the  cost  of  medical  help  was'  con- 
trary to  the  provisions  of  the  factory  law.  As  a  result,  some  of  the 
employers  established  the  required  hospital  facihties,  relieving  the 
workmen's  funds  from  this  duty,  without  making  reductions  in'their 
contnbutions  to  the  funds;  others  left  the  matter  of  medical  aid  to 
the  funds  as  before,  but  paid  to  the  funds  the  entire  cost  of  this  treat- 
ment. This  conflict  between  the  law  and  the  practice  of  the  miners' 
funds  was  made  a  subject  of  discussion  of  the  convention  of  mine 
operators  and  owners  of  metallurgical  estabhshments  of  Russian 
Poland  m  1893,  and  the  convention  agreed  upon  the  desu-abihty  of 
separate  standard  sets  of  by-laws  and  regulations  for  sick  benefit 
funds  and  general  pension  funds.  The  Government  was  petitioned 
in  accordance  with  this  resolution.     Standard  regulations  for  sick 


TzarstvIS  polskom,  G.  Th.  Tigranov,  1900,  p.  132.  f       i      y 


2238  EEPOET  OP  THE  COMMISSIONER  OP  LABOR. 

benefit  funds  were  published  by  the  Ministr;^  of  Agriculture  and 
State  Doma.1^   February  7  (19),  1896.  but    none  for  the  pLIon 

Since  then  a  faw  sick  benefit  funds  were  established  in  the  mines 
of  Poland  m  accordance  with  the  new  regulations  and  a  few  dder 
unds  reorganized  in  conformity  with  tl.em;  the  majority  of  the 
funds,  however,  remained  mixed  funds  as  before,  ai  hough  some 
made  changes  to  conform  more  or  less  to  the  standards  of  fhe  rXs 
of  February  7  (19),  1895.  ^ 

.Zv^  T^f  ^^'^^""^  ^^^'°  '°  condensed  form  below  were  made 
apphcable  to  a  comparatively  small  number  of  employees  but  thev 
represent  the  first  legislative  effort  directed  to  the  spe3fic  1^  S 
Sickness  insurance.  .  ^  ^  "^ 

Model  ^^"I^^^^  of  February  7  (19)   1895,  eor  Benefit  Funds  in  Private  Mines 
AND  Metallurgical  Establishments  of  Poland!        ^^*  ^^""^^ 

estibHshmTnt^^^^^^^  TheluTd".  TS^T^^^ifS'^^  ^^^^  ^  metallui^ical 

do  not  earn  more  thanl(^^  mbli  %257  50^^^?  «  ^^^  ^^'^S.l^  ^^^*  overseers  who 
be  admitted  to  membe4^p\i^n  rtaielf     T^^  ^.^^^^  employees  may 

membership  dues  and  aTequaf  amount^^^^  the  funds  is  derived  from 

ship  dues  may  be  exor^e^  eit W  JJ  a  ,^^?/"^"t^^  ^Y  the  employers.    The  member- 

&\^i  <l\j;SSS  SSi^^^^^ 

family  receTvS  001^^6  half  ofSie  rZZ'lr'"*""^  "^  ^'^.'^^  '"  »  •««?''»'  '^e 
hospital   treatment  VeltUled  to  onl^i/f™^^^^^^  "°^^  """''"""  '^""°8 

death  of  the  empiovee  is  due  t^i^i^fnL  .ff -^1 T''"^''  ^'''^,  ""^^  ^^  ?»v®^-    "  the 
not  ,^  than  25  ?u?l^  (ll^"8irmr  ^e^S^rthtriC^!  '"^d^^Tj. 


CHAPTER  IX. — workmen's  INSURANCE  IN  RUSSIA.         2239 

eeded  by  the  law  of  June  2  (15),  1903.)  The  right  for  allowance  and  medical  aid 
lasts  only  as  long  as  the  employment  in  the  establishments,  and  the  dues  paid  into  the 
fund  are  not  returnable. 

The  management  of  the  fund  is  intrusted  to  a  board  consisting  of  an  even  number 
of  members,  not  less  than  six,  one-half  of  whom  are  to  be  appointed  by  the  employers 
and  one-half  elected  by  the  membership  of  the  fund,  only  male  members  who  are  oi 
age  possessing  a  vote.  Both  the  chairman  and  vice-chairman  of  the  board  are  ap- 
pointed by  the  employers  from  among  their  representatives  on  the  board.  The 
members  of  the  board  serve  for  three  years  and  without  remuneration.  The  board 
must  meet  at  least  once  a  year,  and  decides  questions  that  come  up  by  a  simple  major- 
ity vote.  During  intervals  between  meetings  all  the  affairs  of  the  fund  are  in  charge 
of  the  chairman. 

The  most  recent  data  obtainable  in  regard  to  all  funds  of  the  Polish 
mines  and  metallurgical  establishments  unfortunately  are  consider- 
ably out  of  date,  referring  to  1897;  but  they  are  an  indication  of  the 
extent  and  nature  of  sick  relief  furnished.  The  17  funds  existing  at 
that  time  had  23,516  members.  The  membership  varied  from  29  in 
one  mine  to  5,620  in  a  large  metallurgical  establishment.  The 
accumulated  capital  of  these  17  funds  at  the  beginning  of  1898 
amounted  to  360,470  rubles  ($185,642),  or  15.33  rubles  ($7.89)  per 
member.  More  detailed  data  exist  for  13  funds,  with  22,625  mem- 
bers. The  total  income  of  these  13  funds  was  300,387  rubles 
($154,699),  to  which  should  be  added  49,064  rubles  ($25,268),  being 
the  cost  of  medical  treatment  as  supplied  by  5  establishments  at  their 
own  expense,  making  a  total  of  349,451  rubles  ($179,967),  or  15.45 
rubles  ($7.96)  per  member.  Of  this  income  145,201  rubles  ($74,779) 
were  contributed  by  the  workmen,  or  6.42  rubles  ($3.31)  per  capita,  and 
115,715  rubles  ($59,593)  by  the  employers.  Thus  of  the  total  income 
of  the  funds,  48.3  per  cent  was  furnished  by  the  workmen,  38.5  per 
cent  by  the  employers,  and  13.2  per  cent  from  interest  and  other 
sources.  If  the  49,064  rubles  ($25,268)  spent  by  the  employers  for 
medical  help  are  included,  the  employers'  contribution  of  164,779 
rubles  ($84,861)  exceeds  that  of  the  employees.  Of  the  13  funds,  in 
8  both  employers  and  employees  contributed  equal  shares,  and  in  2 
the  employer's  contribution  was  one-half  that  of  the  employees,  while 
no  contributions  were  made  by  employers  to  3  funds.  The  total 
expenditures  of  these  13  funds  were  302,526  rubles  ($155,801);  of  this 
121,051  rubles  ($62,341),  or  40  per  cent.,  were  spent  for  medical  aid. 
Including  the  49,064  rubles  ($25,268)  at  the  expense  of  the  employer, 
the  total  expenditures  amounted  to  170,115  rubles  ($87,609).  In 
addition  to  this  heavy  expenditure  for  medical  aid,  48,948  rubles 
($25,208)  were  paid  in  sick  benefits,  and  6,234  rubles  ($3,211)  for 
funeral  expenses.  The  expenditures  of  the  funds  for  the  usual  pur- 
poses of  sick  benefit  funds  were  176,233  rubles  ($90,760),  or  58.3  per 
cent.  Pensions  and  lump-sum  payments,  partly  to  satisfy  claims  for 
deaths  resultmg  from  accidents,  amounted  to  118,792  rubles  ($61,178), 
or  39.3  per  cent,  leaving  7,501  rubles  ($3,863)  for  expenses  and  other 
benefits.     The  contributions  of  the  employer  almost  cover  the  ex- 


I 


2240 


EEPOET  OP  THE   COMMISSIONEB  OP  LABOR. 


pense  of  medical  aid,  while  the  sick  benefits,  funeral  expenses,  and 
pensions  are  paid  from  the  workmen's  contributions 

A  few  data  axe  avaUable  for  these  13  funds,  referring  to  the  situa- 
o!fL?-  membership  increased  from  22,625  in  1897  to 

26,944  m  1906   or  19.1  per  cent.     The  contributions  from  the  work- 

T^r.  /.T^'f,  /"""  "^'^^^  ^^^^  (»74,779)  to  165,328  rubles 
5$85  144)  or  13  9  per  cent,  the  average  contribution  in  1906  amount- 
ing to  6  14  rabies  ($3.16)  as  against  6.42  rubles  ($3.31)  in  1897 
,.1  ^"ifn»>«twns  of  the  employers  increased  from  116,715  rubles 
($59,593)  to  172,866  rubles  ($89,026),  or  49.4  per  cent.  Thk  in^eiS 
IS  explained  by  the  fact  that  2  more  funds  were  organized  in  con- 
formi  y  with  he  regulations  of  1895,  and  receive  equal  contributions 
from  the  employers  and  employees.  The  expenditures  for  sick  bene- 
fits mcreased  from  48,948  rubles  ($25,208)  to  91,843  rubles  ($47,299) 

($3,211)  to  18,294  rubles   ($9,421).     Pensions  and  lump-sum  pay- 

S:  (rM?8fin*i89V.'''''  ™"^^    '''''''''   "  ^^^*   "^^^2 
On  June  30  (July  13),  1900,  new  rules  were  passed  for  regulation 

Jolltr  tT.  ,  *^'  T"^  T^  metallui^cal  establishments  o^ 
k!  «?■  •  ^v.  ™'«« J«g^l>^«d  the  combination  of  pensions  with  sick 
benefits  m  the  same  fuml  and  on  November  29  (December  12)  1901 
new  by-laws  of  all  the  mines  were  approved  by  the  minister  of  agri- 
culture and  sta  e  domains.  The  effort  to  establish  absolute  untfom- 
ity  was  evident  y  abandoned  for  the  time  being.  Considerable  differ- 
ences exist  m  the  by-laws  of  different  funds  aa  to  the  amount  of 
dues  and  sick  benefits.  "^"uui.  oi 

Private  Sick  FuNDS.-WhDe  the  sick  funds  of  the  Polish  mining 
and  metallurgical  establishments  and  the  brotherhoods  of  the  state 
mine  and  metalluigical  establishments  are  the  only  groups  regulated 
by  law,  similar  sick  funds  are  found  in  other  locaiufes  Jul  bfatS 
of  industry;  and  m  many  other  establisliments  financial  assistance 
|s  given  by  the  employei^  and  entirely  at  their  cost  either  vXSS 
or  as  a  result  of  specific  agreements  between  the  emi.loyers  and 
employees.     Unfortunately  the  data  in  regard  to  the  development 
are  very  scant,  as  no  comprehensive  investigation  has  ever  been 
undertaken,  and  this  form  of  assistance  owes  its  greatest  deveC 
ment  to  the  labor  difficulties  of  1905  and  1906.     The  foltwW  £ 
review  IS  based  upon  official  data  given  in  the  memorial  on  insurance 
agamst  sickness  presented  by  the  Ministiy  of  Commerce  and  Inls^ 
to  the  Duma  in  the  summer  of  1908. 
The  most  satbfactorily  organized  establishment  funds  for  sick 

e^rte^forl  rV"  *^'  J'^'t^  l"""^*"*^'  '•'«'<"^'  -d  here  they  have 
existed  for  a  long  time.     In  the  Province  of  Piotrkow,  which  includes 

the  textUe  center  of  Lodz.  110  factories  with  37.000  employe^out  rf  ' 


CHAPTER  IX. WOBKMEn's  INSURANCE  IN   RUSSIA.  2241 

900  with  126,000  employees  subject  to  factory  inspection  had  such 
funds.  The  usual  contribution  of  the  members  is  1  per  cent  of  the 
wages;  the  employers  contribute  one-third  or  one-half  of  the  con- 
tributions of  the  employees.  The  usual  sick  benefit  is  one-half  the 
daily  wage;  in  a  few  cases  it  is  only  one-third;  benefits  are  usually 
limited  to  six  weeks.  The  total  income  of  the  funds  in  the  province  is 
estimated  at  about  150,000  rubles  ($77,250)  with  about  50,000  rubles 
($25,750)  contributed  by  employers. 

In  Russia  proper  the  movement,  while  more  recent,  has  assumed  a 
broader  form.  During  the  strikes  of  1905  and  1906  financial  assist- 
ance during  sickness  was  frequently  one  of  the  demands  presented. 
These  demands  were  met  halfway  by  many  individual  employers, 
and  even  organizations  of  employers;  and  collective  agreements  to 
that  effect  have  been  concluded.  Thus  in  June,  1906,  all  the  lumber- 
inen  of  Archangel  signed  an  agreement  to  grant  to  their  employees 
sick  benefits  amounting  to  one-half  the  wages  for  a  period  not  exceed- 
ing one  month,  provided  the  sickness  is  certified  to  by  the  employer's 
physician.  Similar  agreements  were  made  in  1905  by  the  printing 
shops,  the  lumber  mills,  millers,  and  other  branches  of  industry  of 
Samara.  In  Orenburg  44  manufacturers  signed  an  agreement  not  to 
deduct  the  wages  in  cases  of  absence  of  the  employee  for  one  day  on 
account  of  his  sickness,  or  that  of  his  wife,  children,  or  parents;  to 
give  medical  aid,  but  without  pay,  during  two  weeks  to  the  worker 
who  has  been  employed  not  less  than  three  months;  after  seven 
years  of  employment,  to  give  him  medical  aid  and  subsistence  for  one 
month;  after  two  years  of  employment,  for  five  months.  Similar 
agreements  were  made  in  the  Province  of  Baku,  the  great  oil  region, 
in  December,  1904,  February,  1905,  and  June,  1906.  The  first  em- 
braced the  oil  refineries,  chemical  factories,  macliine  shops,  electric 
stations  and  similar  establishments;  the  second  included  the  printing 
industry;  the  third  the  shipbuilding  and  beer  brewing  industries. 
The  factory  inspectors,  in  1907,  reported  that  some  form  of  sick  bene- 
fits was  paid  in  1,982  establishments,  or  about  one-eighth  of  all  sub- 
ject to  factory  inspection;  but  these  establishments  gave  employ- 
ment to  586,480  persons,  or  one-third  of  all  employees  in  manufac- 
turing industry.  The  proportion  rises  to  42.3  per  cent  in  the  central 
industrial  region;  43.9  per  cent  in  the  Polish  provinces;  52.5  per  cent 
in  the  Caucasus,  and  60.3  per  cent  in  the  northwestern  region,  while 
it  falls  to  32.2  per  cent  in  the  northwest;  31.1  per  cent  in  the  north; 
29.6  per  cent  in  the  central  black  soil  region;  26.4  per  cent  in  the 
Baltic  Provinces;  24.5  per  cent  in  the  south,  and  15.5  per  cent  in  the 
east. 

Half  the  daily  earnings  is  the  most  frequent  amount  granted,  this 
bemg  the  established  rate  in  962  out  of  1,982  enterprises,  or  nearly 
one-half  of  them;  741,  or  37.4  per  cent  of  the  establishments,  grant 


2242 


BEPOBT  OP  THE  COMMISSIONER  OF  IAB(». 


between  married  and  L^lttpl^  rr^i^^f  ^'"^^7  '^  "*'« 
married  employees  are  entitled  to  r^cri^e^^^^^^^  ^"'^ 

cases  the  right  to  receive  h«n»fif   •  ,'^®  ^"'^'^  benefits.    In  some 

of  employm^ent-^re  mt  L™^^^  -*ain  length 

time  durin<^  which  hpn^fito  J        • ,    •'^     .  "^  limitations  as  to  the 

va:y  consideTaSy  "n  7  7  fsS  T'  "'r^'  •''^^'''  ^"'  *''«  *«™- 
those  reported  as^^raSJ.  benefitJICl  ';  "^''•'  P'"*  ''^"^  ''^  «^» 
in  515  establishments,  o726r;erlnt  'S  reetT.;*  il"  Jsrf H^ 

mir  ^  Sirer^rinltT/.  ^  T"^=  anTS^llSt 
lishments,  or  9  2  per  cTn;  nS     T^  ^  "'  ^  ''^^'  '"  ^^^  estab- 

sick  benefits  is  Sated  bva-V^^  "^"-  ''^  *^'  *^""''""  "'  ^'^^ 
iudgment  and  goo^d  X'^Lnlji^rt'^^^'^'  ^^^"'^'^  '^^^  ^'^^ 

ben^utSKeX'altLtlTL^'^^^^^^-^*^^  "^  -«*«-'^ 
located  in   thecTntral    ndw  ^  establishments;  of  these,  142  were 

employment  XomSrL  «f«T*n  'T"  ^*™"'^^  ^^°^««^)'  ^hero 
benefit^s  are  usullty;"  d  ^ri^f 2  to^  'T  ^  ^T  '='""'"»"•  ^heso 
longer  period.  Jsome  fstlbfshmel"£;  ">hTr  ^"^  '"^  * 
pay  is  granted  for  2  weeks  before  arVrrafTetchJdbSJ  "  '"" 

where  the  coal  and  irnn  »>,,•». ;^     •  J^iovmce  or  Jlrkatennoslav. 

with  41,628  emp7oies.?2^  '^  concen fated,  104  establishments 

wells  of'  the  BatSrift  "  antXlf      'T**%    ^'^"'*  ^"  ^'^^  «" 
from  1  to  3  months  ^  ^^^  *^  ''"''  employees  during 

d„«rh^tf:S'S:rof'"r''^^*  *^^  ''""'^■•--  ^^  - 

authority  was  readHo  introduce  it  ZTlurT'  '^'""  '^^^'^^'^^ 
very  rapid  progress  during  a  ve'^J  111  '''t  "''"'*°'"  ^''  '^'"^^ 
facts,  the  official  report  of  thlM^fet  *  ^  p  '"'"°'"\^'  "P  '^^ 
to  the  Duma  savs    "Evjr^fr^f  ^       Commerce  and  Industry 

employees  must  bTregufledTmllto^^^^^^^^  "'  '^"^''*^  *"  ^^ 
ing  the  straining  of  the  reSmS'  .u '  ^""^""^  °^  P'^^^''*^ 
employers.    The  cL  of  the  i^r      '  ^^?  *^«  workmen  and  the 

notVa  matter  of  ;ratetitktivITt''"'rK*'"^^^  "'"^^^  ^''^^'i 
governmental  concern  Inn^Sedbr; hi  ^1'  ^P^**''""  ^«' 
pulsory  insurance."  ^  *''^  mtroduction  of  com- 

Industeul  Benefit  SociETiPt! —T,.  .jj-.-      .    ., 
funds,  a  considerable  mSbiTindStriJ  C^^^^ 
Russia,  i.  e.,  societies  consisting  of  woS^nfcVr'*-'^^  '"^^  ^ 
occupation.     While  manv  «.!7?        .   '™f"  »"  »  certam  uulustiy  or 

time  to  time  1  staS.  'u''  ^*^'  *'"^°  ^^^''"''ed  ^om 

«>  time,  no  statistical  or  mj  other  recent  information  can  be 


CHAPTER  IX. — workmen's  INSURANCE  IN   RUSSIA.  2243 

obtained  as  to  their  number  or  the  extent  of  their  activity.  The  most 
frequent  and  important  functions  of  these  funds  are  sick  and  funeral 
benefits,  though  old  age  or  invalid  and  widows'  pensions  are  often 
given.  Most  of  the  societies  described  were  found  in  the  more 
progressive  western  border  provinces,  such  as  the  Baltic  provinces, 
and  Poland,  and  the  large  industrial  centers — St.  Petersburg,  Moscow, 
and  Odessa.  Thus,  in  the  Baltic  provinces  98  artisans'  mutual  aid 
societies  were  found  in  1898,  and  113  funeral  societies.  Often  these 
mutual  aid  societies  are  found  in  connection  with  the  artisans'  guilds, 
and  represent  the  beginnings  of  organized  charity  rather  than  a 
system  of  insurance.  Among  the  Jewish  industrial  population  of 
Lithuania  and  White  Russia  such  funeral  and  sick  aid  societies  are 
frequent. 

Better  regulated  benefit  societies,  with  constitutions,  sometimes 
officially  approved  by  the  authorities,  definite  dues  and  benefits,  are 
most  frequent  in  the  printing  trade.  Such  funds  exist  in  Warsaw, 
Riga,  Dorpat,  Reval,  St.  Petersburg,  Moscow,  Odessa,  Kazan,  Kiev, 
Saratov,  Samara,  Smolensk,  Tomsk,  Nizhni  Novgorod,  Ekaterinoslav, 
Orenburg,  Orel,  etc.  Those  in  the  western  cities  are  the  oldest,  the 
society  in  Warsaw  existing  since  1814,  in  Riga  since  1816,  and  in 
Dorpat  since  1819.  Of  the  printers'  benefit  societies  of  St.  Peters- 
burg, one  was  organized  in  1834  and  another  in  1866;  the  Moscow 
society  followed  in  a  few  years,  1869,  while  the  last  10  mentioned  were 
organized  since  1900.  The  sick  benefits  are  usually  from  3  to  5 
rubles  ($1.55  to  $2.58)  per  week,  free  medical  advice  is  provided,  and 
the  funeral  benefits  are  from  20  to  60  rubles  ($10.30  to  $30.90).  Old- 
age  pensions  are  granted  to  invalids  after  fifteen  or  thirty  years  of 
membership,  the  amount  of  pension  varying  according  to  the  length 
of  membership,  also  according  to  the  amount  of  dues;  two  or  three 
classes  of  dues  are  the  rule  rather  than  any  percentage  of  the 
wages.  Such  organizations  are  also  met  with  among  the  commercial 
employees.  (") 

PROPOSALS  FOE  COMPULSOEY  SICKNESS  INSUEANCE. 

In  1902  the  Russian  Society  for  Development  of  Industry  and 
Commerce  appointed  a  commission  which  elaborated  a  complete 
legislative  plan  of  compulsory  sickness  insurance  and  presented  it  to 
the  Ministry  of  Finance.  When  the  special  interministerial  commis- 
sion was  organized  in  conformity  with  the  imperial  manifesto  of 
December  12  (25),  1904,  and  the  resolution  of  the  committee  of 
mmisters  of  December  24,  1904  (January  6,  1905),  the  instructions 
demanded  the  elaboration  of  a  plan  of  compulsory  sick  insurance, 
the  cost  of  which  should  be  borne  by  both  employer  and  employee. 

a  K  rabochemu  voprosu  v  Rossu,  S.  N.  Prokopovich,  1905. 


2244 


REPORT  OF  THE  COMMISSIONER  OF  LABOR. 


The  first  draft  of  a  sick  insurance  law  was  published  on  March  29 
(April  11),  1905,  in  conjunction  with  the  general  plan  for  work- 
men's insurance. 

PROPOSAL  OF   1905. 

This  proposal  for  sick  insurance  embraced  the  same  class  of  indus- 
tries and  establishments  as  the  law  of  June  2  (15),  1903. 

This  insurance  was  to  be  effected  by  establishment  sick  benefit 
funds,  to  be  organized  in  connection  with  each  industrial  or  mining 
establishment  employing  over  50  wage- workers;  smaller  establisli- 
ments  might  be  joined  together  for  the  purpose  of  organizing  a  similar 
fund,  and  even  establishments  of  the  larger  class  in  the  same  locality 
might  do  so,  if  both  the  employers  and  employees  agree.  Mem- 
bership in  these  funds  was  to  be  obligatory  for  all  workers  employed 
either  by  the  establishment  or  by  its  subcontractors,  and  also  salaried 
employees  receiving  not  over  1,500  rubles  ($772.50)  per  annum. 
Other  employees  may  join  the  fund  voluntarily. 

The  benefits  paid  by  these  funds  were  to  be  as  follows:  (1)  Daily 
sick  benefits  amounting  to  from  one-half  to  one-thu:d  of  the  daily 
wages  of  the  worker,  to  be  paid  until  perfect  recovery  or  for  a  ilefinite 
maximum  limit  which  is  to  be  established  for  each  fund,  but  must 
not  be  less  than  three  months;  (2)  maternity  benefits  to  working- 
women  in  case  of  childbirth,  amounting  to  the  earnings  of  four  to 
six  weeks;  and  (3)  funeral  benefits,  equaling  twenty  to  fifty  times 
the  daily  wages. 

Followmg  the  example  of  the  German  sickness  insurance  system, 
certain  obligations  toward  the  employees  injured  while  at  work, 
and  covered  by  the  compensation  act  of  June  2  (15),  1903,  were 
to  be  transferred  for  a  certain  time  from  the  employers  to  the  sick 
bene  fit  associations.  These  include  funeral  expenses,  sick  allow- 
ances, and  cost  of  treatment  for  six  weeks.  This  transfer  seems  to 
be  justified  by  the  large  burden  which  tlie  contributions  to  the  sick 
benefit  association  place  upon  the  employer. 

To  meet  its  obligations  the  sick  benefit  association  was  to  collect 
dues  from  its  membership;  the  amount  of  these  dues  to  be  not  less 
than  1  per  cent  nor  more  than  3  per  cent  of  the  actual  earnings  of  the 
employees.  The  employer  was  to  contribute  to  the  association  an 
amount  equal  to  the  total  income  from  dues. 

These  dues  and  contributions,  together  with  other  incomes  of  the 
associations,  such  as  interest  upon  money,  constitute  the  "turn-over" 
or  general  fund,  out  of  which  the  obligatory  benefits  must  be  paid. 
In  addition,  the  association  must  possess  a  reserve,  into  which  were 
to  be  paid  the  surplus  from  the  annual  operations  of  the  association, 
the  fines  for  delinquent  payment  of  dues  by  the  employer;  and  the 
membership  might  order  a  definite  percentage  of  the  dues  of  both 


CHAPTER  IX. — WORKMEN  S  INSURANCE   IN  RUSSIA.  2245 

the  employees  and  the  employers  to  be  paid  into  the  reserve.  The 
reserve  was  to  be  used  to  keep  up  the  uninterrupted  payment  of  bene- 
fits when  the  operating  fund  is  exhausted. 

A  third  fund  was  also  provided,  to  be  known  as  the  fine  fund,  into 
which  the  fines  levied  upon  the  workers  must  be  paid,  and  this  fund 
was  to  be  used  only  for  additional  benefit  features,  which  each  asso- 
^J  ciation  may  establish;  the  following  feature  being  permitted  by  the 
proposed  law:  Medical  treatment  of  members  of  families  of  workers 
belonging  to  the  associations,  sick  benefits  to  the  members  of  the  fam- 
ily, funeral  expenses  in  case  of  death  of  members  of  the  family,  mater- 
nity benefits  to  the  wives  of  the  workmen,  and  also  various  subsidies, 
other  than  sick  benefits,  to  the  needy  workers. 

In  its  main  features  this  legislative  proposal  follows  the  provisions 
of  the  decree  of  February  7  (19),  1895,  promulgatmg  a  standard  con- 
stitution for  the  sick  benefits  of  the  Polish  mining  and  metallurgical 
industry.  The  duty  of  furnishing  medical  help  was  not  imposed 
upon  the  planned  associations,  in  view  of  the  special  law  proposed 
for  regulation  of  the  matter  of  medical  assistance  entirely  at  the 
expense  of  the  employer;  and  the  minimum  scale  of  sick  benefits 
allowed  was  considerably  higher.  On  the  other  hand  the  distmctions 
between  married  and  single  workers  was  eliminated,  and  the  amount 
of  medical  assistance  furnished  to  the  family  of  the  worker  would  be 
very  limited,  since  only  the  fine  fund  would  be  available  for  the  pur- 
pose of  such  extension  of  the  activity  of  the  associations. 

PROPOSAL  OF   1906. 

The  draft  of  the  law  adopted  about  a  year  later  at  the  insurance 
conference  of  April  15  to  21  (April  18  to  May  4),  1906,  organized  by 
the  Mmistry  of  Commerce  and  Industry,  followed  the  general  plan  of 
that  of  1905,  but  introduced  several  important  modifications. 

The  scope  of  the  bill  was  made  somewhat  more  comprehensive. 
It  was  not  limited  to  those  establishments  which  are  covered  by  the 
accident  law  of  1903,  but  embraced  all  manufactures,  mining  and 
metallurgical  industries. 

The  conditions  of  membership  for  the  employees  were  left  the  same, 
and  also  the  three  classes  of  benefits,  with  the  same  limits  of  the  mini- 
mum and  maximum  benefits,  except  that  a  maximum  limit  of  sick 
benefits  was  established  at  26  weeks.  Provision  was  made  for  the 
sick  benefit  fund  assuming  the  employer's  obligation  to  furnish  medi- 
cal help,  for  an  agreed  stipulation,  such  agreements  to  be  approved 
by  the  local  factory  inspection  office.  The  combination  of  sick  bene- 
lits  with  care  of  the  sick  was  therefore  permitted,  though  not  required. 

The  mam  sources  of  income  of  the  fimd  were  to  be  contributions 
from  the  employers  and  employees  as  in  the  previous  drafts;  but  per- 


2246 


REPORT   OF   THE   COMMISSIONER  OF   LABOR. 


haps  the  most  important  change  was  the  reduction  of  the  share  of 
the^employer,  from  an  amount  equal  to  the  contributions  of  the 
employees  to  one-half  that  amount,  thus  considerably  limiting  the 
income  of  the  funds. 

Thus,  while  each  sick  fund  was  to  liave  the  right  to  extend  to  the 
members  of  the  family  of  the  employees  the  cost  of  treatment,  sick 
benefits,  maternity  benefits^  or  funeral  expenses,  the  opportunity  for 
such  extended  activity  was  evidently  considerably  reduced.  Even 
the  possibility  was  foreseen  that  with  this  reduction  the  maximum 
dues  permitted  (3  per  cent  of  the  earnings)  might  not  be  sufficient 
to  meet  the  expenses  of  minimum  benefits,  and  hi  such  cases  the 
employers  were  made  responsible  for  the  deficit. 

PROPOSAL  OF   1908. 

The  workmen's  sickness  insurance  bill,  which  was  introduced  in 
the  Duma  January  25  (February  7),  1908,  was  much  more  elaborate 
than  its  predecessors.  Organization  and  administration  were  more 
carefully  worked  out  in  this  bill,  representing  for  the  time  being  the 
final  conclusions  of  the  Government.  It  contained  many  changes  in 
the  plan,  though  the  basic  principles  remained  intact.  The  bill  cov- 
ered the  question  of  medical  aid,  but  its  organization  was  kept  apart, 
as  explained  in  the  section  dealing  with  that  problem. 

The  bill  is  an  essential  part  of  the  comprehensive  system  of  labor 
insurance  planned  by  the  Government.  It  is  not  limited  to  manu- 
factures and  mining,  but  also  includes  railroads,  inland  navigation, 
and  street  railroad  estabhshments.  It  is  limited  to  estabhshments 
which  employ  steam  or  other  mechanical  power  aud  at  least  20 
permanent  wage-earners,  or  30  permanent  wage-earners  where  no 
mechanical  power  is  used.  This  provision  is  expected  to  solve  the 
question  as  to  what  establishment  is  a  factory  or  mill.  Small  shops 
may  be  so  advantageously  located  that  a  union  with  existing  funds  would 
present  no  difficulties;  it  is  therefore  provided  that  the  labor  insur- 
ance council  may,  upon  recommendation  of  the  local  labor  insurance 
commissions,  extend  the  application  of  the  law  to  establishments 
using  mechanical  power  and  employing  not  less  than  5  wage-workers. 
Under  special  conditions  the  council  may  temporarily  except  certain 
small  and  isolated  establishments  from  the  operations  of  this  law 
until  these  conditions  have  changed.  Establishments  of  a  temporary 
nature  may  be  relieved  by  the  local  commission  from  the  obligations 
imposed  by  this  law;  and  appeals  against  such  acts  are  brought  to 
the  central  council,  whose  decision  is  final.  This  provision  in  regard 
to  temporary  enterprises  was  thought  necessary  because  of  the  diffi- 
culties connected  with  a  temporary  organization  of  a  sick  benefit 
fund.  When  such  changes  take  placs  in  the  nature  of  an  estabhsh- 
ment  as  to  take  it  out  of  the  class  to  which  the  bill  applies,  the  obli- 


CHAPTER  IX.— workmen's   INSURANCE   IN   RUSSIA.  2247 

gation  of  insurance  ceases.  All  establishments  owned  by  zemstvos 
and  municipahties  are  excepted,  for  many  such  public  institutions 
have  already  established  systems  of  sick  relief 

In  the  establishments  covered  by  the  law  allparmanent  employees 
recemng  less  than  1,500  rubles  ($773)  per  annum  (including  the  vaS 
of  board  and  lodging),  whether  employed  a.  workmen  or  in  the  offici 
are  subject  to  the  insurance  system.  Temporary  employees  hired 
for  less  than  two  weeks  are  excepted.  The  maximum  Hmitation  of 
salary  is  taken  from  the  law  of  1903  and  is  identical  with  that  in  the 
accident  insurance.  Under  special  regulations,  persons  receiving  more 
than^hat  remuneration  may  voluntarily  come  under  the  insurance 

According  to  this  bill  insurance  against  sickness  must  be  by  means 
of  sick  benefit  associations.  Estabhshments  with  400  permanent 
employees  or  over  have  their  individual  sick  benefit  associations Td 
only  m  exceptiona  cases  may  the  organization  of  independent  aTc^ 
ciations  be  authorized  by  the  local  labor  insurance  commiSofS 
establishments  with  a  smaller  number  of  employees.  Smalleresta^ 
hshments  must  unite  for  the  organization  of  such  associaTon  or  o^ 
existing  associations.  '       ■• 

The  organization  of  joint  a^ociations  must  have  the  approval  of 
the  propnetors  of  the  several  establishments,  as  well  a.  of  theWd 
labor  insurance  commissions.     For  the  admission  of  a  new  iubS 
ment  into  an  existing  association,  or  the  union  of  several  ex'sSl 
association,  into  one,  the  agreement  of  these  associations  must  ds^ 
be  obtamed.     Such  agreements  and  approvals  are  necessary  in  view 
o    the  differences  in  the  rates  of  accidents  and  sickness.     This  nr^ 
vision  IS  limited  by  the  clause  authorizing  the  local  labor  insurant 
commission  to  order  such  unions  on  its  o^n  initiative,  and  thus  Z 
final  decision  of  all  such  questions  is  practically  taken  out  of  the  hands 
of  the  employees,  who  are  the  main  contributor  to  the  associatior^ 
and  left  en  irely  in  the  hands  of  the  authorities.     The  ^XSu 
of  the  employee  in  the  association  begins  with  the  dly^Hntei 
service  and  ends  either  with  the  expiration  of  such  sTrv^ce  ^r  with 

S  Zeyel'        ''  '""'''  '''''  '^"^  ^«^*^  membez^hip  for  at 

is  lubie'^ttt'".'  T"^  ^Tu  '^"^^  "^  constitutions,  but  this  right 

efttotheeml"'   tr-     ^^'r"^^'  *^  ^''P^""  '^'  'constitution  is 

are  not  trZlX  T  ""^'^  "^  '^'  establishment).     The  emplovees 

central  /'^ '"'."^'^  *°  ^^^^  »ny  voice  in  the  matter.     In  addition '  the 

XonstUutr^T  ^rf  ''  ^^«^*^^  *«  P^«P-«  » '^--al  (sti 

be  obrat^^^^^^^  '"^  !^^  '^'  ''•^<'P"°«  «f  '^'  constitution  is  not  to 

to  tSelnir-"r"  ""  ^"•'T'^^'l-     The  application  for  a  permit 

™  ^'^  «««°«'^t'on  IS  made  by  the  owner  of  the  establishment 

0/7  J5  — ^vol2 — 11 48 


2248 


BEPOET   OF  THE   COMMISSIONER  OF   LABOB. 


/ 


to  the  factory  inspector,  and  if  the  use  of  the  standard  constitution 
is  agreed  to  the  inspector  grants  this  permit.  If  a  new  constitution  or 
any  modification  of  the  normal  constitution  is  desired,  the  approval 
of  the  local  labor  insurance  commission  must  be  first  obtained.  If 
the  employer  does  not  make  such  an  application  within  the  time 
specified  by  the  commission  the  latter  may  order  the  organization  of 
the  institution  under  the  standard  constitution. 

The  constitution  must  state  the  name  of  the  association,  place,  list 
of  establishments,  method  of  election  and  functions  of  the  board  of 
directors,  the  organization,  functions,  and  procedun^  of  the  general 
meetings,  the  revenues,  their  investments,  etc.,  the  expenditures, 
bookkeeping  and  accounting,  the  metliods  of  amending  the  constitu- 
tion, methods  of  hquidating  the  association  if  necessary,  and  care  of 
books  and  documents  during  temporary  suspension  of  the  association. 
These  details  of  the  constitution  must  conform  to  the  limitations 
established  in  the  law. 

The  associations  are  permitted  to  enter  into  agreements  with  the 
employers  to  assume  for  a  definite  consideration  the  duty  of  fumisliing 
medical  help,  and  for  this  purpose  they  may  establish  hospitals  and 
dispensaries  and  also  enter  into  agreements  with  zerastvos  and  mu- 
nicipalities or  private  institutions  for  treatment  of  tJie  sick. 

The  payment  of  benefits  is  the  main  function  of  the  associations; 
this  includes  sick  benefits,  maternity  benefits,  and  funeral  expenses. 
Sick  benefits  are  paid  in  all  cases  of  sickness  lasting  over  three  days, 
except  when  sickness  is  self-afilicted  with  malicious  intent  or  caused  by 
fights  or  criminal  acts.  The  exception  of  sickness  lasting  three  days 
or  less  is  expected  to  relieve  the  associations  of  minor  cases  which  are 
not  serious  enough  to  cause  financial  distress  to  the  wage-earners,  or 
which  may  be  due  to  malingery  or  debauchery,  and  which  would  prove 
to  be  a  heavy  burden  for  the  association.  The  amounts  of  the  sick 
benefits  are  left  to  the  associations,  but  must  fall  witliin  the  following 
limits:  For  married  persons  with  dependent  families,  from  one-half 
to  two-thirds  the  daily  wage,  and  for  persons  without  dependent 
families  (whether  single  or  married),  from  one-fourth  to  one-half  of 
the  daily  wage. 

These  sick  benefits  are  paid  for  not  over  twenty-six  weeks  in  any 
one  case  of  sickness,  and  not  over  thirty  weeks  to  one  person  within 
the  same  year. 

Those  members  of  these  associations  who  are  at  the  same  time 
insured  against  accidents  (according  to  the  new  accident  insurance 
bill)  and  are  disabled  in  consequence  of  an  industrial  accident,  are 
entitled  to  benefits  from  the  day  of  the  accident  not  to  exceed  13  weeks. 
This  obligation  does  not  rest  upon  the  sick  benefit  association  when  the 
injured  person  is  not  insured  against  accidents,  but  is  covered  by  the 
law  of  June  2  (15),  1903,  which  entitles  the  injured  jierson  to  receive 


CHAPTER  IX.— workmen's  INSXIBANCE  IN  RUSSIA.  2249 

such  benefits  directly  from  the  employer.     If  the  mjured  person  is 
neither  msured  agamst  accident  nor  covered  by  the  old  law  of  1903 
he  is  entitled  to  receive  his  benefits  from  the  associations  on  the  same 
conditions  as  any  other  sick  member. 

The  extension  of  the  length  of  care  supplied  by  the  sickness  associa- 
tion to  the  injured  person  from  6  to  13  weeks  is  the  most  important 
modification  suggested  in  the  last  draft.  It  must  be  remembered 
that  of  all  accidents,  according  to  the  statistical  data  for  1904  only 
4  per  cent  required  treatment  for  over  13  weeks,  while  85  per'  cent 
required  treatment  for  6  weeks  or  less,  so  that  an  additional  burden  of 

t/onT  Th.  .  r  nl"''  ",  *^''""  "P''"  ^^^  ^'^k  insurance  associa- 
ir^'-i-ff  ""ft"^' additional  burden  must  be  measured  by  a  some- 
what dzflferent  method.  Out  of  a  total  of  1,135,491  sick  days  1^ 
which  treatment  was  granted  in  1904,  the  accidents  requiring  treat- 
ment for  not  over  6  weeks  claimed  550,695  days,  or  48  per  cent  To 
this  must  be  added  the  first  6  weeks  of  treatment  for  aU  other t  J^ 
which  amounted  to  276,948  days,  the  total  being  827,643,  or  73  per  c«tt' 
The  treatment  of  cases  lasting  over  6  weeks  but  not  over  13  ^^^i 
would  impose  an  additional  duty  of  271,994  days,  or  24  per  cent  o^ 
about  one-third  of  that  of  handling  the  cases  lasting  under^6  w3s' 
Maternity  benefits  paid  by  the  associations  must  be  from Te  half 

from  tie' da?  of  '  t^  ''"'^l'^- .  ''''''  *^«  '^  ""^  ^^'^  ^^  f«™'ls 
from  the  day  of  confinement,  and  are  paid  only  when  the  woman 

has  belonged  to  some  sick  insurance  association  for  thri  ZZZ 

previous  to  childbirth.     To  enforce  the  hygienic  advanta^  oTXt 

matermty  benefits,  the  associations  are  permitted  to  wit^old      em 

Wwomen  who  return  to  hired  labor  before  the  expiralSn  of  fl" 

The  funeral  expenses  paid  by  the  sick  benefit  associations  must 

simplify  and  accelerate  the  payment  of  such  expenses  in  cases  of 
mTntVhT  T'^'kv'  *'"  ^-^^  benefit  associations  make  sucHav 

tions,  the  latter  reimburse  the  sick  benefit  associations. 

in  all  these  benefits  the  payments  are  computed  on  the  same  basis 
of  daily  earnings  as  their  contributions.  The  actual  rates  oXncfi ts 
w^hin  the  limits  established  by  the  law  are  determined  by  the  asTocS 
.on  in  general  meeting,  for  a  year  in  advance.  A  few  a!lcl  Ho.  al 
hmitations  are  permitted  to  the  association.  Thus  s  ngle  membei 
TZ^,"  f«P"-d  of  benefits  altogether  or  receive  smaller  Tmount" 

extent  ifh   Tr"  "^•'"  *^^^  ^'^  '^'"^  *-**«"  ^  *  hospitTat  the 
expense  either  of  the  association  or  of  any  other  third  party-  benefit, 
may  begm  before  the  fourth  day  of  sickness;  they  mayte'  paij  fo 
holidays;  a  certain   ength  of  membership  not  exceeding  two  weet 
may  be  requn-ed  before  the  right  to  receive  benefits  is  "acquired  (^ 


2250 


EEPORT  OF   THE   COMMISSIONER  OF   LABOR. 


case  of  voluntary  members  no  benefits  must  be  paid  within  the  first 
week  of  membership);  members  who  do  not  comply  with  the  rules 
of  the  associations  or  who  disobey  the  physician's  order  may  be  de- 
prived of  their  benefits,  wholly  or  in  part,  and  may  ])e  fined  not  to 
exceed  3  rubles  ($1.55)  for  each  offense. 

In  addition  to  these  obligatory  benefits  the  associations  may 
extend  their  activity  to  the  members  of  the  workmen's  families. 
Any  or  all  of  the  benefit  features  may  be  extended,  as  sickness, 
death,  or  childbirth  in  the  workman's  family  often  seriously  affects 
his  economic  status.  The  amounts  of  such  additional  benefits  must 
be  definitely  stated  in  the  constitution  of  the  association,  and  in  no 
case  must  the  expenditure  for  such  additional  benefits  exceed  one- 
third  of  the  expenditure  for  the  required  benefits. 

,  The  revenues  of  the  funds  are  to  be  derived  from  the  same  sources 
as  in  all  the  preceding  plans  of  sickness  insurance;  primarily  they 
consist  of  periodic  contributions  from  the  employees  and  employers, 
to  which  are  added  the  following  minor  sources  of  revenue :  Income 
from  property  and  investments,  voluntary  contributions,  fmes  and 
penalties  imposed  in  accordance  with  the  laws  by  the  establishm<mts 
and  by  the  sick  benefit  funds,  and  miscellaneous  revenues.  Of  these 
secondary  sources  the  fines  and  penalties  of  the  estabhshments  are 
the  most  important  ones,  but  these  are  decreasing. 

The  actual  rate  of  the  employees'  contributions  are  determined 
by  the  association  in  general  meeting,  but  must  not  be  less  than  1  nor 
more  than  2  per  cent  of  the  earnings.  Associations  with  less  than  400 
members  may  increase  the  rate  to  3  per  cent.  While  the  maxinmm 
yearly  salary  of  persons  required  to  join  the  association  is  1,500 
ruble's  ($773),  or  over  5  rubles  ($2.57i)  per  day,  for  the  purposes  of 
computing  the  contribution  as  well  as  the  benefits  the  maximum 
earnings  are  put  at  2  rubles  ($1.03)  per  day.  The  contribution  of 
the  employer  is  two-thirds  that  of  the  employees. 

The  above  limits  of  the  contributions  of  the  employees  and  em- 
ployers were  established  upon  calculations  based  upon  German  sick- 
ness statistics,  no  such  material  for  Russia  being  available.  Accord- 
ing to  these  data  there  are  about  36  cases  of  sickness  per  100  employees, 
and  the  average  duration  of  each  case  of  sickness  is  40  days.  This 
gives  1,440  days  of  sickness  for  100  employees,  or  14.4  days  per  em- 
ployee. Taking  the  average  number  of  working  days  to  be  280, 
one-twentieth  of  it  seems  to  be  lost  because  of  sickness.  With  a  sick 
benefit  varying  from  one-fourth  to  two-thirds  of  the  wages,  the  cost 
of  the  benefits  equals  from  H  to  3i  per  cent  of  the  wages.  As  the 
employee  contributes  three-fifths  and  the  employer  two-fifths  of  the 
charges  (disregarding  the  minor  sources  of  revenue),  the  employee's 
contribution  must  be  from  three-fourths  of  1  per  cent  to  2  per  cent, 


CHAPTER  IX.— workmen's   INSURANCE   IN   RUSSIA.  225 J 

and  that  of  the  employer  from  one-half  of  1  per  cent  to  1 J  per  cent  of 
the  wages.  -j  i 

The  miners'  funds  of  many  mining  and  metallurgical  establish- 
ments m  the  Polish  provinces  require  equal  contributions  from  both 
parties,  and  by  the  proposals  of  1905  and  1906  the  employer  waa 
supposed  to  contribute  one-half  as  much  as  the  workman.  The  in- 
crease from  one-half  to  two-thirds  is  somewhat  compensated  by  the 
extension  of  the  care  of  injured  employees  from  6  weeks  to  13  weeks 
The  entire  cost  of  medical  treatment  of  all  cases  of  sickness  is  paid  by 
the  employer.  Voluntary  members  of  the  sick  benefit  associations 
pay  all  the  cost  of  their  insurance. 

dra^ff  oflTot'  organization  is  identical  with  that  proposed  in  the 
draft  of  1906.  The  association  is  required  to  have  two  funds  the 
general  (operating)  fund  and  the  reserve.  The  contributions  of  the 
employers  and  employees,  the  revenue  from  property  and  investments, 
and  the  miscellaneous  revenues  are  paid  into  the  general  fund  The 
remainmg  revenues  are  paid  into  the  reserve.  If  at  the  time  of 
the  organization  of  the  sick  benefit  association  the  estabUshment  ha. 

IS  K  ?  '  %  '/  ""^^  °^^'"  ^'^  "'^  ^^'^^^  I«  addition  annual 
contributions  of  from  5  per  cent  to  10  per  cent  of  the  payments  o 
employers  and  employees,  according  to  the  constitution  of  the  asso- 
ciation, and  also  the  annual  surplus,  are  turned  into  the  reserve  The 
contnbutions  must  be  paid  until  the  reserve  is  equal  to  the  expenses 
of  the  association  for  the  preceding  two  yeai^,  and  they  are  renewed 
as  soon  as  the  reserve  falls  below  that  level.  Voluntary  contribuirons 
axe  disposed  of  according  to  their  designations,  in  alienee  of  wS 
they  go  mto  the  reserve.  wjutu 

Current  expenditures  are  paid  from  the  operating  funds   and  th« 
reserve  IS  used  when  the  operating  fund  is  e^iaust:d      The  r^e" " 

and  to  save  it  from  msolvency  in  case  of  an  unexpectedly  increased 
demand,  such  as  an  epidemic  or  a  catastrophe  involving  mTj  em 
P  oyees.    It   IS  further  provided    that  when  more   than  one-hSf 

general  meeting  of  the  association  must  be  called  for  the  purpose  of 

reduSn?t£\'"%T'  •!!•'">  ^"^""^^  ^^^  contributfonTor  by 
reducing  the  benefits  witlun  the  hmits  estabUshed  by  the  law  or  by 

other  means  not  contrary  to  the  law.  ^ 

In  case  of  temporary  embarrassment  of  the  fund  the  employer 
mus  advance  the  necessary  money  as  a  noninterest-bearing  lo'an' 
XtAhZr  ''^''^ir^^oy-^  "'^'^^^  •"  "'^^  association  tL  loan 
Sonf  T^  ^    ^"Ti  '^'"^  ^'"''"^''^  *°  '^^^  respective  contribu- 

ness,  such  loans  are  hmited  to  a  sum  equal  to  the  revenues  for  three 


f 


2252 


BEPOBT  OF  THE  COMMISSIONER  OF  LABOR. 


months.    All  revenues  of  the  a.ssociati(.n  must  be  used  in  hquulat- 
ing  this  loan  before  any  payments  are  made  into  the  reserve. 

In  case  permanent  increase  of  dues  Incomes  necessary  the  associa- 
tion, in  general  meeting,  may  raise  the  contributions  of  the  employers 
and  employees  above  the  normal  limits;  but  the  same  proportion  of 
2  to  3  must  be  preserved,  and  the  employer's  share  must  not  exceed 
2  per  cent  of  the  employee's  wages.    To  be  effective  this  measure 
requires  the  approval  of  the  local  labor  insurance  comnussion      If  the 
sick  benefit  association  should  fail  to  take  such  steps  us  are  here  out- 
Uned  the  commission  may  order  them  on  its  own  mitiative.    What 
further  measures  should  be  taken,  ifafter  aU  this  is  done  the  revenues 
of  the  association  still  remain  insufficient,  is  not  indicated  in  the  law 
except  in  the  provisions  about  the  liquidation  of  the  association. 
The  provision  of  the  plan  of  1906,  that  the  employer  meet  the  excess 
of  the  charges  on  the  association  above  the  regular  revenue,  has  been 
eliminated  from  the  bill.     On  the  other  hand,  the  reduction  of  the 
contributions  of  the  employers  and  employees  below  the  legal  mini- 
mum is  permitted  whenever  the  reserve  exceeds  the  required  hnut. 
Self-government  is  Umited  by  the  rights  of  the  employers  and  by 
governmental  control  and  regulations.  The  organs  of  adnumstration 
are  the  general  committee  and  the  board  of  directors.    The  members 
of  the  general  committee  are  selected  by  and  from  the  general  niember- 
ship  of  the  association.    The  number  of  such  committeem(.n  shall  not 
exceed  100,  and  when  several  estabUshments  are  united  in  one  associa- 
tion the  number  of  committeemen  must  be  proportioned  to  the  number 
of  members  in  the  association.     An  important  provision  makes  the 
chairman  of  the  general  committee,  with  a  casting  vote  in  case  of  a 
tie,  a  representative  of  the  employer,  or  of  the  employers  by  mutual 
a<Teement.    The  employer  and  members  of  the  association  may 
appeal  from  the  decisions  of  the  general  committee  to  the  local  labor 
insurance  commission.     The  executive  work  of  the  association  is  per- 
formed  by  the  board  of  directors,  consisting  of  an  odd  number,  partly 
elected  by  the  membership  of  the  association  and  partly  appomted  by 
the  employer  or  employers,  for  a  period  of  three  years;  the  number  of 
the  elected  directors  exceeding  that  of  the  appointed,  by  one.     iUe 
appointed  directors  need  not  be  members  of  the  association,  and  no 
quaUfications  are  stated.     The  elected  directors  m.ist  be  meml.ers  o 
the  association,  of  either  sex,  not  under  25  years  of  age,  never  convicted 
of  crime  or  for  avoidance  of  miUtary  duty,  not  bankrupt,  not  under 
indictment,  nor  under  poUce  supervision,  etc.    Committeemen  and 
directors  may  absent  themselves  from  work  for  the  purpose  of  attend- 
ing to  their  official  duties  and  may  n..t  be  fined  or  discharged  for  such 
absence.    The  directors  may  be  paid  a  compensation,  if  provided  by 
the  constitution.    The  board  selects  its  chairman  and  vice  chairman 


CHAPTER  IX.— WOBKMEk's  INSURANCE  IN  RUSSIA.         2253 

from  its  membership,  though  the  constitution  may  provide  that  the 
chairmanship  shall  be  intrusted  to  the  employer  or  his  representative. 
The  executive  work  performed  by  the  board  includes  the  determina- 
tion of  the  sickness  the  calculation  of  the  earnings  of  the  members,  and 
the  granting  of  all  benefits.     Its  decisions  may  be  appealed  to  the 
general  committe^.     It  prepares  the  annual  financial  report,  wliich 
mus    be  audited  by  a  special  auditing  committee  and,  after  approval 
by  the  general  committee,  be  forwarded  to  the  local  labor  insurance 
commission     The  general  committee  may  at  any  time  order  an 
auchtmg  of  the  finances,  begin  proceedings  for  removal  of  the  director 
or  bnng  cnmmal  charges  for  malfeasance  in  office.     The  function^ 
of  a  treasurer  are  intrusted  to  the  employer,  or  where  there  is  more 
than  one  to  one  of  the  employers  selected  by  them.     He  keeps  the 
funds,  cash  as  well  as  securities,  and  may  turn  tliem  over  for  safe 
deposit  to  a  credit  institution,  the  cost  being  charged  to  the  associa- 
tion.    Ihe  funds  necessary  for  current  expenses  must  be  invested  in 
government  or  other  bonds  designated  by  the  Government.     Ail  pay- 
ments due  from  employees  are  retained  by  the  employee  from  the 
pay  and  paid  together  with  the  contributions  of  the  employers,  and 
for  failure  to  do  so  the  employee  become  personally  Hable  for  the 
amount  and  are  fined  to  the  extent  of  1  per  cent  for  each  month  of 

t.i!^*!}^^'■''  "^  *  manufacturing  establishment  is  temporarily  sus- 
pended the  association  may  also  temporarily  suspend  its  activity 
without  going  into  hqmdation,  and  the  property  and  books  of  the 

T'rT^^T  *°  t^?*  ^°  «*«ordance  with  regulations  contained  in 
the  constitution.  If  the  establishment  goes  out  of  business  the 
^ociation  must  wind  up  its  affairs,  and  after  all  obligations  have 
been  paid  the  assets  are  to  be  paid  into  the  imperial  funds  existing  for 
manufacturing  mdustry  and  for  the  mining  industry.  If  one  associa- 
tion is  joined  to  another  because  of  decrease  in  its  membership,  the 
assets  are  transferred  to  the  latter  association.  One  association  may 
be  joined  to  another  by  the  local  labor  insurance  commission  if  it  k 
unable  to  straighten  out  its  financial  difficulties,  or  is  threatened  uith 
insolvency.     If  the  action  of  an  association  is  judged  to  be  contrary 

Irovaforr  ,\"'  °^'"  '*  "^^'  ""'  ^'"^^'l  -^  hquidated  upS 
approval  of  the  labor  insurance  council. 

The  associations  are  directly  subject  to  the  control  of  the  local  labor 
msmance  commissions,  wlxich  have  only  a  small  representation  o 

in"  rr  '"'^  rP'"-''^"  '"'""^  ''''''  ^'■^''^  *!»«  '^^^^  lab^r 
insurance  council.. 

^a^itt?'  ?°'°?^^'°'^ /'»^  the  final  decision  in  the  questions  of  or- 
gamzation  of  individual  or  pint  associations;  it  may  relieve  anv 
employer  from  the  obligations  of  the  law,  but  an  appeal  miy  be  taSa 


2254  REPORT  OF  THE  COMMISSIOBfEB  OF  lABOB. 

to  the  councU.  The  commission  approves  the  constitutions  and  may 
order  changes.  It  keeps  a  list  of  associations  existing  »mder  Us  juns- 
Son  l!  may  order  the  liquidation  of  a  fund  (w.th  the  approval  of 
the  council)  or  join  one  fund  to  another.  It  must  approve  and  may 
order  an  increase  of  the  contributions  over  that  estabhshed  by  the 
faw  It  may  hear  appeals  and  cancel  any  resolution  adopted  by  the 
ilral  committee  of  an  association.  If  the  general  meeting  or  the 
board  votes  a  sum  of  money  which  seems  to  the  employer  (who  acts 
as  trealuLr)  contrary  to  the  law  or  constitution,  he  may  appeal  to  the 

commission  within  three  days.  „„j„rtflkpn  bv 

The  auditing  and  revision  of  the  accounts  may  be  undertakeri  by 
the  ttory  inspectors  on  their  own  initiative,  ^y  -de.s jf  tl^^^^^^^^^^ 
mission  or  bv  the  civil  governor  through  his  agents.     The  results  are 
Zorted  to  the  civil  governor,  who  forwards  them  to  the  commission, 
o  wh  ci  t  is  a  memler,  for  consideration  and  action.     When  -t^ 
contrary  to  the  law  or  the  constitution  are  discovered,  the  commis- 
Tn  olers  the  correction  of  such  actions  within  a  specified  tmie  and 
it  mav  remove  the  chairman  or  the  board  of  directors  for  the  same. 
ThrJivTgovernor  has  authority  to  remove  the  chairman  or  the 
director    not  only  for  actions  contrary  to  the  law  or  the  constitution 
but  also  tracts  contrary  to  public  peace  and  safety,  reportmg  such 
action  to  the  commission  withm  two  weeks.    The  vacancies  thus 
crelted  must  be  filled  in  the  same  order  ^  the  origina  officers  were 
:Lctd,  TnVif  these  offices  are  not  filled  within  a  specdied  time^h^ 
commission  may  temporarily  intrust  the  admmistration  of  the  asso- 
ciation to  the  employer  or  to  a  person  designated  by  him. 

OLD-AGE  AND  IHVALIDrrY  INSORANCE 

What  has  been  done  in  Kussia  to  estabUsh  old-age  and  invalid  pen- 
siorttoughlegislation  is  almost  exclusively  limited  to  government 
employed  Bu!  in  view  of  the  many  industrial  and  commercial  enter- 
empioye^.  ,  j  ^„  the  Russian  Government  this  field  is 

prises  owned  ana  operaieu  vy  k"^  .^   ,  ,     .  ,i  „  -aiirnnHs 

not  an  inconsiderable  one,  including  as  it  does  most  of  the  railroads 
many  mines  and  metallurgical  establishments,  P"'^ting  ^^ce  '  and 
navy  yards.    Efforts  for    protection  of  employees  against  old  .age 
have  iVbeen  made  by  the  provincial  governments  (zemstvos),  but 
these  concern  professional  employees  mainly.     As  against  these  pub- 

rcemDloyeTs   workmen  in  private  establishment «,  except  railroad 
employts';Tavr  been  provided  for  at  all  through  legislation, 

and  private  efforts  are  almost  as  meager.  t  t>  t^r.  th^ 

The  earliest  pension  legislation  dates  back  to  the  tmie  of  Peter  the 
Grla^  but  wasLended  for  navy  employees  only.  It  was  enacted  on 
VZa'rv  13  (24)  1720.  On  June  9  (20),  1728,  that  legislation  was 
SSd  to  the'axmy.  The  first  pension  act  referring  to  industrial 
employees  was  promulgated  October  28  (November  8),  1738,  and 


CHAPTER  IX.— WORKMEN 'S   INSURANCE   IN   RUSSIA.  2255 

applied  to  some  state  factories.  All  this  legislation  included  only 
ca^s  due  to  invahdism  or  total  disability  caused  by  sickness  la 
reorganizing  the  system  of  army  pensions,  Katherine  II  was  the  first 
to  introduce  the  old-age  pension  for  a  definite  length  of  service  On 
June  22  (July  3)  1797,  old-age  pensions  for  workmen  emplo^eSn  the 
state  mines  of  the  Kolyvan-Voskresensk  mining  district  were  intro- 

?^,T  ;Z  !J'  *"■  ^^•"^^y-fi^^  years  of  service,  and  on  March  9 

(21),  1804,  these  pensions  were  extended  to  the  employees  of  the  state 
factories  at  Olonetz.  A  general  pension  law  for  military  and  civU 
employees  was  promulgated  on  December  6  (18),  1827,  which  with 
minor  modifications,  is  now  in  force.  ' 

The  modern  era  in  the  history  of  pensions  on  an  insurance  basis  for 

March  8    20),  1861,  establishing  the  miners'  fraternities  in  the  state 
mines  and  metallurgical  establishments,  already  mentioned  in  connec- 
lon  with  sickness  msurance.     Their  activity  was  insignificant  until 
ine  issue  of  the  temporary  regulations  of  AprU  9  (21)    1881      Thev 
were  reorganized  by  the  law  of  May  26  (June  7),  1893.     The  estab- 
lishment of  pension  funds  for  employees  of  private  railroad  compa- 
nies was  ordered  by  the  law  of  May  30  (June  11),  1888.     On  June  3 
do)    1894,  a  law  was  approved  providing  for  old-age  pensions  for  the 
employees  of  the  state  railroads.     This  was  extended  and  amended 
by  the  law  of  June  2  (15),  1903  (the  same  date  as  the  workmen's  com- 
pensation act  for  factories,  mines,  and  metallurgical  establishments), 
which  IS  now  ,n  force.     The  employees  of  the  government  printing 
office  were  provided  with  a  pension  fund  by  the  law  of  June  3  (15) 
1894.     On  January  1  (13),  1900,  a  pension  fund  was  established  for 
the  vast  army  of  employees  of  the  government  spirit  monopoly.     On 
January  27  (February  9),  1903,  a  law  was  passed,  and  amended  on 
Apr.     8  (Maxch  1)    1903,  ordering  the  establishment  of  pension  funds 
n  all  the  industrial  establishments  of  the  ministry  of  the  navy.     In 

^teTsSLl  *'^^^  ''^^''^"^^  '"^  '^-  ^^^^"-^"^^  -^"^  ^"-'l^-e 

STATE  MINEES'  BBOTHESHOODS. 

luilttrrf  Tf-  r*'""  ^°'"  ^'^P'^y^^^  of  the  state  mining  and  metal- 

eZtilR!  ,"'"'%"'?/'"  *^*  ^•"P"'*^"^  -'l  «-V«tematic 
effort  in  Russia  to  provide  old-age  and  invalid  pensions  for  industrial 

ceeu  ^0,000      Its  organization  dates  back  to  1861,  though  the  activity 

serfs  ifistrth"'  rr^  ?^^^"-  ""'''''  *"«  emancipation  of  tte 
utiL  f  if  '  ,  ,  f  **'  ^''''^  *°^  metallurgical  establishments 
chanl^l  ,t  """i-.  "'^°'';  P"'  '^"  ''f  March  8  (20),  1861,  which 
HshSt  of  r"f '"  ?^'^'}^^''  «°ntract,  also  ordered  the  estab- 
ashment  of  employees'   brotherhoods   itovaruJickestvo).     The  func- 


2256 


REPORT   OF   THE   COMMISSIONER   OF  LABOR. 


tions  of  the  brotherhood  were  very  broad  and  included  care  for  the 
workers  in  case  of  sickness,  old  age,  or  disabihty  because  of  acci- 
dents, provision  for  their  widows  and  orphans,  improvement  of  the 
morals  of  the  working  population,  and  furtherance  of  amicable  relar 
tions  between  the  workers  and  the  administration.  The  latter  was 
required  to  further  the  ends  of  the  brotherhood  by  establishing 
free  schools  and  hospitals,  employing  physicians,  and  subsidizing  the 
relief  funds  wliich  were  ordered  to  be  established  in  connection  with 
each  brotherhood. 

The  minister  of  finance,  under  whose  jurisdiction  the  state  miners 
were  prior  to  1873,  was  ordered  to  issue  detailed  regulations  in 
regard  to  the  activity  of  these  relief  funds,  but  none  were  issued  for 
some  20  years,  and  great  variety  existed  in  these  funds  before  that 
time.  On  April  8  (2)  1881,  i.  e.,  about  eight  years  after  these  miners 
had  been  transferred  to  the  Ministry  of  State  Domains,  temporary 
regulations  were  promulgated;  they  were  confirmed  and  made 
permanent  on  May  26  (June  7),  1893,  and  are  still  in  force. 

The  relief  funds  of  these  brotherhoods  combine  tlie  functions  of  a 
pension  fund,  sick  relief  fund,  funeral  benefit  society,  and  savings 
and  loan  association.  The  sick  relief  activity  of  the  funds  has 
already  been  mentioned  in  connection  with  the  subject  of  sickness 
insurance.  Pensions  to  superannuated  or  invalid  members  of  the 
brotherhood,  their  widows,  and  children  represent  the  most  important 
branch  of  this  activity. 

The  regulations  governing  these  benefit  funds,  as  adopted  in  1881 
and  slightly  modified  in  1893,  are  as  follows :(") 

All  workers  and  office  employees  over  18  years  of  age  who  are 
engaged  for  at  least  a  year  are  members  of  the  brotherhood  and  of 
the  relief  fund.     With  other  employees  membership  is  optional. 

The  sources  of  income  of  the  fund,  established  by  the  law  of  1861, 
consist  of  (1)  deductions  from  the  earnings,  2  to  3  per  cent  (all 
funds  except  one  making  deductions  of  bnly  2  per  cent),  (2)  contribu- 
tions from  the  establishment  equal  to  the  total  sum  of  deductions 
from  the  workers'  earnings,  (3)  fines  imposed  upon  the  employees, 
and  (4)  other  accidental  sources.  In  cases  of  necessity  the  general 
fund  of  the  brotherhood  may  be  called  upon  to  furnish  the  necessary 
sums. 

Full  old-age  pensions  are  granted  after  thirty-five  years  of  employ- 
ment and  amount  to  one-half  the  average  wages  or  salary  for  the  entire 
period.  In  a  few  occupations  the  li  armful  nature  of  the  work  is 
taken  into  consideration  in  shortening  this  period.  Thus  each 
year  spent  in  dry  grinding  of  steel  blades  counts  for  three  yeairs  of 

(a)  Otvietstvennost  predpriminatelei  za  uviochia ismert  rabochikh,  V.  P.  Litwinov- 
Falinskii,  1900,  p.  264.     Kaasy  Gornorabochikh,  G.  Th.  Tigranov,  189«,  p.  9. 


CHAPTER   IX.-WOEKMEN'S   INSURANCE  IN   RUSSIA.  2257 

service.     But  pensions  of  smaller  amounts  must  be  granted  when 

S:  ""T'r":= '''''  ^"'^■^'y-fi-  -^  1-  than  ^tyJZ'"^: 

tlurd;  and  after  twenty  to  thirty-five  years  of  employmentTe  La^" 
of  the  average  annual  earnings.  F'^yment,  one-half 

In  case  of  deatli  the  widow  havin<^  no  childr«.n  .,n,i^,  i  c  ,       " 

receives  until  death  or  remarriage  ^netWrdnf  7  ^^"'^  **^  '^* 

the  husband  would  have  biTStitW      tJ  f    l^  ''^'^'°°  *^  "^'"^^^ 
16  yea.  of  age.she  recei;^Tne!Sh  Lit  It,  ^  ^o^tff  oTtt 

same  rates  apply  to  child^n  of  IV  f  *^^  P*''"'*'°-     ^he 

does  not  r^Z\Z  ptltn  ei^ta^  Tf^Z^'Z  T'' 

= r  reeri  lo^etirr ^  rr  '^-^^ --  i?  ti  fi 
incapacitated  i^^^^::^^  ;:s^:t:i;::,  ^-^"^ 

only  untd  the  completion  of  the  sixteenth  y^ar      In  eJ^"'J*^'""r 
from  one  state  establislmient  to  another  the  voa^  «f  '^•"* 

former  establishment  are  count^rl   II!      •     ^         ^  ^'"'^"^  '■»  *'»« 

of  the  last  establisW^t    andlhetc^^^^^^^^   ^H  T""  '^  *^^  '"^^^^ 
funds  concerned.  accounts  settled  among  aU  the 

The  fund  takes  charge  of  the  cases  of  sickness  aft^r  th. 

-et4^he  ci^  on;erm\i:iTp:;i     letS^^^^^^^^  ^""1 

dunng  the  first  two  months  namelv  7n  ,,^°^'?*^*1"*'  *«  those  paid 

with  dependent  relatives    one-lhrrdnf,       ""^^^  "'^'^  "'  ^'•^°^«' 
man  without  chil.lren    o^eTalf  of  h,  '''^'^\  ^^  '^'  •"^^"^d 

man  with  children,  tw^tZtof  ll  wagr^'  ^°'  *«  *^«  ^-^^ 

beirbrfr  rvii  trnri  'r"^--  ^^  "^-^^  *^-  *»  p- 

which  must  not  excld  on 'i^^rT^'  ^^  '""^^'^  *  lumpsum, 


2258 


KEPORT   OF   THE   COMMISSIONER   OF   LABOR. 


of  that  sum.  Other  benefits  may  be  granted  in  cases  of  great  need 
not  to  exceed  one  month's  earnings,  if  approved  in  eacli  case  by  the 
general  members'  meeting. 

The  fund  is  also  authorized  to  receive  savings  of  the  members,  for 
which  it  may  pay  interest  not  to  exceed  4  per  cent  per  annum,  and 
grant  loans  from  its  free  funds,  upon  which  it  must  charge  a  higher 
rate  of  interest  than  it  pays  upon  the  deposits  of  savings. 

The  administration  of  the  affairs  of  the  funds  and  the  brotherlioods 
is  intrusted  to  the  general  meetings  of  members  and  a  council  (prikaz) 
consisting  of  a  chairman  appointed  by  the  administrators  an<l  four 
members  elected  by  the  membersliip.  Thus  the  management  of 
the  funds  is  practically  in  the  hands  of  the  membership. 

The  financial  organization  is  not  based  upon  scientific  computa- 
tions, the  premiums  and  pensions  being  entirely  independent  of  each 
other.  The  reserves  of  the  funds  have  been  rapidly  accumulating, 
but  as  the  largest  pensions  are  not  due  until  after  35  years'  member- 
ship in  the  funds,  they  evidently  have  not  yet  been  called  ujion  to 
meet  their  heaviest  obligations.  The  accumulations  of  all  the  funds 
on  January  1  (13),  1881,  amounted  to  396,344  rubles  ($204,117);  on 
January  1,  1887,  to  660,268  rubles  ($340,038);  on  January  1,  1895,  to 
1,130,139  rubles  ($582,022);  and  on  January  1,  1007,  to  2,042,762 
rubles  ($1,052,022). 

The  length  of  service  of  the  membership  of  these  funds  is  shown  in 
the  following  table :  " 

MEMBERSHIP  OF  THE  STATE  MINERS'  BROTHERHOODS  ON  JANUARY  1,   1907,   BY 

LENGTH  OF  SERVICE. 

[Source:  Ministerstvo  Torgovli  i  Promyshlennosti.    Ob  obespechneii  rabochikh  na  sluchai  botiezni.J 


Length  of  service. 


Under  10  years 

10  and  under  15  years 
15  and  under  20  years 
20  and  under  25  years 
25  and  under  30  years 
30  and  under  35  years 
35  years  and  over 

Total 


Meml>ers. 

Number.    Per  cent. 

14,339 

73.2 

2,183 

1L2 

1,254 

6.4 

1,027 

5.2 

417 

2.1 

325 

L7 

44                 .2 

19,589 


100.0 


The  figures  in  the  next  table  indicate  that  a  laige  number  of  em- 
ployees avail  themselves  of  the  partial  pensions  after  10  years  of 
employment.  The  number  of  pensioners  on  January  1,  1907,  was 
3,399,  who  received  an  aggregate  pension  of  $61,574  annually,  or 
$18.12  per  annum.  According  to  the  relation  of  tlie  pension  to  earn- 
ings, these  3,399  pensioners  were  distributed  as  follows: 


CHAPTER  IX. workmen's   INSURANCE   IN   RUSSIA.  2259 

NUMBER  AND  PER  CENT  OF  PENSIONERS  AND  TOTAL  AND  AVERAGE  PENSION*? 
PAID  BY  THE  STATE  MINERS'  BROTHERHOODS  ON  JANUARY  1,  1907  BY  RITE  OF 
PENSION  PAID.  '         '  ^^   KAlJs.  UJ. 

ISource:  Ministerstvo  Torgovli  i  Promyshlennosti.    Ob  obespechneii  rabochikh  na  sluchai  bolieaii.] 


Rate  of  pension. 


Pensioners. 


Pensions. 


One-sixth  of  the  wages. . 
One-fifth  of  the  wages . . . 
One-fourth  of  the  wages . 
One-third  of  the  wages. . 
One-half  of  the  wages . . . 


Total. 


Number. 


8S9 
779 
538 
518 
705 


Per  cent. 


Total 
amount. 


26.2 
22.9 
15.8 
15.2 
20.8 


o3,399       a  100.0 


$8,839 
10,219 
7,806 
10,001 
24,709 


Average 

per 
anniun. 


t9.94 
13.12 
14.51 
19.31 
35.05 


61,574 


18.12 


«  This  total  is  not  the  correct  sum  of  the  items;  the  figures  are  quoted  as  found  in  the  original  report. 

The  total  income  of  these  funds  amounted  in  1906  to  '^93  378 
jp  rubles  ($151,090),  of  which  109,915  rubles  ($56,606),  or  37.5  per  cent 
IB  were  contributed  by  the  members;  95,410  rubles  ($49,136),  or  32.5  per 
"  cent,  by  the  management  of  the  mines  and  factories;  the  interest  on 
investments  was  52,662  rubles  ($27,121),  or  17.9  per  cent;  interest  on 
loans  23,987  rubles  ($12,354),  or  8.2  per  cent,  and  miscellaneous  reve- 
nues amounted  to  11,404  rubles  ($5,873),  or  3.9  per  cent.  The  expend- 
itures for  the  same  year  amounted  to  193,032  rubles  ($99,411),  of 
which  the  larger  share  was  spent  for  pensions,  108,696  rubles  ($55  978) 
or  56.3  per  cent;  of  this  sum,  80,560  rubles  ($41,488),  or  41.7  percent, 
was  paid  to  members  of  the  brotherhood  and  28,136  rubles  ($14,490),' 
or  14.6  per  cent,  for  pensions  to  widows  and  orphans.  Temporary 
benefits  for  sickness  claimed  59,986  rubles  ($30,893),  of  which  onlv  a 
small  share,  7,646  rubles  ($3,938),  was  used  for  medical  help,  as  the 
law  grants  such  necessary  help  to  the  employees  gratuitously.  .  Mis- 
cellaneous expenses  amounted  to  24,350  rubles  ($12,540). 

The  loan  operations  of  the  brotherhood  are  considerable;  637,498 
rubles  ($328,311)  were  loaned  in  one  year,  and  628,149  rubles 
($323,497)    were   repaid.     The   savings    deposits    were   very    much 

.ri!!;  ^^'^^!^  '"^^^'  ^'^^'^^^)'  ^^^  ^^^  withdrawals,  13,110  rubles 
Kmj52),  nearly  equaled  that  sum. 

EAILROAD  EMPLOYEES'  PENSION  FUNDS. 

The  army  of  railroad  employees,  which  is  rapidly  growincr  in  Rus- 
sia has  been  enjoying  for  the  last  two  decades  a  better  provision  for 
ow-age  and  mvalidity  insurance  than  any  other  body  of  workmen 
and  salaried  employees  m  Russia.  This  is  particularly  true  of  the 
state  railway  employees;  and  as  the  Russian  Government  owns  and 
operates  over  two-thirds  of  the  entire  railway  system  of  the  country, 

T2T  T?''^^  ""^  ^^^  '^^^^^  employees  enjoys  the  benefits  of  the 
system.     But  pension  funds  are  obligatory  for  the  private  railway 


4 


2260 


BEPOET  OF   THE   COMMISSIONER  OF   L.\BOR. 


employers  as  weU      The  law  demanding  the  establishment  of  such 

30  (June  11)    1888,  six  years  before  the  law  of  June  3  (15)    1894 
establishing  the  central  pension  fund  for  the  state  railway  i^'^'s' 
The  folowmg  table  shows  the  development  of  state  an^Sat^^ 
railways  m  Russia  from  1880  to  1905:  ^ 

MILEAGE  OF  STATE  AND  PRIVATE  RAILWAYS  m  RUSSIA,  rm  TO  1905   ' 
ISourco:  Ministerstvo  Putei  Soobshchenia.    Otdiel  Statistiki  i  Kartoerafii     ^f^ti^h  hi-, 

terstvaputeisoobshchenia     Vypusk,  f^Jo.'j  ^^^^"^^^^^^^  ^'•o^nik  minis- 


Year. 


Statu  railways. 


Private  railways. 


Miles. 


18S3.. 

1885.. 

1890.. 

1895.. 

1900... 

1905... 


43 

2,086 

6,19« 

14,429 

22,407 

25,618 


Per  cent 
of  total. 


0.32 
12.98 
32.71 
62.98 
68.03 
69.50 


Miles. 


Per  cent 
of  total. 


13, 571 
13,990 
12, 744 
8,480 
10,529 
11.241 


Total 
miles  of 
railwiiy. 


99.68 
87.02 
67.29 
37.02 
31.97 
30.50 


13  614 
16.076 
18. 940 
22.909 
32.936 
36.859 


earTy'as^Ts.r^''^^    w'^  ^"^  '.^"'""^  "'"P^^J'^^^  ^'"^  established  a. 
earlj  as  1858  on  the  Warsaw-Vienna  Railway.     Other  Diivate  rr>,., 

pames  established  funds  within  the  next  decade  bTsso  "«  h 
pension  funds  existed  in  14  lines  operati.ig  over  5,500  "versts  (3  646 
mdes),  which  w^  nearly  one-third  of  the  raUway  ^eaje  £  Ru;!i 
These  pension  funds  were  not  ba.ed  upon  strictLuran^e  ^indZ' 
They  were  b^ed  upon  length  of  service  of  the  member  and  h  slw 
at  the  time  of  separation  from  the  service,  and  were  to  be  Wl  to  Z 
membei-s  of  the  fund,  their  widows  and  orphans.    Ther^wS L  2 

this  lack  of  adjustment  very  soon  became  noticeable,  so  that  ma^y  of 
«iese  funds  went  into  liquidation,  whUe  in  other  casei  such TiqiSion 
was  forced  upon  them  by  the  order  of  the  Government.  ''^"'^**'^" 
Ihe  first  effort  to  form  a  pension  fund  on  strict  scientific  insurance 
principles  was  made  in  1877  by  the  Kiew-Brest  line,  now  a  paTof 
the  Southwestern  Railway  System.  Two  smaller  rai  wTy  compali^ 
organized  similar  funds  in  1885.  Other  railways  de^red TfoZ 
this  example  but  were  hampered  by  the  lack  of  scientific  statSca^ 
data  upon  which  to  base  their  rates.    The  Ministry  of  Ways  of  Com 

r^[n,!     ^T .      '"'^^T^^-     ^^  1881   a  plan  wa^  presented  by  the 

Se7;u'"thaTa  '""'r^'^'r  f  *^^  '"'"'^^^^  "^  finance,^', 
pointed  out  that  a  umform  system  for  all  railroads  might  prove  too 

t' ™rof ''th'^^'°^  *^  less  pn,sperous  roads,  ai.'Cl^of 
tue  guarantee  of  the  mterest  on  bonds  and  the  dividends  bv  the 
state  treasury,  mdirectly  a  burden  upon  the  latter.    The  niLter 


CHAPTEB  IX. workmen's  INSURANCE   IN   RUSSIA.  2261 

therefore    suggested    that    the    Government   limit   itself    to    issuin^r 
general  rules  in  regard  to  establishment  of  individual  pension  funds'* 
In  view  of  this  attitude  of  the  Ministry  of  Finance,  the  plan  for  a  cen- 
tral pension  fund  was  abandoned,  and  the  Ministrv  of  Ways  of  Com- 
munication applied  itself  to  the  elaboration  of  plans  for' individual 
pension  funds  for  each  railroad  company.      It  was  felt  at  the  very 
beginning  that  many  of  the  railroad  companies  were  too  small  to  have 
their  own  pension  fund,  since  with  the  small  number  of  employees  it 
would  be  difficult  to  apply  any  annuity  tables.    It  was  decided  therefore 
to  permit  the  organization  of  a ''  saving  and  relief  fund  "  where  a  pension 
fund  was  not  practicable,  and  two  separate  drafts  were  prepared  for 
these  two  types  of  organizations.     They  were  presented  to  the  State 
Councd  on  December  22,  1887  (January  3,  1888),  and  were  approved 
by  the  Emperor  on  May  30  (June  11),  1888.     By  a  decree  of  the  same 
date  each  private  railway  company  is  required  to  establish  either  a 
pension  or  savings  fund;  the  pension  fund  is  considered  preferable 
but  the  organization  of  a  savmgs  fund  may  be  pennitt^,  under 
special  circumstances,  by  the  imperial  authority  on  recommendation 
of  the  Mmistry  of  Ways  of  Communication.    These  funds  are  required 
to  be  organized  in  conformity  with  the  standard  rules  approved  on 
the  same  date,  and  the  existing  funds  must  be  reorganized  to  con- 
form with  them.     Each  fund  wa^  required  to  have  it^  own  constitu- 
tion and  by-laws,  provided  they  were  in  agreement  with  the  "general 
rules"  and  approved  by  the  ministry. 

The  general  provisions  for  the  establishment  of  the  funds  of  either 
type  may  be  thus  briefly  summarized:  The  basis  of  both  funds  con- 
sists of  enforced  savmgs  of  the  employees,  6  per  cent  of  the  wages   10 
per  cent  of  the  premiums  given  to  the  employee  for  efficient  ^rvice 
and  after  each  promotion  in  salary,  the  entire  excess  of  the  new  over 
the  old  salary  for  three  months;  and  additional  payments  from  the 
funds  of  the  railway  company,  not  to  exceed  50  per  cent  of  the 
employees'  contributions,  both  of  which  are  credited  to  the  individual 
accounts  of  the  members,  and  in  addition  various  other  minor  sources 
of  income.     From  these  credits  benefits  are  granted  to  the  members 
at  the  time  of  their  separation  from  the  service,  or  in  case  of  their 
death  while  m  service,  to  the  widow  and  orphans.     In  the  case  of  the 
savings  and  relief  funds  the  benefits  are  in  the  form  of  a  lump  sum- 
in  the  case  of  the  pension  funds  the  benefits  may  be  either  in  the 
nature  of  ump  sums  or  in  the  form  of  pensions  (annuities),  depending 
upon  the  length  of  service  or  conditions  of  separation.     The  amount 
of  the  benefits,  whether  lump  sums  or  pensions,  depends  upon  the 
length  of  the  service,  the  degree  of  disability,  and  also  the  amount 
credited  to  the  employee  in  the  fund,  while  in  addition  to  that,  in 
tne  case  of  pensions,  the  age  affecting  the  probabiUty  of  Ufe  of  the 
pensioner  is  also  taken  into  consideration. 


2262 


EEPOET  OF  THE  COMMISSIONER  OF  LABOR. 
PRIVATE   RAILROAD   PENSION   FUNDS. 


These  funds  may  be  established  either  by  one  railway  company  or 
by  several  companies  combining  for  (hat  purpose.  The  constitution 
and  by-laws  of  each  fund  must  be  prcj.ared  by  the  board  of  director 
of  the  railway  company,  adopted  by  the  stockholders'  meeting,  aad 
then  forwarded  to  the  minister  of  ways  and  communication  ^,r  his 
approva  m  conjunction  with  the  minister  of  finance  and  the  state 
comptroller. 

All  persons  permanently  employed  by  the  railway  company,  except 
the  officers,  are  required  to  join  the  pension  fund.  Out  of  a  total  of 
711  922  employees  of  the  railroads  (both  state  and  privately  owned) 

ers    StTqt"  '''t\'''^''''  "'  ''•'  P^^  ^^"^^  ^^'^  -"^--  day  l-^or- 
ers    d7,397    or  5.3  per  cent,  temporary  employees,  and  386,557,  or 

64.3  per  cent,  permanent  employees. 

The  sources  of  revenue  of  the  pension  funds  are  as  follows: 
Contributions  of  the  members,  namely,  entrance  fees  deducted 
from  the  salaries  of  employees  at  the  time  of  their  appointment  the 
amount  to  be  determined  by  the  constitution  of  each  fund;  monthlv 
deductions  of  6  per  cent  from  the  earnings  of  the  employees  no  salary 
bemg  considered  as  above  2,400  rubles  ($1,236)  for  the  purpose  of 
this  provision;  10  per  cent  deductions  from  the  si)ecial  premiums 
and  awards  granted;  m  case  of  increases  of  salaries,  the  difference 
between  he  new  and  old  salary  for  the  period  of  three  months;  and 
additional  voluntary  payments  of  the  members 

The  contributions  from  the  railway  company,  namely,  penalties 

mposed  upon  the  employees  by  the  company;  net  income  from  the 

sale  of  unclaimed  baggage  and  freight  after  deducting  the  accmed 

railway  charges;  payments  from  the  railway  compAny  due  to  its 

employees  and  unclaimed  for  10  years. 

The  other  sources  of  the  fund  proper  are  as  follows:  Interest  on 
deposits  and  investments;  profits  from  financial  operation;  money 
owed  by  the  fund  to  its  members  or  their  families  and  unclaimed  for 
^^•f  ^''"i  ?*^'^  contributions  and  accidental  revenues.  In 
addition  the  railway  company  may  transfer  to  the  pension  fund  the 
fo  lowing  sources  of  revenue:  Interest  upon  advance  payments  of 
salary  and  loans  made  by  the  railway  company  to  its  employees; 
rental  for  right  of  placing  advertising  matter,  and  selling  newspaper^ 
and  books  m  the  railway  stations;  ami  the  unclaimed  dividends  on 
stocks  and  mterest  on  bonds  of  the  railway  companv.  In  addition 
ttie  mmistcr  of  ways  of  communication,  in  conjunction  with  the 
mimster  of  finance  and  the  state  comptroller  may  require,  if  they 

in  f -K  ^""^'^^^^^  }^^^  ^^^  ^^ilw^y  company  pay  to  the  fund  monthly 
contributions  not  m  excess  of  one-half  the  total  income  from  the  6 
per  cent  monthly  contribution  of  the  employees 


CHAPTER  IX. — workmen's   INSURANCE   IN   RUSSIA.  2263 

The  income  of  the  pension  fund  from  these  numerous  sources  is  to 
be  distributed  as  follows: 

The  entrance  fees,  monthly  contributions,  10  per  cent  award  deduc- 
tions, and  promotion  deductions  are  all  credited  to  the  individual 
accounts  of  the  members  and  their  wives.  The  income  from  sale  of 
haggage  and  freight,  from  the  advertising  and  newspaper  privileges, 
and  the  monthly  contributions  of  the  railway  company  are  also  thus 
distributed,  provided,  however,  that  the  trainmen  membere  be  given 
a  larger  share  than  the  other  employees,  that  part  of  this  contribution 
be  used  to  guarantee  the  widows'  share,  and  that  part  of  these  con- 
tributions may  be  diverted  to  the  orphans'  fund  (to  be  spoken  of 
presently)  if  the  income  of  that  fund  be  found  insufficient.  The 
income  from  additional  payments  of  members  and  voluntary  con- 
tributions must  be  distributed  according  to  the  wishes  of  the  persona 
making  them,  or  in  absence  of  any  instructions,  according  to  the 
provisions  of  the  preceding  section.  The  income  from  interest  on 
investments  remains  in  the  fund  to  which  the  investments  belonged. 
The  income  from  unclaimed  obligations  of  the  pension  fund,  penalties, 
interest  upon  advance  payments  and  salaries,  unclaimed  payments  of 
railroad  companies,  and  unclaimed  interest  and  dividends  goes  to 
form  a  special  orphans'  pension  and  relief  fund.  Profits  from  finan- 
cial operations  must  be  credited  to  a  reserve  until  it  reaches  a  certain 
limit  established  in  the  by-laws,  and  the  excess  in  the  reserve  may  be 
distributed  among  the  individual  accounts. 

Both  the  members  of  the  pension  funds  and  their  families  (wives 
and  children)  acquire  the  right  to  pensions  or  lump-sum  benefits. 
The  actual  amounts  of  either  were  not  named  in  the  law  of  1888  as 
their  determination  was  left  to  the  individual  funds  on  the  basis  of 
pension  tables  to  be  elaborated  later. 

Three  classes  of  pensions  were  recognized,  ordinary,  increased 
pensions  in  case  of  disability,  and  pensions  for  injured  employees. 
The  ordinary  and  increased  pensions  must  be  determined  wdth  con- 
sideration of  the  following  factors:  The  amount  credited  to  the 
pensioner's  account,  his  age  at  entering  the  railroad  service,  the  length 
of  service,  the  normal  rate  of  growth  of  capital,  the  mortuary  tables 
for  railroad  employees,  members  of  families  of  railroad  employers, 
and  the  conditions  of  loss  of  earning  ability. 

The  right  to  the  ''ordinary  pension"  at  separation  from  service  is 
obtained  after  fifteen  years'  of  service  and  membership  in  the  fund. 
The  maximum  pension,  with  regard  to  the  accumulated  credits,  is 
obtained  after  thirty  years  of  service,  provided  the  employee  is  not  ' 
under  55  years  of  age  (in  case  of  trainmen  50  years) .  This  pension  is 
to  be  paid  without  regard  to  the  continuance  in  the  service  or  sepa- 
ration from  it.  After  receiving  such  a  pension  the  employee  is 
reUeved  from  membership  m  the  fund  and  relieved  from  any  payments. 

67725°— VOL  2— 11 49 


2264 


REPORT  OF  THE  COMMISSIONEE  OF  lABOK. 


A  member  of  the  fund  suffering  from  total  disability  as  a  result  of  a 
grave  and  mcurable  disease  requiring  constant  attendance  3  help 
after  ten  years  of  employment  and  membership  in  the  fund  a  qu   es 
a  nght  to  an  "mereased  pension."     In  case  of  disability  causeS  by 
injury  m  performance  of  duty  the  employee  shall  receive  a  pension 

to  be  of  greater  amount  when  disability  to  earn  a  Uving  is  comp  etT 
and  of  asma  ler  amount  when  the  injured  person  is  disfbled  oTy  fS 
•contmuance  m  railroad  service.  The  excess  of  the  value  of  pension 
for  mjury  over  that  of  the  pension  or  lump  sum  to  which  the  emZ^ 
would  have  been  entitled  had  he  left  the  service  on  account^  sTck 
ness  must  be  paid  by  the  railroad  company  to  the  fund.  Bo"h  ck- 
ness  and  injury  must  be  certified  to  after  medical  examination  Tnd 
the  officials  of  tMs  fund  may  demand  reexamination  annuaTy  '  itl 
pensions  are  paid  until  death,  recovei,-  from  disability,  or  bss  o 
civil  rights  m  consequence  of  a  judicial  sentence 

If  the  member  be  separated  from  the  service  before  earning  a  pen- 
sion euher  on  account  of  sickness  or  because  the  position  is  ak,Jshe 
he  IS  to  receive  ma  lump-sum  payment  the  total  amount  accrui^gt^ 
his  credit;  when  the  separation  is  induce.l  by  other  causes  onMhe 
amount  of  his  own  contributions  to  the  fund  is  returned  to  h^i 
When  the  separation,  due  to  the  causes  last  mentioned,  occuS 
after  ten  years  of  service,  the  constitution  of  the  fund  miy  prSe 

As  stated  above,  not  only  the  employee  himself,  but  hi.  widow  an.l 
children  have  a  right  to  a  pension,  so  that  the  fund  may  be  slid  t^ 
provide  not  only  for  old-age  and  invalidity  msurance  but  is  a  true 
pension  fund.  The  rights  of  the  family  are  created  b^  tSe  eath  o? 
the  member  or  the  pensioner  of  the  fund,  loss  of  civil  rights  in  const 
quence  of  a  judicial  sentence,  or  unexplained  absence  (dLppraranceT 
or  oyer  one  year.  In  the  text  following  the  term  "Iw  w"t 
intended  to  include  the  wives  of  men  of  these  two  classes.  A  pension 
must  be  paid  to  the  widow  of  each  pensioner  and  emplo vee  wChaJ 

ttZST^:tT '''''■    "T^— tof  the'peiliont  tob 
Ueteimmed  b^  the  by-laws  m  accordance  with  the  ages  of  both  the 

employee  and  his  widow,  and  the  amount  of  savinc^s 

This  pension  is  paid  to  the  widow  until  death,  loss  of  civil  rights 
reinarriage,  or  the  return  of  the  husband  from  unexplaineHl  sfnce 
2ZtJ  "'''  '^'"'"°  remarries,  ho.,  pension  is  transfted  to 

If  the  deceased  had  been  in  ser^^ice  less  than  five  years  the  widow     ' 
IS  o  receive  in  a  lump  sum  all  the  m<mey  credited  to  her,  inc  ^1^10^ 
only  the  payments  of  the  deceased,  but  all  other  additional  cre2s 


CHAPTEB  IX. — workmen's  INSURANCE  IN  RUSSIA.  2265 

:  In  case  of  death  of  an  employee  receiving  a  pension  for  injury,  his 
widow  is  entitled  to  one-half  his  pension  if  this  amount  is  greater  than 
the  widow's  normal  pension  to  which  she  would  have  been  otherwise 
entitled.  When  such  an  increased  pension  is  granted  the  railroad 
company  must  compensate  the  pension  fund  for  the  computed  value 
of  the  excess  of  this  increased  pension  over  the  widow's  normal 
pension  or  the  widow's  lump-sum  compensation. 

The  children  and  the  widow  of  a  member  of  the  fund  who  had  been 
in  service  ten  years,  or  of  a  pensioner,  acquire  a  right  to  a  pension 
under  identically  the  same  conditions.  The  amount  of  the  children's 
pension  must  depend  upon  the  salary  or  the  pension  of  the  parent, 
but  not  upon  the  amount  of  the  accumulation.  When  both  parents 
of  an  orphan  have  been  members  of  the  pension  fund  the  orphans 
receive  a  larger  pension.  The  children's  pension  is  paid  until  the  age 
of  18,  except  in  cases  of  marriage  before  that  age,  loss  of  civil  rights, 
or  the  return  of  the  parent  from  unexplained  absence.  When  the 
children  are  attending  some  secondary  school  they  may  receive  a 
pension  until  graduation,  but  not  after  the  completion  of  the  twen- 
tieth year  of  age. 

Children  of  an  employee  who  had  been  in  service  less  than  ten  years 
may  be  granted  assistance  in  the  form  of  a  lump  sum  if  the  constitu- 
tion of  the  fund  so  provides  in  accordance  with  the  earnings  of  the 
parent  and  the  means  at  the  disposal  of  the  fund. 

The  administration  of  the  pension  fund  must  be  placed  in  the 
hands  of  the  committee,  which  is  subject  to  the  administration  of  the 
railroad  company.  The  company  appoints  one-half  of  the  members 
of  that  committee  and  the  membership  elects  the  other  half ,  while 
the  president  of  the  road  is  chairman  of  the  committee.  The  cost  of 
administration  is  met  by  the  fund,  and  tlie  salaries  and  other  expenses 
must  be  approved  by  the  railroad  company.  The  current  work  is 
conducted  by  a  paid  secretary,  who  is  appoint^ed  by  the  railroad  com- 
pany. While  the  questions  before  the  committee  are  decided  by  a 
majority,  and  the  chairman  votes  only  in  case  of  a  tie,  nevertheless 
there  are  other  provisions  which  greatly  magnify  the  influence  of  the 
railroad  company  at  the  expense  of  the  elective  representatives  of 
the  membership.  Thus,  if  the  chairman  or  all  the  appointed  mem- 
bers of  the  committee  present  do  not  agree  with  the  decision  of  the 
committee,  the  question  must  come  for  reconsideration  before  the 
board  of  directors  of  the  railway  company.  The  same  holds  true 
even  if  the  committee  forms  a  decision  contrary  to  the  opinion  of  the 
paid  secretary  in  cases  dealing  with  computation  of  pensions  and 
awards. 

The  annual  reports  of  the  pension  funds  must  be  presented  to  the 
management  of  the  railway  company  and  by  the  latter  to  the  Mmistry 


I 


2266  REPORT  OF  THE   COMMISSIOKER  OF  LABOR. 

Of  Ways  of  Communication.  The  general  supervision  of  the  funds 
IS  vested  m  the  latter  ministry.  Annually  an  Account  is  taken  of  the 
finances  of  the  funds  for  the  puq^oses  of  determining  wheth^  Te 
means  are  sufficient  to  cover  the  cost  of  accrued  obligafion  compu  ed 
accordmg    o  the  statistical  tables  embodied  in  the  constituZ 

It  IS  evident  that  by  this  act  only  the  general  outline  of  the  system 
of  pensions  is  given  For  the  actual  determination  of  the  pension 
statistical  data  were  lacking,  therefore  the  enforcement  of  the  act Tas 
postponed  until  such  <iata  would  be  available  and  their  preparat^n 
was  mtrusted  to  a  well-known  mathematician,  who  ha.i  organized  a 
pension  fund  for  one  of  the  largest  private  railway  systems  This 
work  was  completed  in  about  two  years,  and  published  in  the  end  of 

Z;  ^TaT'  r^  ;  ''""T  °^  December  22,  188!)  (January  3, 
1890),  the  deductions  from  the  salaries  were  ordered  to  begin  on 
January  1  (13),  1890.  ^ 

SAVINGS   AND  RELIEF   FUNDS. 

siJorer°Thp'''°°.V  '^^  T^^'  ^""^  '"^""^  ^""^-^^  ^^  considerably 
simpler.     The  conditions  of  memberehi,,  are   the  same;    also  the 

sources  of  revenue  (except  that  there  are  no  initiation  fees)  and  the 

system  of  administration.    The  differences  are  mainly  in  the  subsS 

distiibution  of  the  income  from  various  sources 

In  general  the  organization  is  as  follows:  Three  fun.l.  recognized 
in  each  association-the  savings  fund,  the  general  relief  fund  and  the 
special  relief    und.     Into  the  savings  fund  are  paid  those    ."  n^o 

leductiorX  d  d     ?-^  *J^« -«-bers  directly;  namely,  the  mon"h  y 
deductions,  the  deductions  from  premiums,  and  the  .iifferences  of 
salanes  m  cases  of  promotion;  also  additional  voluntary  paTments 
private  contributions  to  this  fund,  and  the  interest  and  profits  upin 
investments  and  operation  of  the  fund  ^ 

The  amount  credited  to  each  member  in  this  fund  is  paid  to  him 
at  the  time  of  separation  from  the  service;  in  case  of  dlath  to  th^ 
beneficiary  named  by  him  or  to  his  legal  heirs 

Into  the  general  relief  fund  are  paid:  The  monthly  contributions  of 
the  railway  company,  determined  by  the  Ministry  of  Ways  of -Com     ' 
munication  m  conjunction  with  the  minister  of  finance  and  the  staTe 
comptroller,  but  not  over  50  per  cent  of  the  monthly  contributk.4  bv 
the  membership,  these  being  made  simultaneously  with  the  Zuc 
ions  from  salaries  and  distributed  proportionatefv  to    he  e    eclu  I 
tions;    the  net  proceeds  from  sale  of  unclaimed  baggage  or  fretht 
computed  annually  and  distributed  proportionatelftf  (he  aZuai 
deductions;  interest  and  profits  from  investments  and  operatioTo 
the  fund;   special  private  contributions  to  this  fund.     These  mTnor 


CHAPTER  IX. — workmen's  INSURANCE   IN  RUSSIA.  2267 

revenues  are  distributed  proportionately  to  the  total  accumulations 
of  membere  in  this  fund.  When  the  separation  from  the  service 
takes  place  after  ten  years,  the  member  receives  50  per  cent  of  the 
amount  credited  to  him  in  this  general  rehef  fund,  and  additional 
5  per  cent  for  each  additional  year  of  service,  so  that  after  twenty 
years  of  service  the  member  receives  the  whole  sum  in  this  rehef 
fund.  The  employees  of  the  train  service  are  entitled  to  51  per  cent 
of  their  credits  after  eight  years  and  7  per  cent  additional  for  each 
additional  year,  with  the  total  credits  after  fifteen  years  of  service. 
If  the  employee  is  dismissed  from  the  service  because  of  sickness  or 
an  injury,  which  disables  him  from  further  service,  or  because  his 
position  is  abolished,  he  receives  the  total  amount  credited  to  him 
in  the  general  relief  fund  without  regard  to  the  length  of  service. 
In  case  of  death  of  the  member  the  amount  to  his  credit  in  the  gen- 
eral benefit  fund  is  paid  over  to  his  widow,  or,  if  no  widow  remains,  to 
his  children;  if  neither  widow  nor  child  remains,  the  amount  is  dis- 
tributed among  the  accounts  of  the  other  members  of  the  fund. 

Into  the  ''special  relief  fund''  are  paid  the  fines  collected,  moneys 
due  from  the  associations  and  unclaimed  for  ten  years,  salaries  due  to 
employees  of  the  company  and  unclaimed  for  ten  years,  interest  and 
profits,  and  the  following  three  sources,  at  the  option  of  the  company: 
Interest  on  advances  and  loans  to  the  employees,  unclaimed  dividends 
and  interest  on  bonds,  and  rentals  for  the  advertising  and  bookselling 
privileges  in  the  stations.  These  revenues  of  the  special  benefit 
fund  are  not  distributed  among  the  members'  accounts. 

From  this  fund  lump  sum  or  annual  benefits  may  be  granted  to  an 
employee  dismissed  because  of  an  injury  or  grave  and  incurable 
disease  and  unable  to  get  along  without  some  assistance.  These 
benefits  are  additional  to  and  independent  of  the  payments  from  the 
savings  fund  and  general  benefit  fund. 

Benefits  are  also  granted  from  this  fund  to  children  below  18  years 
of  age  of  a  deceased  member,  or  of  one  dismissed  because  of  injury  or 
incurable  disease,  resulting  in  total  disability  and  helplessness.  These 
benefits  consist  of  one  lump-sum  payment  when  the  member  had  been 
employed  less  than  eight  years,  and  annual  payments  if  he  had  been 
employed  over  eight  years.  In  case  of  children  attending  a  secondary 
school  the  benefits  may  be  continued  until  the  age  of  20.  The  amounts 
of  these  benefits  must  be  determined  by  the  constitution  and  by-laws, 
taking  into  consideration  all  the  conditions  of  the  deceased  parent's 
service  and  also  the  available  means  of  the  special  benefit  fund. 

When  both  parents  have  been  members  of  the  fund,  the  continu- 
ance of  one  in  the  service  does  not  interfere  with  the  rights  of  the 
children  for  such  additional  benefits. 


2268  EEPOfiX  OF  THE  COMMISSIONER  OF  LABOB. 

PENSION   FUND  OF   THE   STATE   RAILWAYS. 

With  the  rapid  nationalization  of  the  private  railroads  the  Question 
of  pensions  for  the  employees  of  the  State  grew  in  irnportaSce  Jn 
compliance  with  the  law  of  Mav  so  iss«  r.L„-  ''y'"y"^^^^^-  in 
i^ed  by  fourteen  railwa;^l"pa\VsT„/ LTn^ttlsT^ 
compames,  but  most  of  these  railway  systems  we^e  soo^  boLh  by 
the  Government  and  it  assumed  the  oblifjations  of  the  pension  fund 

IppoiClTnTsy'  *''^  '^*^  ^°  '''''  -''*^-  --™™  wi; 
The  commission  decided  that  a  pension  fund  was  much  preferable 
to  a  savings  fund,  as  the  guarantee  of  a  continuous  pen^Ln  wis  mo  e 
desirable  than  the  payment  of  a  lump  sum,  and  the  g  neraT  plaTS 
HM   i«o!     ""J'^'^.^^^P^'^y^"^  ^^'^'«'>  Fukd,  approve,!  on  June  3 

r^Ws^'ai'dSlTrve'^  '''''  °^  '''  P^-  ^-^'^  ^°r  pSvate 

menTtS''^  1°  *^-f  ^"'^'^  "  "^"^^*°'^'  ^"  *»  ^'^P'oye.s  and  work- 
men of  the  state  railways  and  the  central  offices  of  these  railwa.^ 

whTrrJ'"^  °^  P"^"*^  superannuation  funds  (emeri^LyaZZ) 

serSe  a't  th'"  "T^n  '  '°  ^'^^  *'*'"^'-  >-*'-^'  P^-^-  entering  £ 
service  at  the  age  of  60  or  over,  persons  employed  for  a  term  not 

ineT  "l^  '°K  ^''''  r^  ^"  ^•'''^'"'"^  d""»«  the  /rst  year  of  employ 
ment.     Alembei-s    of    private    superamiuation    funds    and    3ons 
employed  one  year  or  under  may  join  it  voluntarily  and  ^re  eSed 

service,  50  years),  and  all  employees  havin-  reached  thLi  of  rn 
matter  what  their  length  of  service.  ^        *^°'  °° 

The  sources  of  revenue  of  the  pension  fund  are  the  same  as  for  the 
ension  funds  of  the  private  railroads;  namely,  the  oblilato  t 
deductions  from  the  earnings  of  the  membe,.,  6  per  c^nt  of  ^he:Xl^ 
salary  as  imtiation  fee,  6  per  cent  of  the  monthly  salaries  asa  3!; 
rndth^  -/-'>-«->  10  per  cent  of  the  specid  prf^and  awSs 
and  the  difference  of  salary  for  three  montiis  in  case  of  „ro2"on 
For  the  purpose  of  these  deductions  no  salary  is  considered  aTS 


CHAPTER  IX.— WORKMEN 'S  INSURANCE   IN   RUSSIA.         2269 

in  excess  of  2,400  rubles  ($1,236) ,  Voluntary  additional  contributions 
may  be  made,  not  to  exceed  in  any  one  year  the  annual  sum  of 
monthly  contributions;  and  if  intended  to  serve  to  increase  the 
widow's  pension,  they  must  not  exceed  50  per  cent  of  the  monthly 
contributions.  The  annual  subsidy  from  the  state  treasury  equals 
one-half  of  the  annual  sum  of  the  monthly  contributions  of  the 
members. 

Miscellaneous  revenues  are  the  same  as  in  the  case  of  the  private 
railway  pension  funds;  namely,  net  proceeds  from  unclaimed  bag- 
gage and  freight,  penalties  collected,  income  from  rentals  for  adver- 
tising and  newspaper  and  bookselling  privileges  on  railway  stations 
unclaimed  payments  due  by  the  fund,  contributions,  and  accidental 
revenues.  Direct  revenues  of  the  fund  consist  of  interest  and  profits. 
And  finally  at  the  time  of  establishment  of  the  fund,  or  of  acquisi- 
tion of  private  railways,  the  fine  funds  and  other  funds  and  sums  are 
added  to  the  general  pension  fund. 

The  distribution  of  the  various  revenues  is  somewhat  simpler  than 
in  the  case  of  the  private  railway  pension  funds.  The  obligatory 
contributions  of  the  members  are  credited  to  their  individual  accounts. 
The  miscellaneous  revenues  (except  the  benevolent  contributions* 
when  the  object  is  designated)  and  the  fine  and  other  funds  trans- 
ferred at  the  beginning  shall  constitute  a  special  fund  for  payment  of 
benefits  and  pensions  to  children  and  oi-phans  of  membere  and  pen- 
sioners. From  the  interest  on  investments  owned  by  the  pension 
fund,  the  various  funds  are  credited  with  4  per  cent  per  annum,  and 
the  remainder,  if  any,  is  transferred  to  a  surplus  fund.  The  monthlv 
subsidies  of  the  treasury  are  used,  first,  to  cover  any  existing  deficits; 
then,  to  swell  the  children  and  orphans'  fund  until  it  is  brought  to  the 
full  computed  value  of  its  obhgations;  of  the  remainder,  amounts 
equal  to  one-half  of  the  monthly  contributions  of  the  married  male 
members  are  credited  to  personal  accounts  of  the  wives;  what  is  left 
after  that  is  distributed  among  the  accounts  of  the  members  proi)or- 
tionately  to  their  monthly  contributions. 

The  surplus  formed  as  indicated  above  is  used  to  meet  deficits 
and  certam  other  payments  which  will  be  mentioned  later-  when  it 
reaches  10  per  cent  of  the  computed  value  of  all  obligations  the 
revenues  due  to  the  surplus  are  diverted  into  other  channels-  when 
the  surplus  falls  below  that  level  it  agam  claims  these  revenues 
All  the  amounts  of  the  pension  fund  must  be  invested  in  govern- 
ment bonds,  government  guaranteed  securities,  or  other  specified 
securities. 

Benefits  paid  by  the  fund  may  be  either  pensions  or  lump  sums- 
and  they  may  be  paid  only  at  the  time  of  leaving  the  fund  Two 
classes  of  pensions  are  recognized,  ordinary  and  increased.  Ordi- 
nary pensions  are  paid  at  the  tune  of  separation  from  service  after 


2270 


EEPOBT  OF  THE  COMMISSIONER  OF  LABOR. 


The  increased  pensions   are  granted   in  cases  of  fnii    r    u-.-. 
because  of  a  grave  and  incurable  disease   after  It  lea,    fif/  "^ 

of  service  and  membership  in  the  fund  *''°  ^'"'^ 

b^mmng  o,  ,.„ic.  .„„  .,„  ^h  tl  .  Lg  ktf  Z'^I"^!^", 

reaches  the  tenth  vear   whAn  if  ^^^         1/   ,      ,       service,   until  it 

slow,,  i        ^  tTf^rtl7r7^'ZtlT^c' '''"' 

itr otXaS  'aSlr  1  f-  r-  -^  — =- 
increased  pensions  ^'  "'^  '''''"''''  ''^^^^^^  "^^  ""^'al  and 

pels-r  t:i1  cim;irdts;:T?."^'T  r  ^^^^^  "^^  ^"— ^ 

be  equal  to  60  per  cent  of   it  f^f  V"*^  "^  ^^  •^'"'^  "^  '"''•^i<-« 

servile,  or  at  the  a'of  60    a  "  i""™."'  T""""  *^'^'-  ^^  •>--  °f 
increas;d  disabilit.Tenlrmult  t  e^allo^J/p^Tee^-ft  ^n 

rolsSv^CoLtute^tf^  '\-'  ^^  ^'^^ 
such  pension  norTa  IvTe  r^^'^T  ^T'''"  ''^  *''^  "'""^^h-" 
or  when  reaching  he  ^e  of  6^  £  In  ^  *T.'"  •^"'"  "'  '''^''' 
years  of  service  must  no  be  over  .50  per'eTo  Y/'"'™  '''''  '' 
annual  sala^'  or  wa-es  from  ^hlhih   V  ^^^  *°'""°*  "^  ^^^ 

made  durin?  the  yetTjZZ^te'tlZ  7'^^''-'''''  T" 
20  years  it  must  not  be  over  fs  per  cen  and  «^  oT'"""'  ^^''' 
greater  than  this  amount  of  wa4     men  thA  f.T''  ""' 

exceed  the  capitalized  value  oflhe  pl^s L  tVe  X^^^ 
over  at  the  time  when  the  pension  is  Sd  ""  "  """' 

absence.  ^  '       *"'"'"  ''^^'^  *  n.onastery,  or  unexplained 

Upon  the  death  (or  le^al  (]path\  nf  «., i  ,      . 

member  of  the  fund  fnt  fi  '         °  employee  who  had  been  a 

the  fund  for  five  years,  or  was  a  pensioner  of  the  fund. 


'c 


CHAPTER  IX. WORKMEN  S   INSURANCE   IN   RUSSIA.  2271 

the  widow  is  entitled  to  a  pension.  The  amount  of  this  pension  is 
computed  by  multiplying  the  amount  accumulated  to  the  credit  of 
the  widow  by  a  coefficient  depending  upon  the  ages  of  both  husband 
and  wife  at  the  time  of  granting  the  pension,  which  coefficient  is 
shown  in  a  separate  table.  The  amount  of  accumulated  widows* 
credits  is  computed  annually,  by  adding  to  the  credits  of  the  last 
year  (derived  from  the  treasury's  monthly  contributions)  the  sum 
of  accumulated  credits  of  all  preceding  years  with  ''interest;''  this 
interest,  like  in  the  parallel  case  of  the  members'  credits,  is  in  reality 
an  arbitrary  coefficient  of  growth  depending  for  the  first  five  years  of 
membership  upon  the  age  of  the  wife,  and  for  the  following  years 
upon  the  ages  of  both  husband  and  wife,  and  is  shown  in  two  elaborate 
tables. 

If  the  employee  marries  while  in  service  an  amount  equal  to  one- 
half  the  sum  of  his  obligatory  monthly  deductions  from  pay,  with- 
out interest,  is  credited  to  his  wife.  The  total  ])ension  of  the  widow 
must  not  exceed  two-thirds  of  the  husband's  pension.  When  the 
accumulations  reach  this  level  further  credits  to  her  name  are  dis- 
continued. The  widow's  pension  is  paid  until  death,  remarriao-e 
entrance  into  a  convent,  or  return  of  the  husband  from  unexplained 
absence. 

When  the  parent  receives  the  so-called  increased  pension  for  com- 
plete invalidity,  the  children  from  a  marriage  consummated  before 
the  pension  began  are  also  entitled  to  pensions  of  the  followmg 
amounts:  One  child  receives  3  per  cent  of  the  average  earnings  of  the 
disabled  parent,  after  10  years  of  service,  and  0.1  per  cent  "for  each 
additional  year  of  service,  with  a  maximum  of  5  per  cent  after  30 
years  of  service.  Allien  two  children  are  living  they  receive  together 
IJ  times  as  much  as  one  child,  three  children  2}  as  much,  four  chil- 
dren 2§  tunes  as  much,  five  children  3  times  as  much,  sLx  children 
3i  times  as  much,  and  seven  or  nine  children  3  J  times  as  much.  In 
any  case  each  child's  pension  must  not  be  over  100  rubles  (S51.50) 
per  annum. 

In  case  of  the  death  (or  legal  death)  of  a  pensioner  or  of  one  who 
has  been  a  member  of  the  fund  for  10  years,  one  child  receives  5 
per  cent  of  the  average  earnings  for  10  years  of  service,  and  an 
additional  i  of  1  per  cent  for  each  additional  year,  with  a  maximum 
of  15  per  cent  after  30  years  of  service.  When  more  than  one  child 
remains  the  same  proportions  are  observed  as  in  the  case  of  an 
mvahd  parent.  The  maximum  pension  for  each  child  must  not 
exceed  200  rubles  ($103),  and  for  all  children,  40  per  cent  of  the 
average  earnings.  \\Tien  both  parents  are  dead  the  pensions  to 
children  are  increased  by  50  per  cent.  Children  of  a  female  em- 
ployee,  when  the  father  is  alive,  may  receive  pensions  only  in  case 
the  father  is  totally  disabled  and  when  he  does  not  receive  any 


2272 


REPOET  OF  THE  COMMISSIONER  OF  LABOR. 


benefits  from  the  pension  fund.     In  addition  chil,lren  are  entitle,! 

The  children's  pensions  are  paid  until  the  age  of  18  (excent  wl,.™ 

«^«     1  •     J     1  ^  '^^'''   marriage  before  that   ap-e    cloAth 

unexplained  absence    lo<?<?  of  ni^;^  ^i  i.*^  .    ^  '   aeatti, 

TZfe:T'''  "^  P^'*^  •'"*  ^"  '""^^  "^^  g-<l-tion  wit!  interrrt" 

„n^"^  */"  •  "™''^  °'^*^*'**  '^^  P^J^*"**  "f  benefits  ia  by  pensions  vet 
under  certain  circumstances  the  payment  of  the  capitajS  vTlue  o 
the  pulsion  is  permitted-  nflmAl^    fK«       ^-  ^"H^^'aii^eu  value  ot 

oe  paid.     When  such  lump-sum  payments  are  made  5  per  cent  of 
the  amount  is  returned  for  the  surplus  fund      r««.flr     **       ■ 
permitted  for  pensions  of  personH  ma  ^l'  in  Xe  tilvo^  T 
railways,  for  children's  pensions,  or  for  widow"  pensionT  eLfnt  " 
cases  of  remarriage  when  there  are  no  children  entklTt;  pensSn 

wouM  beTuft:  rj  ^"^^^^ '''  -p^^^-'  -'-  o^  ^  P-i-S 

length'"  terce^'T  *''*  ?"  ^r""^  '^^P^'^'^^^  "?""  *  -rtain 
thefe  !il=heel^Srd1^o^^^^ 

um,>-sum  payments  consist  of  the  accumulations ToZcrMito 
the  employee,  and  his  wife,  if  she  be  still  «liv«      vn.  ■ 

10  years  25  per  cent,  after  11  years  40  per  cent    «ft«!  io  !l 


CHAPTEB  IX. — WOBKMEIf's  INSUBANCE  IN  EUSSIA.         2273 

before  reaching  the  age  of  60  years  the  accumulated  credits  are  paid 
out  to  their  legal  heirs. 

In  addition  to  the  old  age,  invalidity,  and  death  insurance,  which 
are  the  proper  functions  of  the  fund,  it  is  also  made  the  financial 
agent  for  certain  accident  pensions.  If  the  member  is  granted  such 
accident  pension  from  any  source  at  the  time  of  his  separation  from 
service,  this  pension  must  be  paid  by  this  fund,  but  simultaneously, 
the  capitalized  value  of  such  pension  (minus  the  capitalized  value  of 
any  pension  or  lump  sum  to  which  the  injured  person  is  entitled  under 
the  law)  is  paid  over  to  the  pension  fund.  This  rule  applies  also  to 
pensions  to  survivors  of  an  employee  killed  in  an  accident.  When, 
however,  the  pension  for  the  injuiy  is  smaller  than  that  to  which  they 
would  be  entitled  from  the  pension  fund,  the  latter  greater  pension  is 
paid. 

Since  the  various  amounts  of  pensions  all  depend  upon  the  length 
of  service,  the  methods  and  rules  of  computing  these  are  important, 
especially  with  regard  to  noncontinuous  service.  These  rules  are 
.  quite  comphcated,  but  their  general  intent  is  that  in  case  of  inter- 
rupted service  the  length  of  service  of  the  preceding  periods  may  be 
counted  in,  provided  the  employee  is  in  good  health  and  makes  good 
the  financial  obligations  which  he  would  have  to  meet  if  his  services 
were  not  interrupted.  On  the  other  hand,  the  funds  reassume  those 
obligations  toward  the  member,  which  might  have  been  canceled 
by  his  premature  separation  from  service.  The  same  principles  apply 
to  the  previous  years  of  service  for  a  private  railroad.  When  a  rail- 
way possessing  a  pension  or  savings  and  reUef  fund  is  acquired  by  the 
State  the  conditions  of  transfer  of  members  must  be  specially  pro- 
vided for. 

The  administration  of  the  fund  is  in  charge  of  the  state  railway 
office  of  the  Ministry  of  Ways  of  Communication.  The  following 
institutions  were  established:  The  general  committee  for  the  hind, 
with  a  central  office  attached ;  special  committees  for  the  individual 
railway  systems,  with  local  oflices  attached. 

The  general  committee  consists  of  a  chairman  and  four  members 
appointed  by  the  minister  of  ways  of  communication.  The  number  of 
the  members  of  the  local  committees  is  determined  by  the  central 
railroad  office  in  accordance  with  the  number  of  employees,  but  must 
not  be  under  six.  One-third  of  the  membership  is  appointed  by  this 
office,  and  the  others  are  elected  by  the  membership  of  the  fund. 
The  director  of  the  road  is  the  chairman  of  the  local  committee. 
A  special  local  committee  is  also  provided  for  the  employees  of  the 
central  state  railways  office.  Both  the  appointive  and  elective  mem- 
bers of  all  committees  must  be  membei-s  of  the  fund,  receiving'  a 
salary  of  not  less  than  1,000  rubles  ($515)  per  annum.     All  the  mem- 


2274 


EEPORT  OF   THE  COMMISSIONER   OF  LABOR. 


bers  of  the  committee  serve  without  remuneration.  Tlie  local  com- 
mittees  keep  the  accounts  of  the  members  within  their  jurisdiction, 
supervise  the  regular  payments  of  all  dues  and  incomes,  and  grant 
pensions  and  subsidies,  while  the  general  committee  controls  the 
funds,  their  accounting  and  investment,  supervises  the  decisions  of  the 
local  committees,  and  makes  necessary  changes,  prepares  the  statis- 
tical and  other  reports,  keeps  the  accounts  of  the  pensioners,  hears 
complaints  and  appeals  from  the  decisions  of  the  local  committees, 
examines  their  accounts,  etc.  The  decisions  of  the  general  com- 
mittee may  be  appealed  to  the  minister  of  ways  of  communication. 
The  entire  expense  of  the  administration  of  the  pension  fund  is  met 
by  the  state  treasurv. 

STATE  RAILROAD  EMPLOYEES^  OLD-AGE  PENSION  FUND  LAW  OF  1903. 

On  the  same  day  in  which  the  fundamental  Kussian  workmen's 
accident  compensation  act  was  approved,  June  2  (15),  1903,  a  new 
law  was  promulgated  for  the  old-age  and  invalidism  pension  fund  of 
the  employees  of  the  Russian  state  railways,  to  go  into  effect  January 
1,  1904.  Nearly  nine  years  had  elapsed  since  the  organization  of  the 
fund,  and  the  reports  of  the  financial  operations  of  the  fund,  coupled 
with  severe  losses  from  the  depreciation  of  securities  in  which  the 
assets  were  invested,  showed  a  condition  which  was  not  altogether 
satisfactory  and  necessitated  the  revision  of  the  regulations,  mainly 
for  the  financial  organization  of  the  fund.  The  new  law  is  extremely 
complicated,  containing  detailed  regulations  as  to  the  organization 
of  the  numerous  accounts  and  funds  into  which  the  pension  fund  is 
divided.  It  is  sufficient  here  to  point  out  the  main  changes  as  com- 
pared with  the  older  law. 

The  rules  in  regard  to  membership  were  left  practically  unchanged. 
The  same  is  true  of  the  sources  of  revenue  of  the  fund,  except  that  a 
few  minor  sources  were  added  to  the  long  list  of  miscellaneous  reve- 
nues, constituting  an  indirect  subsidy  from  the  State.  These  addi- 
tional sources  of  revenue  are:  Salaries  imclaimed  by  employees  of 
the  state  railways  for  a  period  of  ten  years,  the  proceeds  from  the  sale 
of  grain  sweepings  from  station  platforms  and  warehouses,  and  the 
income  from  buffet  and  restaurant  privileges.  As  would  appear 
from  the  statistical  data  in  a  subsequent  section,  only  the  last  men- 
tioned amounts  to  a  considerable  sum. 

The  distribution  of  the  revenues  among  the  various  accounts  has 
been  somewhat  changed  by  the  establishment  of  the  state  treasury 
subsidy  fund  in  addition  to  the  members'  personal  accounts,  the 
children  and  orphans'  fund,  and  the  surplus.  The  regular  contribu- 
tions of  the  treasury,  which  are  equal  to  one-half  the  members'  con- 
tributions, go  to  this  fund,  and  it  is  used  to  cover  deficits  in  other 
accounts,  to  increase  the  pensions  of  persons  leaving  the  service 


CHAPTER  IX. — workmen's   INSURANCE   IN   RUSSIA.  2275 


because  of  invalidism,  and  to  pay  the  pensions  of  widows  of  members 
with  less  than  ten  years'  membership ;  the  remainder  is  to  be  distrib- 
uted among  the  members  who  have  been  over  ten  vears  in  the  fund 
and  among  their  wives. 

The  most  important  financial  measure  consisted  in  granting  to  the 
pension  fund  a  subsidy  from  the  state  treasury  amounting  to  10,000,000 
rubles  ($5,150,000),  to  be  paid  in  annual  installments  of  450,000 
rubles  ($231,750),  while  the  remainder  is  entered  in  the  assets  of  the 
fund  as  a  debt  of  the  state  treasury  bearing  4  per  cent  interest.  The 
distribution  of  this  subsidy  among  the  various  funds  was  left  to  the 
minister  of  ways  of  communication,  the  minister  of  finance,  and 
the  comptroller  of  the  treasury,  the  law  demanding  that  part  of  it 
go  into  the  personal  accounts  of  members  and  part  into  the  state 
treasury  subsidy  fund.  Through  this  measure  the  pension  accounts 
of  the  entire  membership  were  materially  improved. 

The  rules  in  regard  to  the  payment  of  pensions  and  benefits  have 
been  considerably  changed,  but  as  they  are  very  complicated  no 
attempt  is  made  to  give  here  a  detailed  analysis. 

In  brief,  the  members  are  entitled  to  normal  pensions,  increased 
pensions,  or  lump-sum  benefits,  which  are  paid  only  at  the  time  of 
leaving  the  fund,  though  not  necessarily  the  service.  Normal  pen- 
sions are  paid  after  at  least  15  years  of  membership  and  increaseil 
pensions  in  case  of  complete  disability  after  at  least  10  ^^ears  of 
service,  and  these  pensions  are  computed  according  to  special  tables 
based  upon  mortality  and  disability  tables  and  the  personal  accu- 
mulated accounts.  In  no  case  must  the  pension  exceed  the  salary 
during  the  last  year  of  service,  and  any  excess  is  capitalized.  These 
pensions  are  paid  until  death,  and  in  case  of  the  increased  pensions 
until  recovery,  when  the  normal  pension  is  substituted.  Persons 
discontinuing  membership  in  the  fund  before  having  acquired  a  right 
to  a  pension  receive  the  accrued  values  of  their  accounts  and  also 
those  of  their  wives.  But  if  the  employee  is  forced  thus  to  leave 
the  service  and  the  fund  because  of  complete  disability,  he  receives 
in  addition  to  his  accumulated  account  an  additional  bonus  from  the 
state  treasury  subsidy  fund,  equal  to  one-half  the  average  monthly 
salary  during  membership  for  each  year  in  the  service.  This  is  a  new 
provision  for  the  benefit  of  the  membership,  introduced  by  the  law  of 
1903. 

Widows'  pensions  are  granted  to  widows  of  members  dying  after 
10  years  of  membership,  widows  of  pensioners,  and  of  such  employees 
as  have  taken  out  capitalized  values  of  their  pensions  but  have  left 
the  accounts  of  their  wives  in  the  fund.  The  value  of  their  wives' 
accumulations  and  that  of  their  pensions  are  computed  according 
to  special  tables,  depending  upon  the  ages  of  husband  and  wife,  and 
also  on  mortality  of  railroad  employees'  wives. 


2276 


EEPOBT  OF   THE  COMMISSIONER  OF  LABOR. 


CHAPTER  IX. — WORKMEN  S  INSURANCE   IN   RUSSIA. 


2277 


If  a  member  of  the  fund  marries  after  10  years  of  membersliip  his 
wife  is  immediately  credited  from  the  treasury  subsidy  fund  witJi  an 
amount  equal  to  that  which  would  have  accumulated  to  her  account 
if  she  had  been  married  from  the  beginning  of  her  membership. 

The  widow's  pension  must  not  exceed  two-thirds  of  the  maximum 
limit  of  the  member's  pension,  and  if  her  account  exceeds  the  capi- 
talized value  of  tlmt  pension  the  difference  is  paid  out  to  her  in  a  lump 
sum.  The  widow's  pension  is  paid  until  death  or  remarriage.  Any 
voluntary  contributions  which  had  been  made  by  the  husband  to  her 
account  are  paid  out  to  her  at  the  time  of  remarriage. 

If  a  member  dies  before  completing  ten  years  of  membership  his 
widow  receives  half  of  her  husband's  account  (the  entire  account  if  no 
children  survive),  any  voluntary  contributions  which  may  have  been 
made  in  her  favor,  and  a  bonus  equal  to  the  one  which  he  would  have 
received  were  he  forced  to  leave  the  service  because  of  complete 
disability  (one-half  the  average  monthly  salary  for  each  year  of 
service). 

No  pension  or  benefit  rights  are  acquired  by  the  wife  who  has  mar- 
ried the  employee  after  he  was  granted  a  pension. 

Children's  pensions  have  also  been  considerably  modified.  When 
the  parent  receives  the  increased  pension  for  com])Iete  invalidity 
each  cliild  is  entitled^  during  the  life  of  that  parent  to  one-twelfth 
of  the  parent's  pension,  but  the  total  for  all  cliildren  must  not  exceed 
one-fourth. 

After  death  of  a  male  employee  who  was  a  member  of  the  fund  for 
less  than  10  years  the  cliildren  receive  lump-sum  benefits  equal  to  one- 
sixth  of  the  average  monthly  salary  of  the  parent  for  each  year  of 
service.  In  addition  to  this  they  receive  half  the  account  of  the 
parent,  and  where  no  widow  survives  the  entire  account  of  the  father. 

If  the  deceased  parent  held  membership  in  the  fund  for  10  years  or 
more,  each  child  receives  one-sixth  of  such  pension  as  the  parent 
would  be  entitled  to  if  leaving  service  because  of  complete  disability; 
if  the  deceased  parent  was  receiving  an  increased  pension  at  the  time 
of  death,  then  one-sLxth  of  such  pension;  the  total  for  all  children 
in  either  case  must  not  exceed  one-half  of  such  pension.  Children 
of  deceased  female  employees,  with  father  living,  receive  a  pension 
only  in  case  of  the  father's  disability.  Orphans'  pensions  are  50  per 
cent  greater  than  when  one  parent  survives.  If  both  parcmts  were 
in  the  state  railway  service  cliildren  receive  their  pensions  at  death 
of  the  father,  even  if  the  mother  remahis  in  the  railway  service.  In 
case  of  the  death  of  both  parents  the  orphans  receive  the  larger  of  the 
two  pensions  to  which  they  were  entitled.  At  the  remarriage  of  the 
widow  the  children  receive  her  share,  but  the  combined  total  must 
not  exceed  the  limit  established  for  orphans. 


The  general  conditions  governing  the  payment  of  pensions  to 
children  remain  the  same  as  they  were  established  in  the  law  of  1894. 
The  same  is  true  with  regard  to  the  rules  concerning  capitalization  of 
pensions,  the  payment  of  pension  for  injuries,  the  methods  of  com- 
puting the  length  of  service,  the  adjustment  of  accounts  in  cases  of 
reestablishment  in  service  after  resignation,  methods  of  business 
procedure,  and  methods  of  administration  of  the  fund. 

The  redistribution  of  the  10,000,000  rubles  ($5,150,000)  granted 
by  the  treasury  was  effected  in  accordance  with  special  regulations 
published  December  24,  1903  (January  6,  1904),  and  February  4 
(17),  1904.  A  special  fund  of  200,000  rubles  ($103,000)  was  also 
created  for  granting  benefits  to  persons  forced  to  leave  the  railway 
service  on  account  of  temporary  sickness  requiring  treatment. 

FINANCIAL    AND    STATISTICAL   DATA. 

The  publication  of  the  pension  statistical  data  in  1890  made  possi- 
ble the  organization  of  fund^'  on  private  railroads  under  the  law  of 
1888.  At  the  same  time  the  liquidation  of  the  funds  not  conforming 
to  the  demands  of  the  law  was  undertaken  by  the  Mnistry  of  Ways 
of  Communication  according  to  an  imperial  order  promulgated  on  the 
same  day  on  which  the  railroad  pension  law  was  approved. 

Fourteen  pension  funds,  established  under  the  old  principles, 
existed  at  the  time.  An  actuarial  examination  of  these  fourteen 
funds  showed  that  only  three,  organized  with  some  regard  to  actuarial 
science,  were  found  solvent,  and  the  other  eleven  were  financially 
unsound.  In  the  case  of  an  important  railroad  fund,  for  instance, 
the  assets  on  January  1,  1893,  were  1,700,000  rubles  ($875,500), 
while  the  obligations,  computed  on  an  actuarial  basis,  amounted  to 
5,500,000  rubles  ($2,832,500).  In  the  fund  of  another  railroad  the 
assets  and  obligations  were  1,050,000  rubles  ($540,750)  and  4,823,000 
rubles    ($2,483,845),   respectively. 

The  liquidation  in  almost  all  cases  was  accomplished  by  means  of 
an  organization  of  a  new  fund  in  conformance  with  the  law  and  tables 
of  1888 ;  and  several  railroads  contributed  large  amounts  to  the  existing 
assets  of  the  pension  funds  to  straighten  out  their  finances.  Seven 
of  these  railroads  organized  pension  funds,  while  four  preferred  the 
organization  of  savings-benefit  funds. 

Altogether  16  pension  funds  and  7  savings-benefit  funds  were 
organized  in  conformity  with  the  law  of  1888.  Subsequently  several 
of  the  railroads  which  had  organized  these  funds  were  purchased 
by  the  State.  By  an  order  of  the  Government,  approved  !Mar  26 
(June  7),  1895,  in  case  of  five  railroads  the  pension  funds  were  joined 
with  the  State  Railway  Employees'  Pension  Fund,  v.hile  the  pension 
fund  of  the  southwestern  railroads  and  the  savinors-benefit  funds  of  the 


2278 


REPORT   OF   THE  COMMISSIONER   OF  LABOR. 


CHAPTER  IX. WORKMEN  S   INSURANCE   IN   RUSSIA. 


2279 


Nikolai  Railroad  (St.  Petersburg-Moscow  Railroad),  the  St.  Peters- 
burg-Warsaw Railroad,  the  Moscow-Nizhnii-Novgorod  Railroad,  and 
the  Moscow-Kursk  Railroad  were  left  undisturbed  provisionally  for 
10  years.  In  an  official  publication  of  the  Ministry  of  Ways  of  Com- 
munication («)  for  the  year  1900  the  statement  is  made  that  in  the 
beginning  of  1905  there  would  be  only  one  central  pension  fund  for 
the  employees  of  all  state  railroads,  but  the  reports  for  1906  and  1907 
still  show  the  individual  existence  of  the  one  pension  fund  and  four 
savings-benefit  funds  of  the  five  railways  mentioned. 

A  statistical  study  of  the  activity  of  all  the  railroad  funds  prewents 
considerable  difficulties  because  of  the  lack  of  necessary  statistical 
information.  The  publication  of  the  annual  statistical  reports  as 
to  the  membership  of  all  funds  was  recently  suspended  by  the  min- 
istry because  of  a  contemplated  change  in  the  organization  of  this 
statistical  service,  and  the  latest  report  published  refers  to  January  1 , 
1903.  For  the  financial  operations  of  all  these  funds  reports  are 
available  only  for  1904  and  1905;  and  tke  latest  available  information 
for  the  mileage  and  total  number  of  employees  refers  to  the  end  of 
1905.  It  is  possible,  therefore,  to  give  only  a  more  or  less  complete 
statement  for  all  railroad  pension  funds  for  1904  and  1905,  while 
for  the  State  Railway  Employees'  Pension  Fund  (which  does  not 
include  all  the  state  railways,  as  explained  above),  a  more  complete 
statistical  presentation  is  possible. 

MILEAGE  AND  EMPLOYEES  OF    RAILROADS    AND    MEMBERSHIP    AND    ASSETS    OF 
BENEFIT  FUNDS  FOR  SPECIFIED  YEARS.  BY  CLASS  OF  FUND. 

[Source:  Svodnye  balansy  penslonnykh  i  sberegaterno-vspomogaternvkh  Kass  dieistvuiushchikh  n» 
russkikh  zheleznykh  dorogakh,  19()5  and  1906.  Statist ika  sluzhashchikh  na  zhelezuvkh  dorogakh, 
uchastnikovj)ensionnykh  i  sberegaternovspomogatelnykh  Kass.  1903.  Statietlcheski  Sbornik  Mini»- 
terslva  Putei  Soobshchenia.    Vypusk  89.    Zheleznyia  dorogi  v  1905.] 


Mileage, 
1905. 

Number 
of  em- 
ployees, 
1905. 

Member- 
ship, 
1903. 

Assets. 

1905. 

1903. 

State  railway  employees 

18,650 

392, 788 

151,795 

$:^2, 115, 249 

$35,672,960 

Independent  pension  funds: 

State  railways 

4,597 
11,108 

85,008 
193, 267 

45,969 
84,732 

12, 767, 752 
18,981,718 

13,737,638 
20,645,130 

Private  railways 

Total 

15,705 

278,275 

130, 701 

31,749,470 

34, 282, 768 

Total  i)ension  funds 

34, 3.55 

671,063 

282, 49() 

«3, 864, 719 

69.955,728 

Savings  benefit  funds: 

State  railways 

2,360 
908 

77,861 
5,524 

47,456 
944 

11,420,274 
475,  485 

12,131,595 
533, 819 

Private  railways 

Total  savings-benefit  funds 

3,268 

83,385 

48,400 

11,895,759 

12,665,414 

Grand  total ^ 

37,623 

754,448 

.  330,896 

75, 760,  478 

82,621,142 

As  the  data  in  the  table  refer  to  different  years,  it  is  not  possible 
to  make  exact  comparisons;  but  it  appears  that  (with  the  exception 
of  a  few  small  local,  mostly  narrow-gauge  roads)  all  railroads  are 
provided  with  either  pension  or  savings-benefit  funds,  and  that  about 
nine-tenths  of  the  railroads,  judging  by  mileage  or  by  the  number 
of  employees,  have  pension  funds,  and  only  a  few  railroads  (three 
large  state-owned  railroad  systems  and  a  few  very  small  privately 
owned  railroads)  still  have  savings-benefit  funds.  Gradually  the 
savings  funds  of  these  three  state-railroad  systems  will  be  absorbed 
into  the  central  State  Railway  Employees'  Pension  Fund,  and  all 
railroads  will  eventually  be  provided  for  in  a  uniform  way. 

A  comparison  of  the  membership  of  all  the  funds  with  the  total 
number  of  employees  shows  that  less  than  one-half  of  the  employees 
hold  such  membership ;  but  the  class  of  the  employees  must  be  taken 
into  consideration. 

PERMANENT   AND   TEMPORARY   EMPLOYEES   AND    DAY   LABORERS   ON     RUSSIAN 

RAILROADS  IN   1905. 

[Source:  Statisticheski  Sbornik  Ministerstva  Putei  Soobshchenia.    Vypusk  89.    Zheleznyia  dorogi  v  1905.] 


Class. 


Permanent  employees 
Temporary  employees 
Day  laborers 

Total 


Number. 


404, 593 

43,231 

309,788 


757,612 


Percent. 


53.4 

5.7 

4a  9 


loao 


The  day  laborers  are  mainly  unskilled  laborers  employed  in  con- 
struction work,  and  they  do  not  come  within  the  scope  of  the  pension 
system.  The  total  number  of  permanent  employees  in  1905  was 
404,593;  in  1904  the  number  was  386,557;  and  in  1903  it  was  368,266. 
The  figures  for  1903  and  1904  did  not  include  about  5,000  permanent 
employees  of  the  so-called  ''local"  railways,  which  are  reported 
separately  from  the  other  railroads.  The  total  membership  of  the 
funds  in  1903  was  330,896. 

For  the  statistics  of  membership  of  all  the  funds  data  are  available 
for  1898  to  1903.  In  the  table  following  the  membership  is  shown 
by  occupations.  It  has  grown  rapidly  from  242,819  on  January  1, 
1899,  to  330,896  on  January  1,  1903.  Among  the  occupations  are 
included  ofHce  employees,  track  walkers,  telegraphers,  trainmen,  and 
ordinary  workmen  and  watchmen. 


67725°— VOL  2—11- 


-50 


I  I 
«  1 


a  Minister.?  de^  Voies  de  Communication.     Administration  des  Chemins  de 
de  la  Direction  du  Compte  des  Pensions.    St.  Petersburg,  1900,  p.  13. 


Ferdel'Empire.    Recueil 


2280 


REPORT  OF   THE  COMMISSIONER  OF  LABOR. 


MEMBERSHIP  OF  ALL  RUSSIAN  RAILROAD  PENSION  AND  SAVING 8- BENE  FIT  FUNDS, 

BY  OCCUPATIONS,  1^  TO  1903. 

[Source:  Ministerstvo  Putei  Soobshehenia.    Upravlenie  zhfleznykh  dorog.     Statistlka  sluthashchikh  na 
zheleznykh  dorogakh,  uchastnikov  pensionnykh  i  sberegatelno  vspomogatelnykh  kass  IS99-1903.) 


Occupation. 


OflBce  employees: 

G  eneral  administration 

Other  ollices: 

Higher  officials 

Other  oflBce  employees 

Other  nontechnical  employees 
Care  of  roads: 

Chiefs  of  sections 

Track  walkers 

Traffic  and  telegraph: 

Station  masters 

Telegraphers  and  signalmen. . 

Couplers 

Switchmen 

Trainmen 

Engineers  and  firemen 

Oilmen 

Workmen  and  watchmen 

Total 


Membership  for  year  ending  January  1— 


1899. 


14,940 


2 

9 

32 

3 
62 

8 
11 

5 
21 
22 
18 

5 
24 


.002 
.272 
.707 

4iiO 

022 

«i27 
.102 

210 
.773 

530 
.424 
,5;)9 


242. 819 


1900. 


16,239 

2.212 
10.299 
35,901 

3.518 
65,086 

9,793 
12.769 

5,623 
23,272 
25,285 
20,560 

5,980 
26,406 


1901. 


17,611 

2,321 
10,845 
38,.2it4 

3.670 
67,9)0 

10,8«fi 
13,696 

6,127 
25,437 
28,329 
22,742 

6,  m\ 
21, bib 


203,005 


281,908 


190*?. 


20.919 

2,477 
11,769 
41,815 

4.006 
72.927 

11.905 
15.385 

6,773 
28,578 
30.  ()27 
24.983 

7,526 
31,066 


310, 776 


1903. 


22,5S8 

2,512 
12,567 

44,864 

3,850 

77,:«4 

11,782 
17,147 

6,534 
31,070 
31,717 
26,  .338 

7.763 
34,830 


3.K),896 


The  next  table  shows  the  membership,  by  sex  and  marital  condi- 
tion, and  also  the  number  of  children.  As  the  widows  and  orphans 
are  also  protected  by  these  pensions  and,  in  a  lesser  degree,  by  the 
savings-benefit  funds,  an  effort  has  been  made  in  this  table  to  com- 
pute the  total  number  of  persons  protected  by  these  funds,  by  adding 
to  the  membership  the  total  number  of  wives  and  children.  The 
husbands  of  married  female  employees  are  not  included,  since  they 
are  provided  for  only  in  exceptional  ( ases.  Within  four  years  the 
total  number  of  persons  so  protected  lias  increased  from  less  than 
three-quarters  of  a  million  to  nearly  a  million  persons: 

NUMBER    OF    PERSONS    PROTECTED    BY    THE    PENSION    AND    SAVINGS-BENEFIT 
FUNDS  OF  RUSSIAN  RAILROADS,  BY  SEX  AND  MARITAL  CONDITION,  1H99  TO  l'>03. 

{Source:  Ministerstvo  Putei  Soobshehenia.    Upravlenie  zheleznykh  dorog.    Statistlka  sluthashchikh  na 
zheleznykh  dorogakh,  uchastnikov  pensionnykh  i  sberegatelno  vspomogatelnykh  kass  1S99-1903.J 


Sex  and  marital  condition. 


MALE   MEMBERS 

Single 

Married 

With  children 

Without  children 

Widowed 

With  children 

Without  children 

Total  male  members 

With  children 

Without  children 


Persons  protected  on  December  31— 

1899. 

.    1900. 

1901. 

1903. 

1903. 

49,210 

55.308 

61,736 

66.665 

71,867 

164.646 

176, 184 

191,359 

207,158 

224,274 

124, 8.53 

133,013 

143,508 

155.  im 

Hi7,777 

39. 793 

43, 171 

47,851 

51.819 

56.497 

3.942 

4,219 

4,48<) 

4,747 

5.096 

2.295 

2,463 

2,624 

2,747 

2.953 

1.647 

1,756 

1,862 

2,000 

2.143 

217. 798 

235,711 

257,571 

278.  570 

301,237 

127.148 

135.476 

146, 132 

158. 086 

170,730 

90,660 

100,235 

111,439 

120,484 

130,607 

CHAPTER   IX. — workmen's  INSURANCE   IN   RUSSIA.  2281 

NUMBER  OF  PERSONS  PROTECTED  BY  THE  PENSION  AND  SAVINGS-BENEFIT 
FUNDS  OF  RUSSIAN  RAILROADS,  BY  SEX  AND  MARITAL  CONDITION,  1899  TO  1903- 
Concluded. 


Sex  and  marital  condition. 


FEMALE  MEMBEBS. 


Single 

Married 

With  children 

Without  children. . 
Widowed 

With  children 

Without  children. . 
Total  female  members. 

With  children 

Without  children.. 


Total  members  (a) . 
Members'  wives. . . 
Children 


Total  persons  protected  by  the  pension  system(*>) 


Persons  protected  on  Decern l)er  31 


1899. 


3,820 
18,212 
14,665 

3,647 

1,366 

924 

442 

23.398 

15,589 

7,809 


241.1% 
164. 646 
335.29ti 


741, 138 


1900. 


4.227 
18,906 
15, 176 

3,730 

1,468 

963 

505 

24.601 

16, 139 

8,462 


1901. 

1902. 

4,689 

5.227 

19.885 

21,025 

16,048 

16,903 

3.837 

4.122 

1.523 

1,596 

981 

1,019 

542 

577 

26,097 

27.848 

17,029 

17,922 

9,068 

9,926 

1903. 


5.754 
22.187 
17.864 

4. 

1. 


1. 


.323 
718 

.as9 

629 
29.659 
18.953 
10.706 


260.312 
176, 184 
356.794 


283,668 
191.359 
380,075 


306.418 
207,158 
406,524 


330,896 
224,274 
432.962 


793,290 


855,102   920,100 


988,132 


o  These  totals  do  not  agree  with  the  totals  of  the  preceding  table;  the  figures  are  given  as  shown  in  the 
origmal  reports. 

b  The  husbands  of  female  employees,  who  are  entitled  to  pensions  only  undw  exceptional  circumstances, 
are  not  included.  ^  r  w. 

The  movement  of  membership  is  shown  by  the  following  table, 
which  gives  the  number  of  admissions  and  the  loss  of  membership  by 
death  and  all  other  causes.  Changes  in  the  membership  are  found  to 
be  very  great,  amounting  to  over  20  per  cent  in  some  years.  Most 
of  these  employees  who  leave  the  service  have  been  in  the  service  a 
short  time  only.  In  1902,  of  50,621  separations  27,233,  or  54  per 
cent,  took  place  before  the  expiration  of  a  full  year  of  service,  and 
16,136,  or  32  per  cent,  were  in  the  service  over  one  year  but  less  than 
five  years;  thus  a  total  of  86  per  cent  were  less  than  five  years  in 
service. 

As  persons  leaving  the  service  so  soon  are  in  the  majority  of  cases 
entitled  only  to  much-reduced  amounts  of  benefits  or  repayments  of 
deposits,  the  permanent  employees  correspondingly  profit  by  such 
shifting  in  the  persoimel. 

CHANGES   IN   MEMBERSHIP   OF   THE   RAILROAD   PENSION  AND   SAVINGS-BENEFIT 

FUNDS,  1899  TO  1902. 

[Source:    Ministerstvo  Putei  Soobshehenia.    Upravlenie  zhelrnykh  dorog.    Statistlka  sluzhashchikh  n» 
zneieznykh  dorogakh,  uchastnikov  pensionnykh  i  sberegatehio  vspomogatelnykh  kass  1899-1902.] 


Year. 


1899. 
1900. 
1901. 
1902. 


Member- 
ship at 
begin- 
ingof 
year. 


242, 819 
203,005 
281,905 
310,  776 


New 
members 

ad- 
mitted. 


68,119 
73,331 
77,522 
70,741 


Loss  of  membership. 


^By 
death. 


1,791 
1.964 
2.076 
1,979 


Other 

reasons. 


48,835 
52, 956 
50,933 
48,642 


Total. 


50.626 
54,920 
53,009 
50,621 


Increase 

during 

year. 


17.493 

18.411 
24.513 
20,120 


Total  at 

end  of 

year,  (c) 


260.312 
281.416 
306.418 
330,896 


ar^  give?iL"  ho^^  £'th?orgL\7«port!  °^«"^^"^^P  ^^  ^^«  ^^^'^^^^S  «'  ^he  year  foUowing;  the  figures 


I 


2282 


REPORT  OF   THE  COMMISSIONER  OF  LABOR. 


The  causes  of  separation  from  the  service  are  shown  in  the  follow- 
ing table.  Nearly  70  per  cent  are  found  to  have  resigned  voluntarily, 
while  about  16  to  18  per  cent  were  removed  by  the  administration; 
the  cases  of  death  by  accident  and  disability  by  accident  are  very 
few;  cases  of  death  through  other  causes  and  disabihty  due  to  illness 
are  more  numerous,  but  together  they  do  not  much  exceed  8  per  cent; 
as  only  these  cases  give  rise  to  exceptional  benefits,  the  permanent 
employees  derive  considerable  profits  from  the  frequent  changes  in 
the  body  of  employees. 

CAUSES  OF  SEPARATION  FROM  SERVICE  OF  RAILROADS,  1899  TO  1902. 

[Source:    Ministerstvo  Putei  Soobshchenia  Upravlenie  zhel/,nykh  dorog.    Statistika  sluzhashchikh  na 
zneieznyJcn  aorogakh,  uchastnikov  pensionnykh  i  sberegatelno  vspomogatelnykli  kass  1899-1902.] 


Year. 

Death 
from— 

Disability 

or  disease 

caused  by- 

Posi- 
tion 
abol- 
ished. 

Ad- 

minis- 
trative 
order. 

Super- 
annua- 
tion. 

En- 
tered 

mili- 
tary 

serv- 
ice. 

599 
920 
592 
610 

Trans- 
ferred 
to 
day 
labor. 

Volun- 
tarily 

re- 
signed. 

Cause 
un- 
known. 

Trans- 
ferred 

to 
other 
roads. 

Total. 

Acci- 
dent. 

Other 
causes. 

Acci- 
dent. 

Other 
causes. 

1899... 
1900... 
1901... 
1902... 

147 

185 

143 

96 

1,644 
1,779 
1,933 
1,883 

109 
65 
74 
45 

2,620 
2,492 
2,341 
2,317 

552 

575 

1,011 

587 

8,809 
9,488 
8,917 
8,462 

281 
349 
449 
497 

709 
484 
650 
721 

34,907 
38,305 
36,493 
35,219 

71 
42 

86 
9 

178 
236 
320 
175 

50,626 
54,920 
53,009 
50,621 

The  combined  assets  of  the  railroad  pension  and  savings-benefit 
funds  are  considerable,  exceeding  $82,400,000  on  January  1,  1906, 
while  the  annual  growth  was  over  $6,695,000.  Nearly  one-half  (43.2 
per  cent)  of  these  assets  on  January  1,  1906,  belonged  to  the  State 
Railway  Employees  Pension  Fund,  16.6  per  cent  to  the  independent 
pension  funds  of  state-owned  railways,  and  14.7  per  cent  to  the 
savings-benefit  funds  of  state-owned  railways,  so  that  74.5  per  cent 
of  the  assets  are  under  direct  state  control.  The  bulk  of  these  assets 
is  invested  in  various  securities.  Thus  on  January  1,  1906,  the 
amount  so  invested  equaled  $71,090,316;  of  this  $9,383,314  or  13.2 
per  cent  was  placed  in  government  bonds,  $6,356,042  or  8.9  per  cent 
in  state-guaranteed  bonds  of  private  railroads,  and  $55,344,651  or 
77.9  per  cent  in  bonds  of  mortgage  banks,  while  only  $6,309  were 
invested  in  railroad  stocks.  The  only  other  item  of  importance  is 
the  debt  of  10,000,000  rubles  ($5,150,000)  of  the  state  treasury  to 
the  State  Railway  Employees'  Pension  Fund,  which,  with  the  deduc- 
tion of  payments  made  and  with  accruing  interest,  amounted,  on 
January  1,  1906,  to  10,438,000  rubles  ($5,375,570). 

The  table  following  is  a  summary  of  the  liabihties  of  the  funds. 
The  most  important  is  the  fund  of  individual  members'  accounts. 
These  are  made  up  principally  of  the  members'  personal  contributions, 
interest  on  these  contributions,  and  a  few  other  minor  sources.  Next 
in  importance  is  the  wives'  account  fund.  This  is  also  made  up  of  in- 
dividual accounts,  consistmg  principally  of  the  regular  contributions 


CHAPTER  IX. — workmen's   INSURANCE   IN   RUSSIA.  2283 

of  the  state  or  railroad  company  and  voluntary  contributions  by  the 
members  for  the  benefit  of  their  wives'  accounts.  These  accounts  are 
used  for  paying  pensions  to  widows  of  members  dying  in  service. 

Closely  related  to  this  is  the  third  fund  in  the  list— that  of  the 
-pensioners  wives.  This  fund  is  formed  by  transfer  of  the  accounts 
of  the  wives  from  the  preceding  fund  at  the  time  the  employee  is 
pensioned,  and  it  is  designated  to  pay  pensions  to  widows  of  the 
pensioners.  The  next  three  accounts  represent  the  capitaHzed  values 
of  pensions  granted  to  members,  to  widows,  and  to  orphans;  the  nec- 
essary amounts  being  transferred  from  the  respective  funds. 

The  orphans'  fund  is  intended  for  payment  of  pensions  to  orphans 
in  case  of  death  of  their  parents.  The  amount  converted  to  this  fund 
must  be  equal  to  the  probable  obligations,  and  is  computed  from  the 
great  volume  of  actuarial  data  in  regard  to  the  ages  of  the  members 
and  their  wives  and  the  number  and  ages  of  children.  A  great  many 
of  the  miscellaneous  revenues  are  diverted  into  this  fund — fines  and 
penalties,  unclaimed  salaries,  the  revenue  from  restaurant  privileges 
(on  the  state  fund  only),  and  the  additional  necessary  amount  from 
the  profits  of  the  fund  and  even  the  railroad  company's  contributions. 

The  reserve  is  formed  from  the  profits  of  the  fund  until  it  reaches  a 
definite  proportion  (ranging  from  5  to  10  per  cent)  to  the  standing 
obligations  to  the  members,  wives,  children,  pensioners,  widows,  and 
orphans. 

The  fund  of  unclaimed  money  due  to  ex-members  is  kept  separately, 
because  when  such  money  is  not  claimed  within  ten  years  it  reverts 
to  the  orphans'  fund.  The  remaining  liabihties  consist  mainly  of 
special  accounts  for  special  benefit  purposes,  or  actual  debts  of  the 
funds  to  one  another,  or  other  debts. 

LIABILITIES  OF  THE  PENSION  FUNDS  OF  R.ULROADS. 

(Source:  Ministerstvo  Putei  Soobshchenia.  Upravlenie  zheleznykh  dorog.  Upravlenie  dielami  Zhelez- 
nodorozhnavo  Pensionnavo  Komiteta.— Svodnve  Balansy  Pensiounvkh  i  Sberegatelno-vspomoeatelnvkh 
Kass,  dieistvmushchikh  na  russkikh  zheleznykh  dorogakh,  1905,  1906 )  *-       &         / 


January  1, 1905. 

January  1, 1906. 

Accounts. 

Central 

state 

railway 

pension 

fund. 

Inde- 
pendent 
funds  of 

state- 
owned 
railroads. 

Independ- 
ent funds 
of  private 
raUroads. 

TotAl. 

Central 

state 

railway 

pension 

fund. 

Inde- 
pendent 
funds  of 
state- 
owned 
railroads. 

Independ- 
ent funds 
of  private 
rauroads. 

Total. 

Members 

Members'  wives 

Members'  wives 
reserve 

Pensions: 

Old  age 

Widows 

Orphans . . . 

Orphans'  fund. 

Reserve 

Unclaimed ' 

All  other 

$18. 366, 449 
3,204,888 

125,978 

165,216 

118,480 

70,448 

1,914,119 

1,844,885 

360,188 

5,944,598 

$7,124,216 
2,084,841 

158,754 

1,255,971 
900,190 
250,914 
245,085 
405,490 
89,441 
252,849 

$11,028,683 
2,930,652 

143,698 

1,354,068 
680,149 
339,012 
760,434 
770,364 
273, 125 
701,534 

$36,519,348 
8,220,381 

428,430 

2,775,255 
1,698,819 

660,374 
2,919,638 
3,020,739 

722,754 
6,898,981 

$19,841,750 
3,397,760 

132,259 

221.711 

147,704 

84,746 

2,174,848 

2,343,585 

636.728 

6,691,869 

$7,705,770 
2,227,165 

175,246 

1,346,575 
959,535 
261,617 
237,735 
441,756 
135, 166 
247,073 

! 

$12, 236. 839  $39, 784. 359 
3,208,099;     8,833,024 
1 
148,923         456,428 

1,432.853     3,001.139 
726.795'     1,834,034 
352,646;        609,009 
777,512|    3,190,095 
516,185     3,301,526 
437,316      1,209.210 
707,962|     7,646,904 

Total.... 

32,115,24912,767,751 

18,981,719 

63,864,719 

35,672,960 

13,737,638 

20,545,130 

69,955,728 

2284 


KEPORT  OF   THE  COMMISSIONER  OF  LABOR. 


The  organization  of  the  savings-benefit  funds  is  very  much  simpler. 
The  savmgs  fund  is  formed  by  all  the  personal  contributions  of  the 
members,  the  interest  on  investments  of  this  fund,  and  a  certain  share 
of  the  profits;  from  this  fund  the  individual  accounts  are  paid  to  the 
members  at  the  time  of  separation  from  the  service  and  in  case  of 
death  to  the  legal  heirs. 

The  general  savings  fund  also  consists  of  individual  accounts,  formed 
from  the  railroad  companies'  montlily  contributions  an«i  such  minor 
sources  of  revenue  as  the  sale  of  unclaimed  baggage  and  freight ,  also  t  he 
interest  on  this  fund,  a  portion  of  the  general  profits  of  the  funds,  etc. 

Payments  from  this  fund  are  made  only  to  the  members  of  the  fund 
at  the  time  of  separation  from  the  service,  or  to  their  widows  or 
orphans,  after  a  certain  length  of  service. 

In  addition  there  is  a  special  benefit  fund,  to  which  are  diverted  the 
fines  and  penalties,  liabilities  of  the  fund  unclaimed  for  ten  years,  the 
advertising  and  newspaper-selling  privileges,  interest,  and  a  portion 
of  the  profits  of  the  general  fund.  Special  benefits  are  paid  from  tliis 
in  accordance  with  the  constitution  of  each  savings-ben (^fit  fund. 

LIABILITIES  OF  THE  SAVINGS-BENEFIT  FUNDS  OF  RAILROADS,  1905  AND  1906. 
ISource:  Ministerstvo  Putei  Soobshchenia.    Upravlenie  zheleznykh  dorog.    Upravleaie  dielaml  Zhelez- 
noclorozhnavo  Komiteta.-Svodnye  Balansy    Pensionnykli   i    Sberegatelno-vS)om(Satehiv^ 
dieistvumshchikh  na  russkikh  zheleznykh  dorogakh,  1905  ]'m  ]    "^^^^^saiw^o-vsponiogaiemyjin    Kass, 


Accounts. 


Savings  fund 

Genoml  benefit  fund 
Special  benefit  fund 
All  other  accounts . . 

Total 


1905. 


State  rail- 
ways. 


$6,613,236 

3, 186, 038 

»«,  743 

754,257 


Private 
railways. 


$271,707 

113.658 

33.114 

7,006 


11,420,274 


475,485 


Total. 


$6,884,943 

3.349.696 

889,857 

761 , 263 


11,896,759 


1906. 


State  rail- 
ways. 


$6,867,859 

3,284.682 

869,647 

1,109,407 


Private 
railways. 


$310,454 

179.997 

-J5. 444 

7,925 


12, 131, 595 


633,820 


Total. 


$7,178  313 

3,464  679 

905,091 

1,117,332 


12,665,415 


The  next  table  contains  a  summary  statement  of  the  income  and 
expenditures  of  the  pension  funds  and  savings-benefit  funds  for  1904 
and  1905.  The  various  payments  of  the  members  are  the  most  impor- 
tant sources  of  income.  In  1905  the  proportions  were  unusual  (m 
account  of  the  10,000,000  rubles  ($5,150,000)  contributed  from  the 
state  treasury  to  the  state  railway  fund;  thus  in  1905  the  contribu- 
tions of  the  members  was  only  25  per  cent  of  the  total  revenues  of 
pension  funds,  while  in  1904  members  contributed  41  per  cent. 

The  proportions  in  1904  for  the  pension  funds  and  the  savings- 
benefit  funds  were  as  follows:  41.2  per  cent  from  meml>ers,  29.6  per 
cent  from  employers,  29.2  per  cent  from  financial  operations  for  the 
pension  funds,  and  33.6  per  cent,  40.5  i)er  cent,  and  25.9  per  cent, 
respectively,  for  savings-benefit  funds. 

The  savings-benefit  funds  have  no  entrance  fees,  which  reduces 
materially  the  contributions  of  the  members. 

Many  of  the  special  sources  of  revenue  of  the  funds  are  compara- 
tively trivial.     The  income  from  advertising  privileges  and  sale  of 


CHAPTER  IX. — workmen's  INSURANCE  IN  RUSSIA.  2285 

unclaimed  baggage  is  the  most  important  of  those  specially  indicated. 
The  state  railway  fund  and  a  few  independent  funds  have  addi- 
tional sources  of  income,  such  as  the  restaurant  privilege  and  special 
subsidies  which  will  be  specially  mentioned  in  a  subsequent  section. 
The  activity  of  the  funds  may  be  gauged  from  the  fact  that  the 
expenditure  for  1904  was  $5,470,913,  or,  deductmg  the  loss  from 
depreciation  of  securities,  $4,823,550.  Only  a  small  portion  of  this 
goes  for  expenses  of  administration,  less  than  4  per  cent.  As  a 
matter  of  fact,  the  expenses  of  administration  of  the  state  railway 
fund  are  assumed  by  the  treasury,  and  those  of  one  large  private 
road  (Warsaw- Vienna  Railroad)  by  the  railroad  company;  and 
eUminating  these,  the  cost  of  administration  was  $174,427  out  of 
total  expenditures  of  $2,896,357,  or  6  per  cent.  A  further  analysis 
of  the  expenditures  shows  that  the  greatest  share  of  payments  made 
is  in  the  form  of  lump  sums  to  persons  who  have  not  yet  earned  a 
pension.  This  is  explained  in  part  by  the  fact  that  the  fund  has 
existed  only  16  years  (1888  to  1905)  and  the  number  of  persons  who 
have  earned  a  pension  is  comparatively  small. 

INCOME  AND  EXPENDITURES  OF  PENSION  FUNDS  AND  SAVINGS-BENEFIT    FUNDS 

OF  RAILROADS,  1904  AND  1905. 
INCOME. 

[Source:  Ministerstvo  Putei  Soobshchenia.  Upravlenie  zheleznykh  dorog.  Upravlenie  dielami  Zhelez- 
nodorozhnavo  Peiisionnavo  Komiteta-Svodnye  Balansy  Pensionnykli  i  Sberegatelno-vspomogatelnvkh 
Kass,  dieistvuiushchikh  na  russkikh  zheleznykh,  dorogakh.  1905,  1906  J  f        t,         j 


Item. 


Members'  contributions: 

Monthly  deductions 

Entrance  fees 

Promotion  deductions 

Premium  deductions 

Voluntary  contributions 

Total 

Railway  contributions  and  other  rev- 
enues: 

Annual  contributions 

Inlerest  on  loans 

Fines  and  penalties ..[.. 

Advertising  privileges  and  news- 

Saper  selling 
e  of  unclaimed   baggage  and 

freight 

Unclaimed  wages 

Unclaimed    interest    on    railroad 

stocks  and  bonds 

Contributions 

Railway  companies'  payments  fw 

pensions  to  mjured 

Other  revenues 

Total 

Revenues  from  financial  operations: 

Interest  on  investments 

All  other  financial  operations 

Total 

Grand  total 


1904. 


Pension 
funds. 


$3,233,511 

307,329 

480,576 

167,799 

20,903 


4,210,118 


1,592.005 
13.057 
33,837 

45,485 

50,287 
30,263 

2,363 
1,574 

109,651 
1,149,854 


Savings- 
benent 
funds. 


$622,292 


57,438 

24,337 

4,931 


708,998 


Total. 


$3,855,803 

307,329 

538,014 

192,130 

25,834 


4,919,116 


313,138 
3,405 
6,809 

20,325 

5,722 
3,515 


30 

'soo.iig 


I  1,905,143 
16.462 
40,646 

65,810 

56,009 
33,778 

2,363 
1,604 

109, 651 
1,649,973 


3,028,376  !    853,063 


2,966,866 
19, 177 


539,937 
5,042 


2,986,043  I    644,979 


10,224,537   2,107,040 


3,881,439 


1905. 


Pension 
funds. 


Savings-  \ 
benefit   |    Total, 
funds.    I 


$3,112,171 

310,868 

400,546 

181,411 

21,627 


$603,816   $3,715,987 

310,868 

439,910 

205.944 

24,588 


39,364 

24,533 

2,%1 


4,026,623       670,674  I  4.697,297 


1,536,746 
12.231 
64,314 

46,240 

30.915 
24,341 

2,415 
3,074 

109,858 
7,576,440 


303.008 

2.751 

14,165 

20,841 

3.248 
13,575 

22,016 
651 


192,870 


9,406,574       673,125 


1,839,754 
14.982 
78,479 

OT.flSl 

34.  It  .3 
37,916 

24.431 
3,725 

109,858 
7,769,310 


9,979,liS9 


3,506,803 
24,219 


2,727,257 
17,630 


3,531,022     2,744,887 


12,331,577 


16,178,084 


495. 207 
2,684 


497,891 


1,741,690 


3,222,464 
20,314 


3,242,778 


17,919,774 


2286 


REPORT   OF   THE  COMMISSIONER   OF   LABOR. 


CHAPTER   IX. workmen's   INSURANCE   IN    RUSSIA.  2287 


INCOME  AND  EXPENDITURES  OF  PENSION  FUNDS  AND  SAVINGS-BENEFIT  FUNDS 

OF  RAILROADS,  1904  AND  1905— Concluded. 

EXPENDITURES. 


Item. 


Lump-sum  payments  to  members  and 
wiaows 

Members'  pensions  and  capitalized  pen- 
sions   

Widows'  pensions  and  capitalized  pen- 
sions   

Orphans'  benefits,  pensions,  and  cap- 
italized pensions 

Old  claims  repaid 

Expenses  of  administration 

Other  expenises 


1904. 


Pension 
funds. 


$1,864,727 

663,121 

372,460 

192,744 
212,937 
133,585 
312,289 


Total  expenditures 

Loss  from  depreciation  of  investments. . 

Total  expenditures  and  losses — 


3,751,863 
381,663 


Savings- 
benefit 
funds. 


$842,496 


Total. 


176,000 
40,842 
12,340 


$2,707,223 

663,121 

372,460 

192,744 
388,946 
174,427 
324,629 


1905. 


Pension 
funds. 


1,071,687 
265,700 


4,133,526 


1,337,387 


$2,374,810 

923,223 

327,043 

167, 792 
176,819 
134,900 
974,079 


Savings- 
benefit 
funds. 


$591,665 


TotaL 


4,823,550 
647,363 


5,470,913 


5,078,666 
1,412,034 


6.491,600 


161,238 
38,403 
46,914 


$2,966,475 

023,223 

327,043 

167,792 

338,057 

173,303 

1,020,993 


838,220 
102,188 


940,408 


5,916,886 
1,515,122 


7,432,008 


Data  are  available  for  the  State  Railway  Employees*  Pension  Fund 
from  the  date  of  its  organization  in  1895  to  January  1,  1907.  The 
assets  at  the  end  of  the  first  year  of  its  operations  were  $2,575,233, 
and  after  13  years  reached  $38,565,513.  The  increase  is  uniformly 
continuous,  except  that  during  1904  the  increase  in  the  assets  was 
$7,377,676,  due  to  the  allowance  by  the  state  treasury  of  10,000,000 
rubles  ($5,150,000)  during  that  year,  in  accordance  w  ith  the  rules  of 
June  2  (15),  1903. 

ASSETS  OF  THE  STATE  RAILWAY  EMPLOYEES'  PENSION  FUND  ON  JANUARY  I,  1895, 

AND  1899  TO  1907. 

[Source:  Ministerstvo  Putei  Soobshchenia.  Upravlenie  zheleznykh  dorog.  Sbornik  upravlenia  dielaml 
pensionnoi  kassy  sluzhashchikh  na  kazionnykh  zhcleznylih  dorogakh,  1897.  Miiilst6re  dee  Voles  de  Com- 
munication. Administration  des  Chemins  de  fer  de  rEmpire.  Recueil  de  la  Direction  du  Coiuite  det 
Pensions,  1900.  Ministerstvo  Putei  Soobshchenia.  Upruvlenie  zheleznykh  dorog.  Otchot  pensionnoi 
kassy  sluzhashikh  na  kazionnykh  zheleznykh  dorogakh,  1900-1907.] 


Account. 

1896. 

lUlnl* 

1900. 

1901. 

1902. 

Members'  account 

$1,693,460 
254,841 
527,737 

16,355,943 

1.427,873 

1,012,741 

35,222 

83,259 

21,070 
167,971 
823,415 
550,659 

$7,745,459 

1,740,350 

1,132,119 

55,159 

115,918 

32,669 
177.955 
829,297 
543,663 
195,258 

$9,237,102 

2,090,350 

1,274,419 

84,634 

155,863 

45,980 
193.165 
455,173 
651.894 
220.701 

$11,087,370 

Wives'  account 

2,507,827 

Omhans'  fund 

1,417,828 

Members'  accrued  nension  account .... 

114,778 

Widows'  accrued  uension  accoimt 

208,050 

Reserve  pension  account  of  pensioners' 

74,082 

Unclaimed  accounts 

51,443 
26,492 

2iJ266' 

222, 49« 

Reserve : 

Creditors'  account 

AH  other                  

896.795 
902.746 
155,743 

Total                  

2,575,233 

10,478,153 

12,567,847 

14,409.282 

17  587,715 



Account. 


Members'  account 

Wives'  account 

Orphans'  fund 

Members'  accrued  pension  account 

Widows'  accrued  pension  account 

Reserve  pension  account  of  pensioners' 

wives 

Children  and  orphans'  accrued  pension 

account 

Unclaimed  accounts 

Reserve 

Treasiuy  subsidy  fund 

Creditors'  account •- 

Another 


1903. 


$12,909,238 

2,917,6^7 

1,556,217 

169,122 

266,368 

98,893 


1904. 


1905. 


259,716 
2,002,182 


Total. 


1,244,126 
158,933 


$14,848,358 

3,382,602 

1,699,001 

234, 102 

350,531 

148,520 


322,651 
2,391,149 


21,582,492 


1,244,887 
115,772 


$18,366,449 

3,204,888 

1,914,119 

165,216 

118,480 

125,978 

70,448 

360,188 

1,844,885 

3,780,461 

2,038.276 

125,861 


1906, 


1907. 


119,841,750 

3,397.760 

2,174,848 

221.711 

147,704 

132,259 

84,746 

636,728 

2,343,585 

3,966,682 

2,629,082 

96,105 


34,737,573       32,115,249 


35,672,960 


$21,187,275 

3,581,186 

2,445,767 

179.785 

136,810 

115,630 

97,638 

641,317 

2.829.628 

4.160,258 

a, 099, 873 

90,348 


38,565,513 


The  reports  of  the  State  Railway  Employees'  Pension  Fund  do  not 
show  any  complete  statement  of  income  and  expenditure.  The  main 
sources  of  revenue  and  the  main  expenditures  for  the  years  1900  to 
1906  are  shown  in  the  table  following.  Of  the  secondary  sources  of 
revenue,  that  from  renting  restaurant  privileges  is  the  most  impor- 
tant. That  was  added  after  the  reorganization  of  the  fund  in  1903, 
so  that  the  chief  sources  may  be  classified  into  three  groups — the 
employees'  contributions,  the  state  subsidy,  and  the  interest  on  invest- 
ments. In  addition  to  the  state  subsidy  shown,  must  be  mentioned 
the  annual  payment  of  450,000  rubles  ($231,750)  in  gradual  settlement 
of  the  assumed  debt  of  10,000,000  rubles  ($5,150,000),  wdth  interest 
thereon,  while  the  income  from  interest  on  investments  is  considerably 
reduced  by  frequent  losses  due  to  depreciation  of  securities. 

PRINCIPAL  SOURCES  OF  INCOME  AND  CLASSES  OF  EXPENDITURES  OF  THE  STATE 
RAILROAD  EMPLOYEES'  PENSION  FUNDS,  1900  TO  1906. 

[Source:  Ministerstvo  Putei  Soobshchenia.  Upravlenie  zheleznykh  dorog.  Sbornik  upravlenia  dielam* 
pensionnoi  kassy  sluzhashchikh  na  kazionnyk  zheleznykh  dorogakh,  1897.  Ministere  des  Voies  de  Com- 
munication. Administration  de.s  Chemins  de  fer  de  I'Empire.  Recueil  de  la  Direction  du  Comit6  des 
Pensions.  1900.  Ministerstvo  Putei  Soobshchenia.  Upravlenie  zheleznvkh  dorog.  Otchot  pensionnoi 
kassy  sluzhashikh  na  kazionnykh  zheleznykh  dorogakh,  1900-1906.] 

INCOME. 


Qass. 

1900. 

1901. 

1902. 

1903. 

1904. 

1905. 

1906. 

Members'  contributions: 
Monthly    deductions 

(6  per  cent) 

Admission  fees 

Promotions 

$1,284,260 
220.«)5 
191,403 

55,429 
4,544 

$1,435,204 
2m,  105 
191,507 

58.180 
4,934 

$1,556,236 
237.824 
209,607 

61.529 
5,532 

$l.f*3.G44 
2.J0.226 
206,875 

70.701 

6,487 

$1,555,310 
174.914 
221,819 

70,234 
3, 192 

$1,582,862 
170.387 
220,174 

72,183 
3,550 

$1,786,139 
22:1.632 
227,476 

68.312 
3,068 

Prize-money    deduc- 
tions   

Voluntary  payments. 

Total 

1,756,541 
642,130 

1,955,930 
792. 167 

2,070.728 

857,818 

2,197,933 
880.329 

2,025,469 
777,655 

2.049.156 
976.573 

2,308.627 
1,040.446 

State  subsidy 

Other  revenues: 

Fines  and  penalties. . . 
Unclaimed     baggage 
and  freight 

59,644 
15,075 

13,529 

51,454 

29,578 

15,097 

35,901 
19,505 

14,309 

33,671 
23,211 

20,002 

27,483 
16,318 

20,946 

123,330 

941 

2,128 

16,888 
23,759 

22.231 

156. 196 

14,115 

1,311 

6,188 
17,872 

2:J.597 

187.042 

14.501 

3,097 

Advertising  and 
newspaper    selling 
privi  eges 

Restaurant  privileges. 

Unclaimed  wages 

Other  revenues 

11,967 

273 

2,065 

1,473 

Total 

100.215 
537,952 

96.402 

653,788 

71,780 
803,714 

78.357 
972,097 

191,146 
1,133,820 

ZJ4.500 
1,267,324 

252. '297 
1,422,717 

Interest  on  investments. . . 

EXPENDITURES, 


Premiums  repaid 

Payments  to  wives  of 
memljcrs  discharged 
before  pensions  were 
earned 

Members'  pensions 

Widows'  pensions 

Childrens'  and  orphans' 
pensions 

Unclaimed  accounts  paid . 


$581, 124 


16,300 


51,457 


$664, 978 


24.719 
37,897 


61,483 


$631,566 


25.804 
45,527 


61,235 


$747,054 


21,002 

71.693 

9,057 


96,767 


$801,302 


62,625 
556.735 
150,740 


107, 108 


$740,221  $1,063,720 


39,426 
306. 174 
149,032 

.33. 473 
143,792 


66.856 
442,315 
203,138 

47.353 
341,563 


2288 


REPORT  OF   THE  COMMISSIONER  OF   LABOR. 


The  reports  of  the  State  Railway  Employees'  Pension  P'und  an 
very  incomplete,  but  they  show  that  the  assets  are  accumulating 
rapidly.  As  the  latest  reports  available  are  for  1906,  when  only 
thirteen  years  had  elapsed  since  its  organization,  few  regular  pen- 
sions have  been  paid  out,  and  it  is  difficult  to  determine  as  to  its 
solvency  or  as  to  the  amount  of  pensions.     The  reorganization  of 

1903  and  the  voting  of  a  subsidy  of  10,000,000  rubles  ($5,150,000) 
were  caused  by  an  actuarial  investigation  showing  that  the  reserves 
did  not  come  up  to  the  actuarial  obligations. 

PENSION  FXTND  OF  THE  LIQUOR  MONOPOLY. 

The  transformation  of  the  business  of  Uquor  rectifying  and  most 
of  the  wholesale  and  retail  liquor  business  into  a  government  mon- 
opoly created  a  large  and  growing  army  of  government  employees, 
partly  industrial  but  mainly  commercial.  As  an  exi)eriment  the 
monopoly  was  first  introduced  in  1895  in  a  few  provinces  on  the 
Volga.  Through  rapid  extensions  the  monopoly  in  1901  covered 
European  Russia,  in  1902  was  extended  to  western  Siberia,  and  in 

1904  to  eastern  Siberia.  On  January  1,  1899,  the  jnonopoly  em- 
ployed over  36,000,  and  in  1904  over  ()2,000,  persons.  A  pension 
fund  for  these  workmen  and  commercial  employees  was  established 
and  opened  January  1,  1900.  This  fund  follows  the  general  principles 
of  all  Russian  pension  funds.  The  meml)ers  remam  masters  of  thc^ir 
individual  accounts,  and  may  demand  the  return  of  their  savings 
upon  separation  from  the  service,  but  pensions  only  after  fifteen  years 
of  service.  The  state  treasury,  i.  e.,  the  employer,  contributes  an 
amount  equal  to  one-half  of  the  obhgatory  monthly  contributions  of 
the  members,  and  there  are  also  other  minor  sources  of  revenue,  but 
these  additional  amounts  do  not  become  available  until  after  ten  years 
of  service,  and  then  only  partially  so,  and  are  fully  available  only 
after  fifteen  years. 

All  analysis  of  the  law  shows  that  it  closely  follows  that  of  the 
railway  pension  fund.  All  employees  of  the  Uquor  monopoly  must 
be  members  of  the  fund  except  those  who  receive  less  tJian  120  rubles 
($61.80)  per  annum,  or  wlio  are  over  60  years  old,  or  who  are  em- 
ployed temporarily  for  not  over  one  year.  The  revenues  are  obliga- 
tory and  voluntary  contributions  of  the  employees,  treasury  sub- 
sidies, interest,  and  miscellaneous  revenues.  The  obligatory  revenues 
are  those  which  have  been  found  in  most  other  funds;  an  initiation 
fee  of  10  per  cent  of  the  first  year's  salary,  6  per  cent  of  the  earnings, 
10  per  cent  of  the  special  prizes,  difTerence  in  salaries  for  three 
months  in  cases  of  promotion.  The  difTerence  is  found  in  the  larger 
initiation  fees,  10  per  cent  of  the  fu-st  aimual  wages.  The  treasury 
grants  a  sum  equal  to  one-half  of  the  obligatory  deductions  from 


CHAPTER  IX. WORKMEN  S   INSURANCE   IN   RUSSIA.  2289 

wages.  Pensions,  computed  according  to  the  accumulated  account 
and  the  age,  are  granted  at  the  time  of  separation  from  service  after 
15  years  of  service.  The  member  who  voluntarily  retires  from  the 
service  within  two  years  is  not  entitled  to  any  repayments.  From 
the  beginning  of  the  third  year  and  before  the  end  of  the  tenth  year 
he  receives  his  own  contributions  without  interest;  after  the  com- 
pletion of  the  tenth  year  he  receives  also  the  interest  on  his  pay- 
ments, and  besides  in  the  eleventh  year  25  per  cent,  in  the  twelfth 
year  40  per  cent,  in  the  thirteenth  year  55  per  cent,  in  the  fourteenth 
year  70  per  cent,  and  in  the  fifteenth  year  85  per  cent  of  the  addi- 
tional amounts  credited  to  his  account.  A  distinct  feature  of  this 
fund  is  the  provision  by  which  the  bachelor  or  widower  Avithout 
children  under  18  receives  only  75  per  cent  of  the  amount  due, 
though  not  less  than  his  own  contributions  with  interest  accrued. 
The  family  of  the  employee  who  was  separated  from  the  service  before 
having  earned  a  pension  has  no  claim  upon  the  fund,  but  the  widow 
and  orphans  of  a  member  of  the  fund  who  died  while  in  the  service 
receive  pensions,  no  matter  what  had  been  the  length  of  service  of 
the  employee.  The  widow  receives  one-half  of  the  pension  to  which 
her  husband  would  have  been  entitled;  each  child  under  IS  years  of 
age,  when  the  mother  is  living,  receives  one-sixth  of  the  pension,  but 
all  children  receive  no  more  than  one-lialf  the  pension.  Orphans 
receive  one-fourth  of  the  pension  each;  but  the  maximum  for  all 
orphans  is  three-fourths  of  the  pension.  The  actual  pensions  of  the 
employee,  as  Well  as  of  the  widows  and  children,  and  the  capitahzed 
value  of  these  pensions,  are  computed  according  to  special  tables, 
which  in  absence  of  satisfactory  Russian  mortahty  statistics  were 
prepared  from  German  mortality  data. 

CapitaUzation  of  parts  of  pensions  in  excess  of  50  per  cent  of  the 
annual  wages,  as  well  as  of  small  pensions  to  widows  and  orphans, 
were  permitted. 

The  general  administration  of  the  pension  fund  is  intrusted  to  a 
central  committee  connected  with  the  department  of  indirect  taxation 
and  liquor  monopoly,  of  the  Ministry  of  Finance,  which  takes  care  of 
the  general  control,  of  the  investments,  of  the  statistics,  etc.,  and 
regulates  the  pensions.  The  chief  of  the  department  is  ex  officio 
chairman  of  the  committee,  and  the  members  are  appointed  by  the 
minister  of  finance,  primarily  from  the  leading  officials  of  this  depart- 
ment. The  local  administration  is  done  by  provincial  committees, 
presided  over  by  the  local  chiefs  of  Excise  taxation,  and  consisting 
of  members  appointed  by  the  minister  of  finance. 

An  annual  appropriation  of  29,520  rubles  ($15,203)  is  made  by 
the  Government  to  cover  the  cost  of  administration  of  this  pension 
fund. 


2290 


REPORT  OF   THE  COMMISSIONER  OF  LABOR. 


STATISTICS. 

The  table  following  shows  the  total  number  of  employees  of  the 
liquor  monopoly,  the  membership  of  the  pension  fund,  and  the 
number  and  per  cent  of  the  total  employees  in  each  class  exempted 
from  compulsory  membership : 

NUMBER  OF  EMPLOYEES  OF  THE  LIQUOR  MONOPOLY,  MEMBERSHIP  OF  THE  PEN- 
SION FUND,  AND  NUMBER  AND  PER  CENT  OF  TOTAL  EMPLOYEES  IN  EACH  CLASS 
EXEMPTED  FROM  COMPULSORY  MEMBERSHIP  AT  THE  BEGINNING  OF  EACH  YEAR, 
1901  TO  1906. 

[Source:  Ministerstvo  Finansov.    Otchiot  Pensiomioi  Kassy  vornonaiomnykh  sluihashchikh  po  kaziounoi 

prodazhe  pitei,  1900-1905.J 


Total 
num- 
ber of 
em- 
ploy- 
ees. 

Employees  not  members  of  pension  fund  because — 

Year. 

Members  of  pen- 
sion funcL 

Receiving  less 
than  120  rubles 
($61.80)  per  an- 
num. 

Employed  tem- 
porarily. 

Over  60  years 

of  age' at  tiin« 

of  employment. 

TotaL 

- 

Num- 
ber. 

Per  cent 
of  total 
employ- 
ees. 

Num- 
ber. 

Per  cent 
of  total 
employ- 
ees. 

Num- 
ber. 

Per  cent 
of  total 
employ- 
ees. 

Num- 
ber. 

Per 
cent  of 

total 

em- 
ployees. 

1.6 
1. 1 
1.1 

10 

1.0 

.8 

Num- 
ber. 

Percent 

of  total 

employ- 

ee». 

1901.... 

1902 

1903 

1904.... 

1905 

1906....; 
1 

43,793 
61,685 
62.612 
62,457 
62,465 
64,628 

26,424 
42,441 
48,922 
50,403 
49.780 
45,025 

60.4 
68.8 
78.3 
80.7 
79.7 
69.7 

6,221 
6,770 
5,957 
5,658 
5,008 
3,766 

14.2 
11.0 
9.5 
9.1 
8.0 
5.8 

10,481 
11,766 
6,926 
5,744 
7,078 
6,315 

23.9 
19.1 
ILl 

9.2 
1L3 

9.8 

667 
708 
732 
652 
599 
562 

17,369 
19,:t44 
13,  615 
12, 054 
12,«i85 
a  19, 603 

S9.6 
31.2 
iL7 
19.3 
20.3 
;J0.3 

a  Includes  8,960  (13.9  per  cent)  lower  grade  employees,  receiving  over  120  rubles  (l«ll  80)  per  annum,  who 
declined  to  be  members  of  the  fund,  in  accordance  with  the  order  of  December  2  (16),  1905,  inaklne  mem- 
bership m  the  fund  optional  for  these  employees.  \    n        ,  t. 

The  total  number  of  employees  at  the  time  of  organization  of  the 
fund  was  about  40,000,  and  by  1906  had  reached  64,628,  due  to 
extension  of  the  Uquor  monopoly.  Within  the  same  brief  period  the 
membersliip  in  the  fund  has  neariy. doubled,  increasing  from  26,424  in 
1901  to  45,025  in  1906.  In  proportion  to  the  total  number  of  em- 
ployees the  membership  in  the  fund  has  increased  from  60.4  per  cent 
in  1901  to  69.7  per  cent  in  1906.  The  exemption  from  o]>ligatory 
membership  applies  to  three  classes,  those  receiving  a  salary  of  less 
than  120  rubles  ($61.80)  per  annum,  those  employed  temporarily,  for 
less  than  one  year,  and  those  who  enter  the  service  when  over  60 
years  of  age,  the  last  group  being  numerically  unimi)ortant.  The 
temporary  employees  represent  the  greatest  exempted  group,  but  it 
has  rapidly  decreased  from  nearly  one-fourth  of  all  employees  to  h^ss 
than  10  per  cent.  The  number  of  employees  receiving  less  than  120 
rubles  ($61.80)  per  annum  is  also  gradually  decreasing  because  of  an 
increase  in  average  salaries.  From  1903  to  1906  the  average  annual 
wages  of  the  male  employees  have  increased  from  422  to  453  rubles 
($217  to  $233),  and  the  wages  of  the  female  employees  from  332  to 
351  rubles  ($171  to  $181),  the  average  wages  of  all  employees  increas- 
ing from  398  to  423  rubles  ($205  to  $218). 


CHAPTER  IX. — workmen's  INSURANCE   IN   RUSSIA.  2291 

The  following  table  shows  the  membersliip  by  sex: 

MEMBERSHIP  OF  THE  LIQUOR  MONOPOLY  PENSION  FUND  AT  THE  BEGINNING  OF 

EACH  YEAR,  BY  SEX,  1901  TO  1906. 

(Source:  Ministerstvo  Finansov.    Otchiot  Pensionnoi  Kassy  vornonaiomnykh  slurfiashchikh  po  karionnoi 

prodazhe  pitei,  1900-1905.] 


Year. 


1901. 
1902. 
1903. 
1904. 
1905. 
1906. 


21,507 
32,484 
36,153 
36,602 
35,125 
37,745 


85.2 
76.5 
73.7 
72.6 
70.1 
70.5 


Females. 

1 

Number. 

Per  cent. 

4,917 

14.8 

9,957 

23.5 

12,769 

26.3 

13,809 

27.4 

14,652 

29.9 

13,280 

29.5 

Total 
member- 


26,424 
42,441 
48,997 
50,411 
49,777 
45,025 


a  Some  of  these  totals  do  not  agree  with  the  sum  of  the  items  nor  with  totals  in  other  tables:  the  figures 
are  given  as  shown  in  the  original  reports. 

The  marked  decrease  in  the  membership  of  the  fund  from  1905  to 
1906  is  explained  by  the  effect  of  the  order  of  December  2  (15),  1905, 
which  reheved  all  wage-workers  and  lower  grade  employees  of  the 
Hquor  monopoly  from  obhgatory  membership  in  the  fund,  making  it 
optional.  Because  of  this  ruhng  the  membership  fell  from  79.7  per 
cent  of  the  total  number  of  employees  in  1905  to  69.7  per  cent  in 
1906. 

The  effect  of  the  rule  may  be  seen  from  the  tables  showing  the  com- 
position of  the  membership  of  the  fund.  Four  large  groups  of  em- 
ployees may  be  differentiated,  the  clerical  and  administrative  em- 
ployees of  the  central  and  provincial  offices,  the  salesmen  in  the 
liquor  monopoly  stores,  the  lower  grade  employees,  and  the  workmen 
in  warehouses  and  distilleries.  The  next  table  shows  the  number  and 
per  cent  in  each  of  these  classes. 

MEMBERSHIP    OF    THE    LIQUOR    MONOPOLY    PENSION    FUND,  BY   CLASSES    OF 

EMPLOYEES,  1901  TO  1906. 

[Source:  Ministerstvo  Finansov.    Otchiot  Pensionnoi  Kassy  vol'nonaiomnykh  sluzhaschikh  po  kazionnoi 

prodazhe  pitei,  1900-1905] 


Year. 


1901 
1902 
I9a3 
1904 
1905 
1906 


Employees  of  dis- 
tilleries, ware- 
houses, and  lab- 
oratories, clerks, 

and  bookkeepers. 


Number. 


2.468 
3,489 
3,561 
3,669 
3,654 
3,678 


Per 

cent. 


9.4 
8.3 
7.3 
7.3 
7.4 
8.2 


Salesmen  and 
collectors. 


Number. 


Per 
cent. 


19,799 
27,514 
29,335 
29,327 
29,690 
29,592 


74.8 
64.8 
59.8 
58.2 
59.6 
65.7 


Lower  grade  em- 
ployees (copyists, 
watchmen,  etc.). 


Number. 


1,704 

3,099 
3,669 
4,038 
3,792 
2,720 


Per 
ceiA. 


6.5 
7.3 
7.6 
8.0 
7.6 
6.0 


Workmen  in 

warehouses  and 

distilleries. 


Number. 


2,462 

8,339 

12,432 

13,377 

12.641 

9,035 


Per 

cent. 


9.3 
19. 6 
25.3 
26.5 
25.4 
20.1 


Total 
member- 
ship. 


a  26, 462 
42, 441 
48,997 
50,411 
49, 777 
43,025 


o  This  total  is  not  the  correct  sum  of  the  items;  the  figures  are  given  as  shown  in  the  original  report. 


2292 


BEPORT  OF   THE  COMMISSIONER  OF   LABOR. 


The  salesmen  and  collectors  constitute  from  tliree-fifths  to  two- 
thirds  of  the  membersliip  of  the  fund,  while  workmen  constituted  over 
one-fourth  before  the  order  of  December  2  (15),  1905,  went  into  effect, 
and  only  one-fifth  the  following  year.  This  distribution  of  the  mem 
bership  of  the  fund  differs  materially  from  that  of  the  employees,  both 
because  practically  all  of  the  persons  receiving  an  annual  remuneration 
of  less  than  120  rubles  ($61 .80)  belong  to  the  classes  of  the  lower  grade 
employees  and  wage-earners,  and  that  temporary  employment  is  more 
frequent  in  the  same  classes,  as  is  shown  in  the  table  following. 

PROPORTION  OF  EMPLOYEES  BELONGING  TO  THE  LIQUOR  MONOPOLY  PENSION 

FUND,  1901  TO  1906. 

tSouree:  Ministerstvo  Finansov.    Otchiot  Pensionnoi  Kassy  vol'  nonaiomnykh  sluzhaschikh  po  kazionnoi 

prodazhe  pitei,  1900  lyoo.] 


Class  of  employees  and  year. 


Employees  of  distilleries,  warehouses,  and  labora- 
tories, clerks,  and  l)ookkeepers: 

1901 

1902 

1903 

1904 

1905 ; 

1906 "" 

Salesmen  and  collectors: 

1901 

1902 

1903 

1904 ■;■"■ 

1905 

1900 !!!!!!!!.*; 

Lower  grade  employees: 

1901 

1902 

1903 

1904 

1905 '. 

190G ;;;;;; 

Workmen: 

1901 

1902 

1903 

1904 

1905 

i90(i ;;.■; 

All  employees: 

1901.." 

1902 

1903 

1904 

1905 

1900 


Number  of  employees. 


Memliers  of  the  fund. 


Total. 


Receiving 
over  120  ru- 
bles (161.80) 
peraimum. 


Total. 


2,545 
3,672 
3,613 
3,724 
3,n8 
3,754 

20,443 
28,187 
29,972 
29,856 
30,260 
30,093 

3,969 
5,366 
5,356 
5,356 
5,377 
5,326 

16,843 
24,460 
2:3,671 
23,529 
23, 107 
25,455 

43,831 
61,685 
62,612 
C2, 465 
62,462 
64,628 


2,545 
3,672 
3,613 
3,723 
3,n7 
3,752 

20,440 
28,185 
29,972 
29,856 
30,260 
30,093 

3,836 
5,240 
5,213 
6,236 
5,259 
5,206 

10,758 
17,819 
17,857 
17, 992 
18, 218 
21,811 

37,610 
54,915 
66,(>55 
5(5, 807 
67, 454 
60,862 


2,468 
3,489 
3,561 
3,669 
3,654 
3,678 

19,799 
27,514 
29,335 
29,327 
29,690 
29,592 

1,709 
3,099 
3,669 
4,038 
3,792 
2,720 

2,462 

8,339 

12,432 

13,377 

12,641 

9,035 

26,462 
42,441 
^8,997 
50,411 
^9,777 
45,025 


Per  cent 
of  all  em- 
pJoyees. 


Percent  of 

employees 

receiving 

over  120  ru- 

bles($61.80). 


97.0 
97.7 
95.8 
98.5 
98.3 
98.0 

96.8 
97.6 
97.8 
98.2 
98.1 
98.3 

42.9 
57.8 
68.5 
75.4 
70.5 
6L1 

14.6 
34.1 
52.5 
66.9 
54.7 
35.7 

60.4 
68.8 
78.3 
80.7 
79.7 
C9.7 


97.0 
97.7 
95.8 
98.5 
08.3 
98.0 

96.8 
97.6 
97.8 
96.2 
U8.1 
98.3 

44.4 
59.1 
70.4 
77.1 
72.1 
62.2 

22.9 

46.8 
69.6 
74.4 
09.4 
41.4 

70.4 
77.3 
S6.5 
R8.7 
«5.6 
74.0 


Practically  all  the  employees  of  the  first  two  groups  receive  over 
120  rubles  ($61.80)  per  annum,  while  the  lower  grade  employees 
nearly  all  receive  over  this  amoimt,  yet  in  1904,  the  year  of  greatt^st 
membership,  24.6  per  cent  were  not  membei-s  of  the  fund.  A  very 
large  per  cent  availed  themselves  of  the  opportunity  oifered  by  the 
decree  of  December  2  (15),  1905,  so  that  by  the  end  of  that  year  only 


CHAPTER  IX. workmen's  INSURANCE   IN   RUSSIA.  2293 

51.1  per  cent  of  the  lower  grade  employees  retained  their  membership 
in  tlie  fund. 

The  falhng  off  was  still  greater  among  the  class  termed  '^workmen;" 
in  the  begmning  of  1905,  4,889  received  less  than  120  rubles  ($61.80) 
per  annum,  and  as  many  men  were  employed  temporarily,  only  54.7 
per  cent  of  the  workmen  and  only  69.4  per  cent  of  those  recei\4ng  over 
120  rubles  ($61.80)  held  membersliip  in  the  fund;  and  so  many  availed 
themselves  of  the  opportunity  to  drop  their  membership  that  on  Jan- 
uary 1,  1906,  only  41.4  per  cent  of  those  receiving  over  120  rubles 
($61.80), and  altogether  only  35.7  percentof  all  the  workmen  employed 
remained  in  the  fund.  The  reason  must  probably  be  sought  first  in 
the  very  heavy  deductions  which  are  a  hardship  when  the  very  low 
rate  of  wages  is  considered,  and  also  in  the  shifting  character  of  the 
occupation ;  for  according  to  the  by-laws,  a  member  leaving  employ- 
ment in  the  liquor  monopoly  before  two  years  of  service  loses  the  accu- 
mulations credited  to  his  account,  including  his  own  contributions 
to  it.  As  appears  from  the  table  following,  a  great  many  changes 
take  place  in  the  body  of  employees,  and  in  the  aggregate  the  losses 
of  such  members  are  considerable.  For  the  three  years,  1903,  1904, 
and  1905,  a  total  of  32,110  persons  left  the  fund.  Of  these  only  1,654 
left  by  death  or  total  disability,  16,645  resigned  voluntarily,  and  4,311 
were  dismissed. 


CHANGES  IN  MEMBERSHIP  OF  THE  LIQUOR  MONOPOLY  PENSION  FUND,  1900  TO  1905. 

[Source:  Ministerstvo  Finansov.    Otchiot  Pensionnoi  Kassy  vol 'nonaiomnykh  po  kazionnoi  prodazhe 

pjtei,  1900-1905.] 


Member- 
ship at 

beginning 
of  year. 

Admitted 

during 

year. 

Meml>ers  lost  during  year. 

Year. 

Resigned 
volun- 
tarily. 

Dis- 
missed. 

Position 
abol- 
ished. 

Died. 

Totally 

dis- 
abled. 

Entered 

military 

service. 

Other 
reasons. 

Total. 

1900 

20, 534 
26,424 
42, 441 
48, 922 
50, 403 
49,780 

8,492 
23,432 
14,977 
9,869 
8,495 
9,854 

1,708 
5,095 
5,161 
5,689 
5,420 
5,036 

528 
1,291 
1,828 
1,639 
1,411 
1,261 

1.31 
373 
567 
467 
339 
307 

119 
294 
302 
373 
309 
432 

52 
125 
152 
156 
171 
153 

40 

76 

127 

132 

1,387 

591 

99 

220 
24 

28 
G,229 

2,578 
7,353 
8,357 

»,?m 

9,121 
14,e09 

1901 

1902 

1903 

1904 

1905 

The  following  table  gives  the  distribution  of  the  membership  by 
sex  and  marital  condition,  also  including  the  number  of  cliildren, 
and  a  computation  of  the  total  number  of  persons  (members,  wives, 
and  cliildren)  protected  by  the  pension  fund.  In  1906  the  total 
membership  was  45,025  and  the  number  of  persons  enjoying  the 
protection  of  the  fund  was  150,274,  or  more  than  three  times  the 
membership. 


2294 


HEPORT   OF   THE  COMMISSIONER  OF  LABOR. 


NUMBER  OF  PERSONS  PROTECTED  BY  THE  LIQUOR-MONOPOLY  PENSION  FUND,  BY 

SEX  AND  MARITAL  CONDITION,  1901  TO  1906. 

[Source:  Ministerstvo  Finansov,    Otchiot  Penslonnoi  Kassy  vornonaiomnykh  po  kaKlonnoI  prodazhe  pitef 

1900-1905.1 


Sex  and  marital  condition. 


MALE  MEMBERS. 

Single 

Married 

With  children 

Without  children 

Widowed 

With  children 

Without  children 

Total  male  members 

With  children 

Without  children 

FEMALE   MEMBERS. 

Single 

Married '. 

With  children 

Without  children 

Widowed 

With  children 

Without  children 

Total  female  members 

With  children 

Without  children ] .  ] 

Total  membership 

Members'  wives 

Children 

Total  persons  protected  by  the  pension 
system  (a) 


I'ersons  protected  on  January  1. 


1901. 


3.388 

17,792 

14,002 

3,790 

367 

231 

136 


21,547 

14,233 

7,314 


1,615 
1,674 
1,153 

521 
1,626 
1,142 

484 


4,915 
2,295 
2,620 


26,462 
17,792 
45,836 


90,090 


1902. 


5,566 

26,377 

20,317 

6,060 

541 

357 

184 


32,484 
20.674 
11,810 


4,082 
3,298 
2,094 
1,204 
2,577 
1,791 
786 


9,957 
3,885 
6,072 


42,441 
26.377 
fi6,627 


i:i5,445 


1903. 


6,051 

29,552 

22,831 

6,721 

612 

373 

239 


36,215 
23,204 
13,011 


5,714 
4,117 
2,589 
1,528 
2,951 
2,065 
886 


12,782 
4,654 
8,128 


48.997 
29,552 
75,957 


154,506 


1904. 


5,866 

30.094 

23.  304 

6.790 

642 

400 

242 


36,602 
23,704 
12,898 


6,193 
4,470 

2,808 

I,  mi 

3,146 

2,166 

960 


13,809 
4,974 
8,835 


50,411 
30,094 
79,  255 


159, 700 


1905. 


5.239 

29.235 

22.862 

6.373 

651 

411 

240 


35.125 
23.273 
11.852 


400 
854 
123 
731 
398 
331 


1,067 


14.652 
5.454 
9.198 


49. 777 
29.235 
81.140 


160. 152 


1906. 


4,002 

27.120 

21,268 

5,852 

623 

401 

222 


31,745 
21,669 
10, 076 


5,523 
4,296 
2,803 
1,493 
3,461 
2,354 
1.107 


13,280 
5,157 
8,123 


45.025 
27,120 
78.129 


150,274 


o  The  husbands  of  female  employees,  who  are  entitled  to  pensions  only  under  exceptional  circumstances, 
are  not  included.  ' 

The  main  data  in  regard  to  the  financial  operations  are  brought 
together  in  the  table  following.  Thougli  the  fund  has  been  in  exist- 
ance  a  short  time  only,  its  accumulations  are  considerable,  growing 
from  1,869,154  rubles  ($962,614)  on  January  1,  1901,  to  12,533,271 
rubles  ($6,454,635)  on  January  1,  1906.  This  is  natural,  since  in  the 
earlier  years  only  a  few  pensions  were  paid,  and  these  were  small, 
fifteen  years'  membership  being  necessary  for  a  full  pension.  Wliile 
the  expenditures  are  formally  almost  equal  to  the  income,  they 
mostly  represent  purchase  of  securities  for  investments.  The  income 
is  seen  to  consist  mainly  of  contributions  by  members,  subsidies  from 
the  State,  and  interest  on  investment.  The  expenses,  besides  the 
payment  of  compensation  and  subsidies,  are  very  small.  The  totals 
of  the  individual  members'  accounts  are  also  shown,  the  main  sources 
of  growth  of  these  being  the  6  per  cent  salary  deductions,  but  the 
large  initiation  fees  and  the  deductions  from  promotit»ns  are  quite 
considerable.  The  largest  deductions  in  the  earlier  years  were  on 
account  of  members  leaving  the  service.  Deaths  claimed  only 
small  sums. 


CHAPTER  IX. — WORKMEN  S  INSURANCE   IN   RUSSIA. 
.  FINANCES  OF  THE  LIQUOR-MONOPOLY  PENSION  FUND,  1900  TO  1905. 


2295 


[Source:  Ministertov  Finansov.    Otchiot  I'ensionnoi  Kassy  vol'nonalomnykh  po  kazionnoi  prodazhe  piteL 

lyOO-1905.) 


Item. 

1900. 

1901. 

1902. 

1903. 

1904. 

1905. 

Balance  on  hand  at  beginning  of  year. . . 

$962,614 
2,355,677 

$2,355,677 
3,536,438 

$3,536,438 
4,590,208 

$4,590,208 
5,362,862 

$5,362,862 
6,454.635 

Balance  on  hand  at  end  of  year 

$962,614 

Income: 

Membership  deductions  and  con- 
tributions  

781.691 

179,  li58 

12.996 

13,697 

1,043.506 

282. 713 

94,283 

60,586 

875.231 

252,973 

144,110 

59,931 

791, 574 

275,783 

193,503 

27,040 

823,424 

311,996 

241,516 

61,777 

823  118 

State  subsidies 

302  522 

Interest  on  securities 

288  875 

All  other 

51  694 

Total 

987,642  i  1,481,088 

1.332,245 

1,287,900 

1,438,713 

1,466,209 

Expenditures: 

Purchase  of  securities 

805,920 

1,474,980 

10,713 

5,537 

1,255,993 
83,513 
21,205 

1,084.358 

203,854 

7,308 

1,084,174 

311.211 

5,808 

1.101  37S 

Compensation,  subsidies,  etc 

324  327 

All  other  expenses 

4,095 

4,037 

Total 

810.015 

1,491,230 

1,360,711 

1,295,520 

1.401,193 

1,429  738 

Members'  accounts: 

At  the  beginning  of  the  year 

740. 187 
1,780.242 

1,780.242 
2.830,150 

2.830.150 
3,747.905 

3,747,905 
4,588,339 

4  588  339 

At  the  end  of  the  year 

740, 187 

6.060  544 

Added  to  members'  accounts: 
Members'  contributions- 
Six  per  cent  salary  deductions.. 

Ten  per  cent  initiation  fees 

Promotion  deductions 

Premium  deductions. 

237.353 

394, 258 

28,785 

95 

37 

444,827 

367,318 

92,248 

18,341 

173 

574. 491 

263,164 

92.782 

12,957 

403 

612,754 

139, 154 

85,526 

14,529 

790 

624,091 

110,778 

66,500 

21,021 

1,158 

629.206 

109.330 

90.656 

16  4K5 

Voluntary  contributions 

1.358 

Total 

«)0. 528 

922,907 

943. 797 

852.753 

823.548 

847  035 

All  other  Items: 

Three  per  cent  treasury  subsidy 

Interest  arcnied 

117,953 

221,938 
27,752 

286.852 
68,158 

306.314 
107,044 

311.943 

141.280 

48.340 

35,901 

314.478 
173  810 

Profitjs  distributed 

92,548 

Other  items 

41,921 

48,961 

30,063 

44  XCl 

Total 

117.953 

291.611 

403.971 

443.421 

537.464 

625  16a 

Grand  total 

778.481 

1.214.518 

1.347,768 

1.296,174 

1,361.012 

1  472  204 

Deducted  from  members'  accounts: 
Died,  leaving  families 

1,200 

9,020 
1,905 

11.875 
2,341 

106,771 

29,016 

97,182 
50,676 

20,826 
4,700 

221,623 

29,237 

65,804 
36,229 

27.104 
6,578 

314,882 

94,785 

38,147 
39.080 

.VI  '>47 

Died,  without  families . 

5,496 

356,046 

61,901 

31,885 
b  377  199 

Left  service  after  2  years'  service, 
but  before  pension  limit 

Left  service  before  2  years'  service, 
but  for  valid  reasons 

3,279 

(«) 
35,230 

16,671 

101, 722 
45,144 

Left  service  before  2  years,  and 
without  right  to  receive  any  pay- 
ment  

All  other  deductions 

Total 

39,709 

174,462  j      297,861         378,419 

520,576 

871  774 

o  Included  in  all  others. 

l»  Including  $32.'>,or.4  deducted  accounts  of  members  who  abandoned  membership  in  fund  in  conformity 
with  the  imperial  order  of  December  2,  1905,  relieving  workmen  and  minor  employees  from  obligatory 
membership. 

The  amount  of  normal  pension  depends  upon  the  salary  of  the 
employee,  the  length  of  the  service  at  the  time  of  applying  for  a  pen- 
sion, and  also  upon  his  age. 

67725°— VOL  2—11 51 


2296 


KEPORT   OF   THE  COMMISSIONEE  OF  LABOR. 


The  following  table  shows  the  accumulations  which  will  accrue  to 
a  married  male  member  30  years  of  age  at  the  time  of  the  organization 
of  the  fund  and  receiving  an  annual  salary  of  $500 : 

VALUE  OF  ACCUMULATIONS  AND  AMOUNT  OF  PENSION  OF  A  MARRIED  MAN  30  YEARS 
OF  AGE  AT  TIME  OF  ORGANIZATION  OF  FUND,  RECEIVING  AN  ANNUAL  SALARY 
OF  $500. 

[Source:  Otchiot  pensionnol  Kassy  vol'nonalomnykh  slnzhashchikh  za  1901  god.,  Vol.  II,  p.  39.| 


CHAPTER  IX. — WORKMEN  S  INSURANCE   IN  RUSSIA. 


2297 


Date. 

Length  of 
member- 
ship 
(years). 

Age 
(years). 

Value  of 
•ocumu- 
lations. 

ATnonnt 
of  aiuiual 
peasioD. 

December  31— 

1905 

H 

10 

15 
20 
25i 

m 

35* 
38^ 

35 
40 
45 
50 
55 
60 
65 
68 

$330.78 
046.17 
1,029.90 
1,534.08 
2,181.91 
3,023.15 
4,142.9« 
a,  003. 73 

1910 

1915 

963.44 
1(»3.24 
im.  81 
248.20 
3H5.30 
504.37 

1920 

1925 

1930 

1935 

1938 

It  may  be  said,  therefore,  that  a  man  of  30  would  have  to  remain 
in  employment  over  38i  years  to  receive  a  pension  equal  to  his 
salary  and  30 J  years  for  a  pension  of  about  one-half  his  salary;  tliat 
after  15  years  his  accumulations  would  somewhat  exceed  two  years' 
pay  and  his  pension  be  equal  to  about  one-eighth  of  his  salary. 

This  salary  of  $500  is  higher  than  that  received  by  the  average 
workman  in  the  liquor-monopoly  service.  The  average  salary  of  an  em- 
ployee, though  varying  slightly  from  year  to  year  and  showmg  a  tend- 
ency to  rise,  is  equal  to  about  $200.  For  an  employee  with  this  salary, 
but  otherwise  as  described  above,  the  value  of  accumulations  after 
20  yeai-s  would  be  about  $600  and  his  i>ension  a  little  over  $40  per 
annum;  after  25  years  the  accumulations  would  be  about  $875  and 
the  pension  $64;  after  30  years,  $1,200  and  about  $100;  and  after 
35  years,  $1,656  and  $154,  respectively. 

PENSION  FUND   OF   THE   GOVEKNMENT   PRINTING  AND  ENGRAVING 

OFFICE. 

This  fund  was  organized  in  accordance  with  the  law  of  May  3  (15), 
1899 — i.  e.,  about  one  year  before  the  establishment  of  the  Liquor 
Monopoly  Pension  Fund  and  was  a  successor  to  a  relief  fund  existing 
since  1865.  Having  a  smaller  membership  than  either  the  railroad 
or  the  liquor  monopoly  fund  and  being  similar  to  them  in  its  organi- 
zation, only  a  brief  description  will  be  given,  as  the  original  reports 
of  this  fund  can  not  be  secured.  The  main  sources  of  revenue,  such 
as  the  contributions  of  the  employees  aiui  of  the  employer  (tlie  treas- 
ury in  this  case)  are  exactly  the  same  as  in  the  Liquor  Monopoly 
Pension  Fund,  except  that  the  income  from  penalties  is  also  added; 
and  the  system  of  individual  accounts  as  a  basis  for  the  computation 


of  pensions  is  identical  with  that  of  the  other  funds.  The  ordinary 
pension,  thus  computed,  is  granted  only  after  15  years  of  member- 
ship in  the  fund.  In  case  of  invalidity,  however,  so-called  extraor- 
dinary pensions  are  granted,  and  these  are  based  upon  an  entirely 
different  principle,  being  arbitrary  proportions  of  the  earnings,  as 
follows:  After  10  and  up  to  15  years  of  service,  15  per  cent  of  the 
earnings;  after  15  and  up  to  20  years  of  service,  20  per  cent;  aft^r 
20  and  up  to  25  years,  30  per  cent;  after  25  and  up  to  30  years,  40 
per  cent;  and  after  30  and  up  to  35  years,  50  per  cent  of  the  earnings. 
As  these  proportions  do  not  depend  upon  the  accumulations,  they 
may  become  an  excessive  charge  upon  tlie  fund  to  be  met  by  addi- 
tional subsidies  from  the  treasury.  The  conditions  of  return  of  the 
accumulations  before  the  right  for  an  ordinary  or  so-called  extraor- 
dinary pension  is  acquired  are  the  same  as  in  the  other  pension  funds 
described — namely,  in  case  of  separation  from  the  service  within 
two  years  no  returns  are  made;  in  case  of  separation  after  2  and 
before  10  years  of  service,  his  payments  without  mterest;  after  10 
years,  his  payments  and  25  per  cent  of  all  the  other  additions  to  his 
account;  after  11  years,  40  per  cent;  after  12  years,  55  per  cent; 
after  13  years,  70  per  cent;  and  after  14  years,  75  per  cent  of  these 
accumulations.  These  rates  apply  only  to  married  men  with  fami- 
lies; single  men  or  widowers  without  children  receive  only  75  per 
cent  of  the  amount,  but  in  no  case  less  than  his  actual  contributions. 
The  fund  combines  occasional  financial  assistance  to  its  members 
and  also  a  loan  business  with  that  of  granting  pensions.  The  admin- 
istration of  the  fund  is  intrusted  to  elected  members  under  the 
chairmanship  of  the  director  of  the  printing  office.  This  fund  is 
one  of  the  few  pension  funds  which  were  organized  for  the  benefit  of 
industrial  wage-workers  of  a  manufacturing  plant. 

OLD-AGE  FUNDS  OF  THE  FACTORIES  AND  HARBOR  WORKS  OF  THE  MIN- 

ISTBT  OF  THE  MABINE. 

By  the  laws  of  January  27  (Feb.  9),  1903,  and  April  18  (May  1),  1903, 
old-age  funds  were  established  for  the  wage-workers  employed  in  the 
factories  and  harbor  works  of  the  Ministry  of  the  Marine.  These  funds 
are  practically  based  upon  a  system  of  enforced  saving  with  certain 
benefit  features  attached.  Two  separate  funds  are  established — the 
saving  fund  and  the  benefit  fund.  The  employee  contributes  to  the 
saving  fund  6  per  cent  of  liis  earnings  and  the  management  of  the 
establishment  contributes  half  of  that  amount  to  the  benefit  fund. 
In  each  of  the  funds  each  employee  has  a  personal  account,  which 
grows  by  contributions  as  well  as  by  acxjruing  interest.  In  case  of 
death  both  accounts  are  paid  to  his  heirs  in  the  following  order:  His 
widow  and  children;  and  when  no  widow  or  children  survive,  to  his 
mother;  in  her  absence,  to  the  dependent  father  or  to  the  unmarried 


2298 


BEPOET  OF   THE  COMMISSIONER  OF   LABOR. 


sisters.  If  the  employee  is  forced  to  leave  the  service  because  of  an 
accident,  disease,  or  old  age,  he  receives  both  of  his  accounts  in  full. 
He  is  entitled  to  his  account  in  the  savings  fund  at  the  time  of  sepa- 
ration from  service,  no  matter  for  what  reason.  But Avith  tlie  excep- 
tion of  death  or  separation  because  of  tlisability,  the  payment  of  the 
individual  account  in  the  benefit  fund  is  made  the  subject  of  rather 
complicated  regulations.  All  occupations  are  divided  into  four 
classes,  according  to  the  danger  element  and  severity  of  labor.  In 
the  first  group,  the  most  dangerous  and  difficult,  the  employee  acquires 
the  right  to  receive  his  entire  benefit  account  after  15  years,  in  the 
second  after  20  years,  in  the  third  after  25  years,  and  in  the  fourth 
group  after  30  years.  Before  the  expiration  of  these  maximum  lunits 
only  partial  payments  may  be  made  from  the  benefit  fund,  as  follows: 
33  per  cent  after  a  specified  number  of  years  and  an  additional  per- 
centage for  each  additional  year  until  the  full  amount  is  reached.  In 
the  first  group,  after  5  years;  and  for  each  additional  year  7  per  cent 
and  6  per  cent  alternately  each  year.  In  the  second  group,  after 
7  years;  and  for  each  additional  year  5  per  cent.  In  the  third  group, 
after  8  years;  36  per  cent  after  9  years;  and  4  per  cent  additional  for 
each  year.  In  the  fourth  group,  after  10  years;  and  3.35  per  cent 
additional  for  each  year. 

OLD-AGE  FUND  OF  TflE  VOLUNTEEE  FLEET. 

The  above-described  system  of  old-age  provisions  in  the  Ministry  of 
the  Marine  has  followed  very  closely  after  the  system  introduced  by 
the  law  of  July  27,  1896,  for  the  employees  of  the  so-called  volunteer 
fleet  (a  private  navigation  company  subsidized  by  the  Government) . 
Accordmg  to  this  law  there  are  two  funds — a  saving  fund  and  a  benefit 
fund.  The  employees  contribute  10  per  cent  of  their  earnings  to  the 
savings  fund  and  the  management  of  the  company  contributes  to  the 
benefit  fund  8  per  cent  of  the  earnings  of  those  receiving  720  rubles 
($370.80)  or  less  and  6  per  cent  of  the  earnings  of  those  receiving  more 
than  720  rubles  ($370.80).  The  right  to  receive  the  savings  accounts 
is  unlunited  after  one  year  of  service;  for  the  purposes  of  adjusting 
the  payments  for  the  benefit  funds  the  employees  an?  classified  into 
four  groups,  (1)  the  workmen  and  employees  on  land,  (2)  the  line 
officers,  (3)  sailors,  except  firemen,  and  (4)  firemen. 

The  minimum  payment  of  50  per  cent  of  the  account  in  the  benefit 
fund  is  paid  to  employees  of  the  first  group  after  10  years  of  service, 
of  the  second  group  after  9  years,  of  the  thu*d  group  after  8  years,  and 
of  the  fourth  group  after  6  years.  For  each  additional  year  5  per  cent 
additional  is  allowed  to  the  first  group,  5  to  6  per  cent  to  the  second, 
6  per  cent  to  the  thu-d,  and  8  per  cent  to  the  fourth.  The  full  amount 
is  paid  to  the  first  group  after  20  years,  to  the  second  after  18  years, 
to  the  third  after  16  years,  and  to  the  fourth  after  12  years. 


^ 


CHAPTER  IX. workmen's   INSURANCE   IN   RUSSIA.  2299 

In  case  of  death  or  abolition  of  the  position  the  entire  value  of  both 
accounts  is  paid  to  the  employee  or  his  heirs,  independent  of  the  length 
of  service. 

PENSION  FUNDS  OF  THE  "ZEMSTVOS." 

All  the  pension  institutions  described  have  been  established  by  the 
Central  Government  for  its  own  employees.  A  brief  description  of  the 
pension  funds  of  the  "zemstvos"  (the  organs  of  local  self-government) 
are  of  considerable  interest,  as  evidence  of  the  great  popularity  of  old- 
age  insurance  in  Russia,  though  the  majority  of  the  employees  belong 
to  the  professional  classes  (physicians,  nurses,  agronomists,  clerical 
employees)  and  so  bear  only  an  indirect  relation  to  the  problem  of 
labor  insurance. 

The  "zemstvos,"  organized  in  1864,  are  representative  bodies 
elected  by  the  landowners  and  peasants.  As  early  as  1868  the  first 
zemstvo  employees'  pension  fund  was  established  by  the  provincial 
zemstvo  of  Tver;  the  Province  of  Nizhni  Novgorod  followed  in  1871, 
and  St.  Petersburg  in  1877.  These  led  to  a  general  law,  promulgated 
on  April  30  (May  12),  1883,  regulating  all  pension  funds  to  be  estab- 
lished by  the  zemstvos.  The  law  required  the  approval  of  the  con- 
stitution by  the  Ministry  of  Interior  as  a  necessary  prerequisite  and 
also  the  agreement  of  all  the  district  zemstvos  of  a  province  for  the 
establishment  of  a  pension  fund  in  that  province.  The  contributions 
of  the  zemstvos  were  limited  to  3  per  cent  of  its  budget.  From  1883 
to  1899  pension  funds  in  conformity  with  the  law  were  established 
by  14  zemstvos,  while  many  others  petitioned  the  Ministr}^  of 
Interior  for  changes  in  the  law  regulating  such  pension  funds,  namely, 
that  the  agreement  of  the  majority  of  the  district  zemstvos  be  suffi- 
cient or  that  the  provincial  zemstvos  be  granted  power  to  make  pension 
funds  obligatory  for  the  district  zemstvos  of  its  province.  It  was  even 
suggested  by  some  zemstvos  that  one  central  old-age  pension  fund  for 
all  zemstvos  be  established  by  cooperation  among  all  zemstvos. 
Several  zemstvos  insisted  that  funds  of  the  '^insurance  t^^pe"  were 
preferable  to  those  of  the  ''emeritus  type"  (Emerital  'naja  Kassy), 

Under  the  former  is  understood  in  Russia  the  type  of  pension  fund 
in  which  the  amount  of  pension  depends  largely  upon  the  total  pay- 
ments made,  while  the  ''emeritus  type*'  of  funds  grants  pensions 
depending  upon  the  salary  at  time  of  separation  from  service.  It  is 
almost  impossible  to  construct  any  tables  for  the  latter  type  of  pen- 
sion funds,  so  as  to  make  them  self-supporting.  This  type  was 
popular  for  the  earlier  pension  funds  of  government  employees,  when 
the  Government  undertook  to  cover  any  deficits;  and  of  the  14  pen- 
sion funds  estabhshed  before  1900,  11  were  of  that  type.  Under  the 
influence  of  these  memorials  the  ^Ministry  of  Interior  elaborated  a 
new  plan  for  zemstvo  pension  funds,  which  passed  the  Imperial 
Council  and  was  approved  on  June  12  (25).  1900.     This  new  law  is 


2300 


REPORT   OF   THE  COMMISSIONER  OF   LABOR. 


based  on  the  '^insurance  plan."  It  was  the  intention  of  the  ministry 
to  make  the  estabhshment  of  pensiim  funds  obUgatory  for  all 
zemstvos,  but  the  Imperial  Council  did  not  agree  with  that  demand, 
leaving  the  organization  of  the  pension  fund  to  the  decision  of  the 
provincial  zemstvos.  It  also  rejected  the  demand  of  the  ministry, 
that  all  the  existing  pension  funds  be  made  to  conform  to  the  type 
outUned  in  the  new  law. 

With  the  promulgation  of  the  law  the  establishment  of  new  pen- 
sion funds  proceeded  very  rapidly.  One  fund  was  opened  in  1001, 
6  in  1902,  4  in  1903,  and  at  this  time  all  the  34  zemstvos,  with  the 
possible  exception  of  one  or  two,  have  pension  funds.  While  the 
change  from  the  old  to  the  new  type  was  not  obHgatory,  a  great  many 
zemstvos  have  made  such  changes,  leaving  the  old  funds  to  carry 
only  those  employees  who  have  been  members  in  it  for  a  series  of 
years.  Altogether  15  of  the  34  zemstvos  now  have  pension  funds 
conforming  to  the  new  law  of  June  12  (25),  1900.  Each  one  of  these 
has  its  own  constitution  and  by-laws,  which  differ  from  each  other 
in  minor  details,  but  they  must  all  conform  to  the  general  demands 
of  the  law. 

The  general  basis  of  this  law  is  a  rather  close  imitation  of  that 
estabUshing  the  State  Railway  Employees'  Pension  Fund,  the  greatest 
fund  of  its  kind.  Membership  in  the  fund  is  obhgatory  for  all  paid 
employees  of  the  zemstvos  (not  excluding  the  elective  officers)  below 
a  certain  age  (50  in  some  funds  and  55  in  others).  The  income  of 
the  fund  is  derived  from  (1)  obhgatory  contributions  of  the  memb(Ts, 
of  the  same  nature  as  in  the  raih-oad  fund,  namely,  6  per  cent  of  the 
first  year's  salary  as  an  initiation  fee,  6  per  cent  of  the  monthly 
salary,  10  per  cent  of  the  special-prize  moneys,  the  difference  between 
the  old  and  new  salary  for  three  montlis  in  case  of  promotion;  (2) 
voluntary  contributions  of  members,  the  amounts  not  to  exceed  the 
obhgatory  contributions;  (3)  contributions  of  zemstvos;  (4)  profits 
from  investments;  (5)  miscellaneous  revenues,  such  as  fines,  moneys 
unclaimed,  etc.  The  distinctive  feature  of  the  law  is  the  heavy  con- 
tributions of  the  zemstvos,  which  must  be  equal  to  those  of  the 
members,  i.  e.,  6  per  cent  of  the  salaries.  This  gives  a  total  of  12  per 
cent  of  the  salaries  as  an  annual  contribution  to  the  pension.  Umler 
such  conditions  it  is  comparatively  easy  to  grant  hberal  pensions. 

The  contributions  of  the  members  must  be  credited  to  their  per- 
sonal accounts,  while  the  contributions  of  the  zemstvos  are  distributed 
in  the  following  order:  The  cost  of  orphans'  pensions  must  be  secured; 
then  any  deficit  of  the  fund  shall  be  covered,  unless  i)reviously  met 
out  of  the  reserve;  then  the  remaining  sum  is  distributid  among  the 
accounts  of  wives,  but  not  to  exceed  two-thirds  of  the  members' 
contributions  for  the  same  year;  and  iinally,  if  there  is  still  any 
remainder,  it  is  distributed  among  the  accounts  of  the  members. 


CHAPTER  IX. — workmen's  INSURANCE  IN  RUSSIA.  2301 

Of  the  profits  of  investments,  etc.,  one-half  must  be  assigned  to  the 
reserve  until  it  reaches  10  per  cent  of  all  obligations  of  the  fund; 
the  other  half  and  the  entire  profits  after  the  reserve  has  been 
sufficiently  built  up  are  distributed  among  the  members'  accounts. 

The  members  have  the  right  to  receive  a  pension  at  separation  from 
service  after  15  years  of  service.  Pensions  may  be  given  to  employees 
forced  to  leave  the  service  on  account  of  total  disability  due  to  illness 
after  5  years'  membership.  The  detailed  regulations  are  determined 
by  the  constitutions  of  the  individual  funds.  If  no  pension  is  granted 
all  the  sums  accrued  to  the  member's  credit  must  be  paid  out  to  him. 
The  same  is  true  if  a  member  is  forced  to  leave  the  service  through 
disabihty  before  the  expiration  of  five  years.  In  case  of  separation 
without  disabihty  before  the  expiration  of  15  years,  the  member 
receives  only  his  own  contributions,  without  interest  if  leaving  the 
service  before  five  years,  and  with  compound  interest  at  4  per  cent 
if  after  five  years  of  service.  After  10  years  of  service  25  per  cent 
of  all  other  sums  credited  to  his  account  must  be  paid,  after  11  years 
40  per  cent,  after  12  years  55  per  cent,  after  13  years  70  per  cent,  and 
after  14  years  85  per  cent  of  all  such  amounts. 

In  case  of  death  of  an  employee  after  five  years  of  employment  the 
widow  receives  a  pension  imtil  death  or  remarriage,  etc.,  the  amount 
depending  on  the  accumulations  to  the  credit  of  her  husband.  If 
an  employee  dies  before  the  end  of  ^yb  years  of  service  the  widow 
receives  in  one  payment  the  sums  credited  to  their  accounts.  Pen- 
sions must  also  be  given  to  the  children  in  case  of  death  of  the  member 
after  five  years  of  service,  to  be  paid  until  18  years  of  age  or  marriage, 
and  may  be  extended  until  the  completion  of  secondary  education, 
but  not  later  than  the  age  of  21.  The  same  conditions  as  exist  in  the 
State  Railway  Employees'  Pension  Fund,  modifying  the  pension,  are 
made  in  case  the  children  receive  a  scholarship  from  some  other 
source. 

A  demand  for  the  payment  of  the  capitalized  value  of  the  pension 
may  be  made  by  the  employee  when  the  pension  does  not  exceed 
one-fourth  of  his  average  salary  for  the  entire  period  of  service,  and 
by  the  widow  when  it  does  not  exceed  one-sixth  of  the  average 
salary.  In  all  pensions  to  employees  and  widows,  but  not  to  children, 
the  capitahzed  value  of  one-fourth  may  be  requested  by  the  pensioner. 

The  administration  of  the  pension  is  left  to  the  zemstvos  and  its 
administrative  council  (the  uprava),  while  members  of  the  fund 
may  be  invited  into  the  special  committee  in  charge  of  the  fund. 

These  are  the  general  requirements  which  the  law  demands  from 
the  pension  funds.  The  individual  funds  may  vary  within  the  pre- 
scribed hmits,  but  each  individual  constitution  requires  the  approval 
of  the  Ministry  of  Interior.  To  expedite  matters  a  standard  con- 
stitution has  been  prepared  by  the  ministry,  by  accepting  which  the 


2302 


EEPORT  OF   THE  COMMISSIONER   OP  LABOH. 


time  necessary  to  obtain  the  approval  is  materially  shortened;  while 
the  mtroduction  of  material  changes  in  the  model  constitution  has 
m  some  cases  led  to  considerable  delay. 

The  constitutions  of  the  pension  funds  organized  sirce  1900  are 
fairly  uniform;  the  deviations  from  the  normal  constitution  are  not 
many,  though  some  are  important.  The  sources  of  revenue  are 
umform,  though  a  few  pension  funds  started  with  the  transfer  of 
large  accumulations,  made  for  old-age  pensions,  while  others  had 
no  capital  to  begin  with.  The  contributions  from  the  members  are 
usually  as  stated  above,  though  one  fund  demands  an  initiation  fee 
equal  to  one  and  one-half  months^  salary  instead  of  6  i>er  cent  of  the 
annual  salary;  while  in  another  fund  the  zemstvos  contributes  8  per 
cent  of  the  annual  salaries  instead  of  6  per  cent.  In  some  funds  no 
salaries  are  considered  as  above  2,000  rubles  ($1,030)  for  pension 
purposes,  wMle  others  have  no  such  limitations.  Uniformly,  any 
per  diem  expenses  or  travehng  allowances,  though  paid  in  regular 
annual  amounts,  and  also  the  part  of  salary  designated  for  renting  a 
home  IS  not  included,  it  being  the  custom  of  the  zemstvos  either  to 
provide  their  employees  with  lodgings  or  to  pay  a  specified  sum 
for  renting  same. 

All  funds  grant  a  pension  to  the  employee  at  the  time  of  leaving 
the  service  after  at  least  15  years;  most  funds  grant  a  pension  to 
disabled  employees  leaving  the  service  after  at  least  f>  years,  though 
a  few  have  preferred  the  payment  of  a  lump  sum  equal  to  all  accrued 
rights.  The  computation  of  amounts,  paid  at  time  of  leaving  the 
service  after  5  to  15  years  for  other  roasons  than  disabihty  is  uni- 
form and  agrees  with  the  plan  demanded  by  the  law  and  explained 
above.  If  the  employee's  wife  is  living  at  the  time  of  his  leaving 
the  service  without  a  pension,  he  is  also  entitled  to  certain  payments 
on  her  account,  as  follows:  If  the  employee  leaves  before  the  expira- 
tion of  5  years  of  service  because  of  total  disabihty,  or  before  15 
years  of  service  because  his  position  is  abohshed,  or  if  he  leaves  it 
for  any  reason  at  the  age  of  over  60  years,  then  he  is  entitled  to 
receive  the  entire  amount  credited  to  liis  wife's  aocount. 

If  he  leaves  for  any  other  reason  he  receives  only  liis  voluntary 
contributions  to  the  credit  of  his  wife,  and  in  addition  after  5  but 
less  than  10  years  of  service,  10  per  cent  of  all  other  amounts  cred- 
ited to  his  wife;  after  10  years  of  service,  25  per  cent;  after  11  years, 
40  per  cent;  after  12  years,  55  per  cent ;  after  13  years,  70  per  cent,' 
and  after  14  years  of  service,  85  per  cent  of  aU  other  amounts  cred- 
ited to  his  wife's  account. 

Almost  no  variations  are  found  in  the  regulations  concerning  the 
clnldren's  pensions.  These  are  not  based  upon  the  acc'umulations  of 
mdividual  credits,  hke  the  pensions  ot  other  benefits  of  the  employ- 


CHAPTER  IX. — workmen's   INSURANCE  IN   RUSSIA.  2303 

ees  or  widows.     For  that  reason  a  spec^ial  fund  is  provided  for  chil- 
dren's pensions. 

The  conditions  of  these  pensions  are  specified  in  the  general  law, 
and  have  been  stated  before.  The  amount  of  the  pension  is  com- 
puted as  follows:  Each  child  of  a  deceased  employee  having  one 
parent  hving  receives  for  each  year  of  the  present  service  one-half 
of  1  per  cent  of  the  latest  salary  wliich  the  deceased  parent  received 
for  a  full  year.  An  orphan  receives  50  per  cent  more  than  the 
half-orphan.  The  maximum  sum  of  pensions  to  all  tlie  half-orphans 
left  by  an  employee  must  not  exceed  50  per  cent  of  liis  salary.  The 
pension  for  orphans  must  not  exceed  75  per  cent  of  the  salary  nor 
be  less  than  20  per  cent.  Pensions  for  death  of  the  mother  are  not 
paid  unless  the  father  is  completely  disabled  from  earning  a  hveli- 
hood  and  is  not  receiving  any  subsidies  from  the  fund.  If  both 
parents  were  employed  in  the  same  zemstvo,  and  the  father  dies, 
the  children  receive  their  pensions  if  the  mother  continues  in  service- 
when  both  parents  die  they  receive  the  greater  of  the  two  i)ensions 
to  which  they  are  entitled. 

The  financial  arrangements  are  also  similar  to  those  of  the  State 
Railway  Employees'  Pension  Fund.  Each  member  has  a  personal  ac- 
count to  which  all  his  obligatory  contributions  are  credited.  Volun- 
tary contributions  are  assigned  according  to  the  wishes  of  the  member, 
if  consistent  with  tlie  rules.  Among  these  individual  accounts  are 
also  distributed  the  remaining  part  of  the  monthly  contribution 
of  the  zemstvo  after  the  other  obligations  have  been  met,  the  ])rofits 
and  income  from  investment,  or  that  part  of  it  whicli  does  not  go 
into  the  reserve  (in  wliich  distribution  the  wives'  accounts  some- 
times share  equally  with  the  members'  accounts),  and  all  other 
revenues  not  specially  provided  for. 

Individual  accounts  are  also  kept  for  the  wives  of  the  married 
members.  The  credits  of  these  accounts  are  taken  from  the  obhg- 
atory  zemstvo  contributions  after  deducting  the  necessary  amount 
for  the  cliildren's  fund  and  for  covering  any  existing  deficits  for 
which  the  reserve  is  insufficient.  Within  each  year  not  more  than 
two-thirds  of  the  obligatory  montlily  contributions  of  the  members 
may  be  credited  to  their  wives'  accounts.  The  profit  or  income 
from  investments,  or  at  least  that  part  which  does  not  go  into  the 
reserve,  is  distributed  among  the  wives'  accounts,  as  well  as  among 
the  accounts  of  members. 

A  special  orphans'  fund  is  estabhshed  to  guarantee  the  pensions 
to  children.  This  must  alw^ays  be  kept  at  the  level  correspoiiihng 
with  the  amount  of  the  orphans'  fund  obligations  at  the  time,  as 
computed  from  statistical  data  of  mortahty,  etc.  The  income  from 
fines  is  turned  over  to  this  fund,  also  accidental  revenues,  bequests, 
etc.,   without  designation  of  purpose.     The  fund  is   kept   at   the 


2304 


EEPOET  OF   THE  COMMISSIONER  OF  LABOR* 


required  level  by  adding  to  it  the  necessary  amount  from  the  monthly 
contributions  of  the  zemstvos. 

In  addition  there  is  a  reserve  fund.  One-half  of  the  profits  and 
mcome  from  investments  goes  into  the  reserve.  When  pensions  or 
parts  of  pensions  are  capitahzed,  5  per  cent  of  the  sura  paid  to  the 
pensioner  is  turned  into  the  reserve,  also  unclaimed  amounts  due, 
and  a  few  minor  revenues,  until  the  reserve  amounts  to  10  per  cent 
of  all  the  obhgations  of  the  pension  fund .  When  tliis  limit  is  reached, 
all  these  sources  of  income  are  distributed  among  the  individual 
accounts  of  the  members  and  their  wives  proportionally  to  the 
amounts  credited  to  these  accounts  from  the  regular  monthly  con- 
tributions of  the  zemstvos.  In  some  funds  this  distribution  is  made 
proportionally  to  the  total  amounts  of  these  individual  credits.  A 
variation  found  is  in  distributing  all  e.xtra  sums  so  as  to  favor  the 
employees  receiving  smaller  salaries.  Tliis  is  ac<omphshed  in 
various  ways.  One  is  to  divide  the  sum  to  be  distributed  into 
two  unequal  portions,  then  to  distribute  the  larger  ))ortion  among 
aU  members'  accounts  and  the  smaller  portion  only  among  those 
members  receiving  not  more  than  a  specified  salary.  Another 
method  is  to  divide  the  employees  into  two  or  thrive  classes  and 
to  give  to  the  employees  receiving  smaller  salaries  a  greater  share 
per  amount  of  salary  than  to  the  higher  employees. 

As  in  the  railway  funds,  the  rate  of  interest  to  the  accumulations 
durmg  the  year  depends  upon  the  age,  var>dng  from  4.52  per  cent 
at  the  age  of  17  years  to  8.85  per  cent  at  the  age  of  70. 

In  determining  the  length  of  service,  normally  the  ^'ears  of  con- 
tmuous  service  in  the  particular  zemstvo,  with  participation  in  the 
fund,  are  counted.  At  the  time  of  opening  the  fund  the  years  of 
previous  service  were  taken  into  consideration.  If  the  employee 
leaves  the  service  before  he  is  entitled  to  a  pension,  receiving  a  lump 
sum,  and  then  reenters  service,  the  years  of  his  previous  service  will 
be  counted  if  ha  reimburse  the  fund  for  the  payments  he  and  his  wife 
had  received.  Otherwise  he  is  considered  a  new  employee.  If  the 
employee  at  the  time  of  reinstatement  receives  a  pension,  and  his  new 
salary  is  greater  than  the  pension,  the  payment  of  the  pension  is 
stopped,  but  its  capitalized  value  at  his  age  at  the  time  is  credited  to 
his  account.  If  his  new  salary  is  smaller  than  his  pension,  he  is  per- 
mitted to  receive  the  pension.  It  is  a  rule  of  almost  all  funds  that 
persons  transferred  from  service  in  one  z?mstvo  to  that  of  another 
zemstvo  may  transfer  their  membership  and  all  credits  in  the  funds, 
mcluding  a  credit  for  the  years  of  service  in  the  former. 

The  procedure  prescribed  by  the  standard  constitution  has  been 
adopted  by  all  new  funds.  It  provides  for  thorough  medical  exami- 
nations whenever  the  pension  for  disability  is  claimed,  and  medical 
reexamination  once  a  year. 


CHAPTER  IX. workmen's  INSURANCE   IN   RUSSIA.  2305 

In  other  cases  documentary  evidence  as  to  age,  length  of  service 
etc.,  is  sufficient.  The  adjustment  of  claims  must  be  made  within 
two  weeks.  Pensions  must  be  paid  in  monthly  installments.  Lump- 
sum payments  to  widows  are  paid  out  at  one  time;  to  members  only 
one-half  of  the  lump  sum  due  is  paid  at  the  time,  the  other  half  in 
six  months,  unless  the  member  dies  witliin  that  time,  in  which  case 
the  second  half  reverts  to  the  reserve.  Applications  for  capitalized 
value  of  pensions  must  be  made  within  two  weeks  after  the  determi- 
nation of  the  pension  and  before  the  first  pension  is  paid.  The 
administration  may  dechne  the  apphcation  if  made  after  two  weeks; 
while  applications  made  after  receiving  the  first  pension  payment 
are  not  considered.  Persons  making  no  application  for  pension 
withm  two  years,  or  taking  no  advantage  of  the  pension  granted,  lose 
their  right  to  claim  the  pension  for  the  time  expired.  After  10  years 
they  lose  all  their  rights,  and  the  value  of  the  pensions  or  benefits  is 
transferred  to  the  reserve.  The  statistical  basis  upon  which  all  com- 
putations are  made  must  be  revised  every  five  years,  but  if  any 
changes  are  found  necessary  the  pensions  granted,*^  or  the  individual 
credits,  must  not  be  diminished  in  consequence. 

The  administration  of  the  fund  differs  considerably  from  that  of 
the  railway  pension  fund  in  that  the  membership  scarcely  partici- 
pates in  it.  The  executive  board  of  the  provincial  zemstvo  {Guherr^ 
sJcaya  ZemsTcaya  Uprava)  and  a  special  committee,  with  the  chairman 
of  this  board  as  chairman  and  chairmen  of  the  boards  of  the  district 
zemstvo  as  members,  administers  the  affairs  of  the  fund.  The  t^sneral 
supervision  over  the  activity  of  these  executive  organs  is  leftVo  the 
provmcial  zemstvo.  which  may  add  some  members  of  the  fund  to  the 
committee;  and  which  must  approve  the  budget  for  the  expenses  of 
administration.  The  main  supervision  over  all  funds  is  in  the  hands 
of  the  insurance  committee  of  the  Ministry  of  Interior. 

Detailed   annual   reports,    together   with   all  required   statistical 
mformation  m  regard  to  the  membership,  must  be  presented  by  the 
executive  board  to  the  zemstvo  and,  after  bemg  approved  by  the  latter 
are  forwarded  to  the  Ministry  of  Interior.  ' 

PKIVATE  PENSION  FUNDS. 

The  old-age  pension  funds  described  above,  except  those  of  private 
raih-oads,  embrace  only  government  institutions.  The  activity  of  the 
Government  in  regard  to  the  broad  field  of  old-age  and  invalidity 
insurance  of  private  employees  is  as  yet  limited  to  plans  and  legisla- 
tive proposals.  Private  initiative  has  done  but  little  in  the  way  of 
pensions  for  the  wage-workers  of  the  country.  Among  the  salaried 
employees  the  pension  fund  principle  is  popular;  applications  of  it  are 
found  among  the  employees  of  the  zemstvos  as  described  above 


2306 


REPORT  OF   THE  COMMISSIONER  OF   LABOR. 


among  the  employees  of  municipalities,  and  of  many  large  financial, 
commercial,  and  manufacturing  institutions. 

The  best  known  old-age  pension  institutions  for  wage-earning 
employees  of  private  industrial  establishments  are  the  miners'  funds 
of  the  Polish  mining  and  metallurgical  industry,  but  these  have 
already  been  described  in  connection  with  the  topic  of  sickness 
insurance. 

EFFORTS  FOB  REFORM. 

EFFORTS   OF   THE'  SOCIETY   FOR   ENCOURAGEMENT   OF   RUSSIAN   INDUS- 
TRY   AND    COMMERCE. 

Early  in  1902  the  question  of  labor  insurance  was  raised  in  the 
Society  for  Encouragement  of  Russian  Industry  and  Commerce, 
and  three  commissions  were  appointed  for  the  consideration  of  the 
three  main  branches  of  labor  insurance,  all  under  the  chairmanship 
of  and  in  collaboration  with  important  officials.  One  of  these  com- 
missions undertook  the  study  of  the  problem  of  old-age  insurance; 
and  when  the  committee  of  ministers,  on  December  24,  1904  (January 
6,  1905),  established,  in  conformance  with  the  imperial  ukase  of 
December  12  (25),  1904,  a  labor  insurance  commission  under  the 
Ministry  of  Finance,  the  material  collected  by  the  society  was  turned 
over  to  that  commission. 

In  the  opinion  of  the  commission,  an  old-age  insurance  system 
must  include  all  classes  of  wage-workers,  not  excepting  the  agricul- 
tural laborers  and  domestic  servants,  and  insurance  against  invalid- 
ity in  addition  to  that  against  old  age  proper.  In  regard  to  the  age 
at  which  the  regular  old-age  insurance  should  begin,  no  unanimous 
decision  was  reached,  but  the  majority  of  members  of  the  commission 
were  in  favor  of  a  60  or  65  year  age  limit.  The  question  of  pensions 
for  the  widow  and  orphans  was  discussed.  As  was  shown  above, 
such  pensions,  within  certain  limitations,  are  an  essential  part  of  all 
the  government  employees'  old-age  insurance  funds.  But  such  pen- 
sions require  an  additional  cost  which  would  be  considered  excessive 
in  the  beginning,  besides  presenting  many  technical  difficulties  in 
view  of  the  absence  of  necessary  statistical  data,  and  it  was  thought 
wiser  to  disregard  the  demand  for  widows'  and  orphans'  pensions  in 
the  immediate  agitation  for  old-age  and  invalidity  insurance. 

The  system  of  percentage  deductions  from  wages,  with  individual 
accounts,  was  not  considered  feasible  in  view  of  the  very  h)w  st  andard 
of  wages.  Instead,  a  system  of  arbitrary  weekly  contiibutions  was 
thought  preferable.  For  the  purposes  of  such  contributions  it  was 
suggested  that  the  wage-workers  be  divided  into  classes  according  to 
their  earnings :  (1 )  Those  earning  less  than  60  rubles  ($30.90)  annually ; 
(2)  those  earning  from  60  to  120  rubles  ($30.90  to  $61.80);  (3)  from 
120  to  180  rubles  ($61.80  to  $92.70);  (4)  180  to  300  rubles  ($92.70 


CHAPTER  IX.— WORKMEN  S  INSURANCE   IN   RUSSIA. 


2307 


to  $154.50);  (5)  300  to  480  rubles,  ($154.50  to  $247.20);  and  (6)  480 
to  1,000  rubles  ($247.20  to  $515.00).  Whether  worker  earning 
more  than  1,000  rubles  ($515).  annually  should  be  required  to 
insure  against  old  age  and  invalidity  was  not  definitely  decided. 
For  each  of  the  six  classes  enumerated,  definite  weekly  dues  are  to  be 
collected,  with  an  equal  contribution  from  the  employer,  while  the 
state  treasury  should  contribute  at  least  one-third  of  the  value  of 
the  pension,  and  even  more  when  necessary  to  bring  the  pension  up 
to  the  required  minimum.  To  members  of  each  group  a  definite 
pension  is  to  be  paid,  either  at  the  regular  age  or  at  the  establishment 
of  disability  from  invalidity,  but  in  no  case  unless  200  weekly  pay- 
ments had  been  made. 

While  no  definite  scale  of  pensions  was  prepared  by  the  commission, 
yet  in  a  report  to  the  commission  by  one  of  the  members  the  pro- 
posed pensions  for  the  six  groups  were  18,  30,  48,  72,  120,  and  180 
rubles  per  annum.  ($9.27,  $15.45,  $24.72,  $37.08,  $61.80,  and 
$92.70.) 

It  was  freely  admitted  at  the  time  that  the  almost  entire  absence 
01*  statistical  data  made  a  scientific  adjustment  of  contributions  and 
cost  of  the  pension  impossible,  but  the  need  for  pensions  was  stated 
to  be  so  great  that  it  did  not  permit  of  a  delay  until  such  data  could 
be  completed.  It  was  expected  that  in  the  beginning  the  cost  to  the 
treasury  might  be  heavy,  but  a  gradual  adjustment  through  periodical 
revision  of  rates  could  meet  that  difficulty  in  time. 

PLAN    OF    1905    FOR    A    GENERAL    OLD-AGE    INSURANCE    SYSTEM. 

The  first  comprehensive  governmental  plan  for  old-age  and  inva- 
lidity insurance  of  workmen  employed  in  private  establishments 
was  published  in  1905  as  a  part  of  the  general  workmen's  insurance 
plan,  the  other  parts  of  which  were  analyzed  in  preceding  sections  of 
this  chapter. 

This  plan  was  somewhat  of  a  compromise  between  the  pension 
funds  for  government,  zemstvo,  and  railroad  employees,  described 
above,  and  the  plan  of  the  Society  for  Encouragement  of  Russian 
Industry  and  Commerce.  The  pensions  are  based  upon  the  value 
of  the  individual  accumulated  accounts,  which  consist  mainlv  of 
equal  contributions  by  the  employers  and  employees.  Special  pen- 
sions are  also  provided  for  in  cases  of  invalidity  for  widows  and 
children.  The  main  differences  between  this  plan  and  the  existing 
pension  funds  are,  on  the  one  hand,  the  guarantee  of  a  minimum 
pension;  when  the  accumulations  do  not  cover  its  cost,  the  difference 
must  be  paid  from  the  reserve,  and  the  state  treasury  is  to  meet  the 
obligations  of  the  reserve  if  its  funds  are  exhausted.  That  is  to  a 
slight  extent  a  direct  subsidy  of  the  state  treasury  to  the  old-age 
and  invalidity  insurance.     On  the  other  hand,  the  obligatory  payments 


2308 


REPORT  OF   THE   COMMISSIONER  OF   LABOB. 


of  both  employer  and  employee  are  much  smaller  than  in  the  de- 
scribed pension  funds.  Where  those  payments  equalinl  9  to  12  per 
cent  of  the  wages,  besides  many  other  important  sources  of  revenues, 
fairly  large  pensions  could  be  paid  after  comparatively  short  periods 
of  service.  The  contributions  according  to  this  plan  of  1905  are 
greater  than  those  contemplated  by  the  Society  for  Encouragement  of 
Russian  Industry  and  Commerce;  yet  they  equal  only  3  per  cent  from 
each  side.  As  a  consequence  the  pensions  must  be  quite  small,  but 
larger  than  in  the  earlier  plans;  this  is  evident  from  the  amounts  of  the 
guaranteed  minimum.  After  25  years  of  membership  in  the  fund  the 
guaranteed  minimum  is  only  36  rubles  ($18.54)  per  annum,  or  $1.55 
per  month;  and  for  invalids  after  five  years  only  24  rubles  ($12.36),  or 
$1.03  per  month.  Widows'  pensions  are  granted  only  if  the  work- 
man dies  while  a  member  of  a  fund,  but  not  after  he  has  received  a 
pension. 

PLAN  OF   1906. 

A  radical  change  in  the  attitude  toward  the  probh^m  of  old-age 
insurance  took  place  in  the  conferences  which  elaborated  the  insul*- 
ance  plans  of  1906.  Wliile  the  desirabihty  of  such  insurance  was  still 
recognized,  grave  doubts  were  expressed  as  to  its  feasibility  for  tlie 
immediate  future.  It  was  pointed  out  that  even  in  Germany  the 
introduction  of  accident  and  sickness  insurance  preceded  that  of  old- 
age  and  invalidity  insurance  by  many  years,  and  that  that  was  the 
natural  sequence  in  all  other  countries  gradually  working  their  way 
toward  a  complete  system  of  obligatory  social  insurance. 

The  greatest  difficulty  was  found  in  the  pecuharities  of  organizaticin 
of  Russian  industry  and  commerce,  with  the  predominence  of  small 
artisans'  shops,  hand  trades,  home  industry,  and  other  branches  of 
semiindependent  workers.  The  simultaneous  extension  of  the  ohl- 
age  insurance  system  over  the  entire  body  of  industrial,  commercial, 
and  transportation  wage-earners  was  thought  out  of  the  question' 
and  under  such  circumstances  the  shifting  of  the  wage-earners  froin 
a  class  of  service  included  in  the  old-age  insurance  scheme  to  another 
not  so  included  w  ould  be  a  very  frequent  occurrence,  and  the  retention 
of  the  contributions  made  by  the  employee  to  the  fund  would  work  an 
injustice. 

As  a  matter  of  fact,  almost  all  existing  Russian  old-age  pension 
funds  repay  the  contributions  of  the  insured  at  separation  from  serv- 
ice after  a  very  brief  period  of  service  (usually  two  years).  The 
German  system  of  nonrepayment  of  these  contributions  would  meet 
very  strong  opposition,  and,  on  the  other  hand,  the  practice  of  repay- 
ment would  be  so  frequent  as  to  make  the  payment  of  pensions  excep- 
tional and  also  very  difficult.  In  this  combination  of  circumstances 
the  commission  of  1906  saw  a  cause  of  an  automatic  breakdown  of  the 
old-age  pension  system.     It  therefore  proposed  that  the  plan  for 


CHAPTER  IX. workmen's  INSURANCE   IN   RUSSIA. 


2309 


introducing  such  a  system  be  indefinitely  postponed,  and  in  its  stead 
a  system  of  savings  funds  for  individual  establishments  was  recom- 
mended. Such  savings  funds  may  be  established  either  upon  the 
initiative  of  the  employer  or  by  vote  of  the  employees.  Membership 
in  the  savings  fund  was  to  be  voluntary  unless  at  least  three-fourths 
of  the  employees  vote  for  its  establishment;  in  that  case  the  establish- 
ment of  the  fund  is  mandatory  and  membership  obligatory  for  all 
wage-workers  employed  at  the  time  or  subsequently.  Under  the 
voluntary  organization  the  amount  of  savings  is  left  to  the  discretion 
of  the  employees,  but  in  the  obligatory  funds  the  savings  are  regu- 
lated by  the  proposed  law,  which  requires  them  to  be  not  less  than  2 
per  cent  nor  more  than  4  per  cent  of  the  earnings.  These  obligatory 
funds  are  more  than  savings  funds  and  may  be  termed  savings  and 
benefit  funds,  for  the  employei-s  are  required  to  add  at  least  25  per 
cent  to  the  contributions  made  b}^  the  employees.  The  accumula- 
tions are  paid  to  the  employee  at  the  time  of  leaving  his  employment, 
according  to  the  following  regulations:  The  individual  savings  uncon- 
ditionally, and  of  the  benefits  contributed  by  the  employer  30  per 
cent  after  3  years  of  service  and  1 0  per  cent  additional  for  each  addi- 
tional year  of  service.  Besides  the  savings  and  benefit  fund,  a  sur- 
plus fund  is  also  established,  into  which  those  portions  of  the  benefit 
fund  are  turned  which  have  not  been  paid  out  because  of  premature 
separation  from  service,  and  this  fund  is  to  be  used  for  granting  bene- 
fits to  famihes  of  deceased  employees.  The  savings  funds  are  also 
permitted  to  grant  loans  to  the  members.  The  administration  of 
these  funds  is  to  be  intrusted  to  the  general  members'  meetings  and  a 
board  of  directors  consisting  of  representatives  of  the  employer  and 
employees. 

Onl3^  in  a  very  indirect  way  are  these  planned  funds  connected 
with  old-age  insurance.  The  only  element  is  the  gradual  acquisition 
by  the  employee  of  a  right  to  the  employers'  contributions  to  the  sav- 
ing fund.  These  rights  are  fully  acquired  in  ten  years,  but  at  best 
they  have  a  small  value.  With  the  average  earnings  of  about  $100 
per  annum,  the  workmen's  average  contributions  will  be  from  $2  to 
$4  a  year  and  the  employers'  average  contribution  to  the  benefit 
fund  from  $0.50  to  $1. 

PlJiN  OF   1907. 

Notwithstanding  the  conclusions  of  the  conference  of  1906,  which 
were  discouraging  to  the  idea  of  immediate  organization  of  old-age  and 
invahdity  insurance,  the  Ministry  of  Commerce  and  Industry  con- 
tinued its  work  on  the  further  elaboration  of  an  old-age  insurance 
plan,  the  results  of  which  were  published,  together  with  much  explan- 
atory material,  in  May,  1907.  This  bill  was  not  introduced  in  the 
Duma  until  June,  1908,  together  with  the  other  insurance  bills,  and 


2310 


EEPOKT  OF   THE  COMMISSIONER  OF  LABOR. 


SO  is  evidently  not  considered  a  matter  for  immediate  consideration; 
nevertheless  the  bill  shows  the  gradual  growth  of  the  influence  of  the 
German  insurance  methods  in  Russia.  While  the  plan  of  1905  was 
based  upon  the  system  of  personal  accounts,  thus  following  the  exist- 
ing pension  funds  for  salaried  employees,  and  the  plan  of  1906  hid 
taken  another  step  away  from  the  pension  principle  toward  simj)le 
saving,  with  a  few  slight  benefit  features,  the  plan  of  1907,  on  the  con- 
trary, shows  a  strong  tendency  in  the  opposite  direction.  It  is  much 
nearer  to  the  suggestions  offered  by  the  Society  for  Encouragement  of 
Russian  Industry  and  Commerce  in  1902. 

The  bill  was  intended  to  establish  obligatory  old-age  and  invalidity 
insurance  for  all  wage-workers  and  employees  over  15  years  of  age  in 
industrial,  trade,  commercial,  and  financial  estabhshments.  The  cen- 
tral insurance  office,  to  be  established,  shall  have  the  right  to  extend 
this  system  of  ot.ligatory  insurance  to  the  following  classes  of  persons 
either  throughout  the  Empire  or  in  definite  regions:  Domestic  serv- 
ants, independent  artisans  who  do  not  employ  any  hired  labor,  per- 
sons belonging  to  ''artels"  (industrial  cooperative  groups),  or  per- 
forming work  on  order,  even  if  they  em})loy  labor,  but  work  together 
with  their  employees. 

The  following  groups  are  excepted:  (a)  Agricultural  laborers  and 
employees  of  rural  industrial  establishments;  (&)  employees  receiv- 
ing no  other  compensation  except  subsistence;  (c)  privates  in  the 
army  and  navy  performing  industrial  labor  as  a  part  of  their  duties; 
((Z)  aliens;  and  (e)  persons  over  60  years  of  age  at  the  time  of  organi- 
zation of  this  insurance  system,  or  who  had  lost  at  least  two-thirds  of 
their  working  ability;  also  persons  who  at  the  time  of  adoption  of  the 
law  hold  membership  in  any  pension  funtl  granting  old-age  and  inva- 
lidity pensions  not  inferior  to  those  estal)lislied  by  this  act. 

Furthermore,  the  following  persons  may  be  freed  from  the-  obliga- 
tion of  insurance  if  they  so  desire:  Those  who  are  not  employed  over 
twenty  weeks  throughout  the  year  in  estabhshments  subject  to  com- 
pulsory insurance,  and  persons  receiving  pensions  not  inferior  to  the 
minimum  pensions  established  by  this  bill,  either  from  accident  insur- 
ance or  from  any  existing  pension  fund. 

Thus  the  exceptions  embrace  a  considerable  class  of  wage-workers. 
The  exception  of  agricultural  laborers  is  perhaps  the  most  important 
one.  Next  to  it  may  be  placed  the  group  of  persons  employed  not 
over  twenty  weeks  per  annum.  That  may  include  a  great  many  per- 
sons in  construction,  building  trades,  and  in  such  seasonal  trades  as 
sugar  manufacturing  and  refining. 

The  amounts  of  old-age  or  invalidity  pensions,  funeral  expenses, 
and  also  of  weekly  contributions  depend  ui)on  the  wages  of  the  insured, 
who  are  classified  for  this  purpose  into  five  groups,  as  shown  in  the 
following  tabular  statement: 


CHAPTER  IX. — workmen's  INSURANCE   IN   RUSSIA.  2311 

CLASSIFICATION  OF  INSURED  PERSONS  ACCORDING  TO  THE  OLD-AGE  INSURANCE 

PLAN  OF  1907. 

[Source:  Official  text  of  the  bill  and  report  accompanying  same.] 


Class. 

Annual  wages. 

Old-age 
pensions. 

Basic  in- 
validity 
pensions. 

Additional 
invalidity 
pension  for 
each  paid- 
up  week. 

Weekly 
premium* 

1 

$103  and  under 

124.72 
37.08 
49.44 
61. -26 
74.16 

$1&54 
24.72 
30.90 
37.08 
43.26 

$0. 015 
.031 
.046 
.062 
.077 

$a053 
.103 
.154 
.206 
.258 

2 

Over  $103  to  $20G 

3 

Over  $206  to  $309. . . 

4 

Over  $309  to  $412 

5 

Over  $412  to  $515. 

In  computing  the  annual  earnings  the  value  of  all  compensation, 
food,  lodgings,  etc.,  must  be  considered;  the  annual  earnings  are 
taken  as  equal  to  12  times  the  monthly  earnings,  52  times  the  weekly 
earnings,  or  280  times  the  daily  wages.  In  case  of  piecework  the 
class  is  determined  by  agreement  between  employer  and  empWee, 
or  by  reference  to  an  insurance  inspector. 

The  premiums  are  to  be  paid  weekly  and  in  the  amounts  indicated 
in  the  table.  The  payments  made  while  the  insured  person  is  em- 
ployed are  obligatory,  and  equal  shares  are  contributed  by  the 
employer  and  employee.  Voluntary  payments  may  be  made  during 
nonemployment  and  then  entirely  by  the  employee.  The  level  of 
old-age  pensions  is  definitely  established.  To  receive  an  old-age 
pension  a  person  must  be  at  least  60  years  of  age  and  show  at  least 
1,000  ^'paid-up  weeks."  In  addition  to  the  number  of  weeks  for 
which  the  premiums  were  actually  paid  in,  either  in  the  form  of 
obligatory  or  of  optional  payments,  the  privilege  is  given  to  count 
the  time  spent  in  military  service,  or  the  time  of  disability  due  to 
sickness  not  to  exceed  4  weeks  in  one  year;  in  case  of  maternity,  8 
weeks  may  be  counted  in  one  year.  The  right  to  a  pension  lapses 
when  less  than  40  weeks  are  paid  up  during  two  years.  It  may  be 
reestablished  by  paying  up  new  200  weeks.  The  right  to  the  pension 
is  lost  at  death  of  the  pensioner,  or  when  the  pensioner  is  granted 
another  pension  at  least  equal  in  amount,  for  disability  resulting 
from  injury.  It  may  be  suspended  temporarily  under  certain 
conditions. 

If  an  insured  male  person  dies  before  acquiring  the  right  to  a  pen- 
sion a  funeral  benefit,  equal  to  two-thirds  of  the  annual  value  of  the 
old-age  pension  of  the  same  group  to  which  the  last  40  premium 
payments  belonged,  is  paid  to  his  widow  or  children.  When  these 
payments  were  distributed  between  difi'erent  wage  groups,  a  corre- 
sponding adjustment  is  to  be  made.  In  case  of  death  of  a  female 
married  insured  person  the  surviving  husband  receives  this  benefit 
only  in  case  of  disability  and  dependency  upon  the  earnings  of  the 
deceased  wife. 


i 


67725°— VOL  2—11- 


-52 


2312 


BEPOET  OF   THE  COMMISSIONER  OF   LABOR. 


The  pensions  for  invalidity  (inability  to  work)  are  granted  eitlier 
permanently  or  temporarily,  without  consideration  as  to  age,  but 
not  before  premiums  for  at  least  200  weeks  have  been  credited  to  the 
account  of  the  insured,  of  which  at  least  100  weeks  must  have  been 
actually  paid  in.  Tlie  basic  invahdity  pensions  as  shown  in  the 
above  table  are  smaller  than  the  old-age  pensions.  In  the  five 
wage  groups  they  rei)resent,  respectively,  three-fourths,  two-thbds, 
five-eighths,  three-fifths,  and  seven-twelfths  of  the  old-age  pension. 
But  the  invalidity  pensions  are  increased  with  the  length  of  service. 
For  each  ^'counted  in"  insurance  week  a  small  increment  is  added  to 
the  annual  value  of  the  invalidity  pension;  provided,  however,  tJiat 
only  when  40  weeks  have  been  counted  within  one  calendar  year,  or 
80  weeks  within  two  calendar  years,  are  these  increments  added. 
Only  the  first  and  the  last  years  of  insurance  are  excepted  from  this 
qualification,  all  the  counted  weeks  giving  the  right  to  additional 
increments,  no  matter  how  many  or  how  few  there  were  within  one 
year.  Methods  of  computing  the  old-age  pensions  and  ])asic  invahdity 
pensions  in  case  of  change  from  one  group  to  another  during  the 
insurance  period  are  given  in  the  bill. 

The  main  revenue  is  to  be  derived  from  the  weekly  contributions. 
Many  minor  sources  are  mentioned,  such  as  fines,  proceeds  from 
sale  of  insurance  cards  and  pension  books,  incomes  from  invest- 
ments, and  fines  and  penalties;  but  with  all  these  tJie  need  of  a 
substantial  subsidy  from  the  state  treasury  is  expecte<l.  This  sub- 
sidy is  of  a  double  nature,  first,  the  payment  of  the  j)remiums  for 
insured  persons  while  performing  military  service;  and,  second,  in 
meeting  part  of  the  cost  of  each  old-age  or  invahdity  pension,  namely, 
2  rubles  ($1.03)  per  month.  The  amounts  thus  due  are  to  be  paid 
every  four  months  and  in  advance  from  the  treasury  into  the  insur- 
ance fund.  The  premiums  during  military  service  are  to  be  com- 
puted at  the  mmimum  rate,  10  copeckij  (5.2  cents)  per  week.  The 
cost  of  pension  payments,  of  administration,  and  of  medical  care  of 
pensioners  are  charged  to  the  insurance  fund.  The  fund  must  be 
placed  on  deposit  with  the  state  treasury,  and  that  part  of  it  which 
is  not  needed  for  current  operation  is  to  be  invested  in  government 
securities  or  other  designated  securities. 

The  payment  of  weekly  premiums  is  planned  in  accordance  with 
the  German  S3^stem,  which  the  bill  closcdy  follows  in  many  details. 
Each  insured  person  has  a  personal  insurance  card.  The  weekly  pre- 
miums are  paid  by  means  of  stamps  pasted  on  this  card  by  the 
employer,  who  is  authorized  to  deduct  half  their  value  from  the 
wages  of  the  employee.  Instead  of  additional  voluntary  contribu- 
tions, provided  for  in  earher  schemes,  the  bill  permits  the  employee 
to  have  a  stamp  of  a  higher  denomination  than  on  his  card,  provided 
he   pays   the   entire   difference   in   cost.     Full  insurance   cards   are 


CHAPTER   IX. — WORKMEN  S   IKSURANCE   IN   RUSSIA. 


2313 


exchanged  for  new  ones  by  the  insurance  agencies  when  the  number 
of  weeks  counted  in  for  other  seasons  is  certified  to. 

For  the  purposes  of  administration  of  this  pension  sj^stem  a  new 
administrative  system  is  proposed  by  the  bill,  headed  by  a  central 
insurance  office,  district  insurance  offices,  insurance  inspectors,  insur- 
ance agencies,  and  county  (uiezd)  insurance  councils.  The  entire 
administrative  machinery  is  subject  to  the  Mnistry  of  Commerce 
and  Industry.  The  agencies  are  planned  in  connection  with  offices  of 
the  state  savings  bank,  post-offices,  and  other  financial  or  administra- 
tive institutions  of  the  central  government  and  local  governments, 
and  sick  benefit  funds  or  insurance  associations.  These  agencies 
perform  mainly  such  financial  operations  as  require  relations  with 
the  insured  persons  or  their  employers.  The  insurance  inspector 
supervises  the  activity  of  these  agencies  witliin  his  district  and  also 
regulates  the  administration  of  the  law  within  that  district.  The 
district  insurance  office  may  be  appealed  to  against  the  decisions  of 
the  inspectors,  grant  pensions  or  benefits,  and  administer  the  insur- 
ance funds  in  its  district,  etc.  The  general  supervision  of  the  law 
and  the  final  decision  of  doubtful  cases  is  left  with  the  central 
insurance  office. 

The  bill  does  not  contain  an}"  provisions  as  to  the  mode  of  meeting 
a  possible  deficit  beyond  the  demand  that  the  rate  of  premium  be 
revised  not  later  than  ten  years  from  the  organization  of  the  fund,  on 
the  basis  of  statistical  information  obtained  during  the  fii*st  yeai^s  of 
its  activity.  A  very  careful  actuarial  computation  of  the  expected 
cost  of  the  old-age  and  invalidity  pension  was  made  in  connection 
with  the  preparation  of  the  bill,  and  the  results  of  this  computation 
used  for  determining  the  premium  rates. 

The  annual  premiums  necessary,  according  to  tliis  computation,  to 
meet  the  cost  of  the  pensions  are  compared  in  the  following  table 
with  the  actual  rates  proposed  in  the  bill.  In  this  comparison  it  is 
assumed  that  there  would  be,  on  an  average,  40  weekly  premium 
payments  per  annum.  It  is  also  shown  that  the  treasury  subsidy  of 
24  rubles  ($12.36)  per  pension  is  equal  to  a  premium  of  1.62  rubles 
(83.4  cents)  per  annum. 

COMPUTED    NECESSARY    PREMIUMS    COMPARED    WITH    PREMUTMS    PROPOSED    IN 

THE  OLD-AGE  INSURANCE  PLAN  OF  1907. 

[Source:  Official  text  of  the  bill  and  rexwrt  accompanying  same.] 


Class. 

Nec«Kary 

annual 
premium. 

Annual 
premium 
proposed. 

Annual 
value  of 
govern- 
ment 
subsidy. 

Total 

premium 

cost. 

Surplus 

available 

for  ad- 

ministra- 

tion. 

1 

S2.26 
4.04 
5.98 
8.12 

10.45 

S2.06 
4.12 
6.18 
8.24 

10.30 

SO.  83 
.83 
.83 
.83 
.83 

S2.89 
4.95 
7.01 
9.0? 

11.13 

10.63 

.91 

1.08 

.95 

.68 

2 

3 

4 

5 ;..:; 

2314 


KEPORT  OF  THE   COMMISSIONEE  OF  LABOK. 


BIBLIOGRAPHY. 

OFFICIAL  PUBLICATIONS. 

Pravitelstvumshchil  Senat.  Svod  Zakonov  Rossilskol  Imperii.  Tom  1-lG.  (The 
Governing  Senate:  Code  of  Laws  of  the  Russian  Empire.)  St.  Petersburg, 
1885-1903. 

Pravitelstvumshchil  Senat.  Sobranie  Uzakoneiiii  i  Rasporiazhenil  Pravitel'stva, 
izdavaemoe  pri  Pravitelstvufushchem  Senaffe.  (The  Governing  Senate:  Col- 
lection of  laws  and  orders  of  the  Government,  published  by  authority  of  the 
Governing  Senate.)     St.  Petersburg,  1908. 

Proekty,  vnesionnye  Sovietom  Ministrov  v  Gosudarstvennuiu  Dumu  23  iunia  1908 
goda.  (Rills  introduced  into  the  Imperial  Duma  by  the  Council  of  Ministers, 
June  23,  1908.)    St.  Petersburg,  1908. 

(a)  Polozhenie  o  Prisutstvifakh  po  df^lam  strakhovania  rabochikh .     (Regu- 

lations in  regard  to  workmen's  insurance  commissions  ) 

(b)  Polozheme  o  Sovietle  po  dfelam  sti-akhovania  rabochikh.    (Regulations 

in  regard  to  a  workmen's  insurance  council.) 

(c)  Polozhenie  o  strakhovanii  rabochikh  ot  neschastnykh  sluchaev.     (Regu- 

lations governing  insurance  of  workmen  against  accidents.) 

(d)  Polozhenie  ob  obespechenii  rabochikh  na  sluchal  bolesni.    (Regulations 

governing  provision  for  workmen  in  case  of  illness.) 
MinisterstvoTorgovli  i  Promyshlennosti.    Otdiel  Promyshlennosti.    I  >ieloproisvodstvo 
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mining  commission.)     St.  Petersburg,  1908. 

(a)  Ob  uchrezhdenii  prisutstvii  po  dlelam  strakhovaniia  rabochikh.     (Con- 
cerning the  establishment  of  workmen's  insurance  commissions.) 
vb)  Ob   uchrezhdenii   Sovieta  po  dlelam   strakhovaniia  rabochikh.    (Con- 
cening  the  establishment  of  a  workmen's  insurance  <'ouncil.) 

(c)  Ob  obespechneii  rabochikh  na  sluchal  boliezni.     (Concerning  the  pro- 

vision for  workmen  in  case  of  illness.) 

(d)  0   strakhovanii  rabochikh  ot  neschastnykh  sluchaev.    Obiasnitelnaia 

zapiska,  (Concerning  the  insurance  of  workmen  against  accidents. 
An  explanatory  memorial.) 

Ministerstvo  Torgovli  i  Promyshlennosti.  Otdfel  Promyshlennosti.  Materialy  po 
peresmotru  rabochavo  zakonodatel'stva.  Osnovnyia  polozheiua  vytekaiur^h- 
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rabochemu  zakonodatelstvu.  (Ministry  of  Commerce  and  Industry,  Bureau  of 
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Industry.)     St.  Petersburg,  1907. 

Ministerstvo  Torgovli  i  Promyshlennosti.  OtdiTl  Promyshlennosti.  Polozhenie  o 
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Ministerstvo  Torgovli  i  Promyshlennosti.  Otdiel  Promyshlennosti.  Polozhenie  ob 
obiazatelnom  strakhovanii  ot  invalidnosti  1  starosti.  Proekt.  (Ministry  of  Com- 
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surance against  invalidism  and  old  age.    A  bill.)    St.  Petersburg,  1907. 

Ministerstvo  Torgovli  i  Promyshlennosti.  Otdlcl  Promyshlennot^ti.  Opredieleaie 
rasmera  strakhovykh  vsnosov  neobkhodimykh  dlia  obespechenia  vydach,  i)re- 
dusmotrennykh  proektom  polozhenia  ob  obiazatelnom  strakhovanii  ot  starosti  i 
invalidnosti.  (Ministry  of  Commerce  and  Industry,  Bureau  of  Industry.  The 
determination  of  the  amount  of  insurance  premiums  necessary  for  guaranteeing 


CHAPTER  IX. — WORKMEN  S  INSURANCE   IN  RUSSIA. 


2315 


the  benefits,  proposed  by  the  project  of  the  law  of  obligatory  insurance  against 
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obiazatelnom  strakhovanii  rabochikh  ot  neschastnykh  sluchaev.  (Ministry  of 
Commerce  and  Industry,  Bureau  of  Industry.  Regulations  of  obligatory  insur- 
ance of  workmen  against  accidents.  Text  of  legislative  proposal.)  St.  Peters- 
burg, 1907. 

Ministerstvo  Torgovli  i  Promyshlennosti.  Otdiel  Promyshlennosti.  Statistika  nes- 
chastnykh sluchaev  srabochimi  vpromyshlennykh  zavedeniakh,  podchinionnykh 
nadsoru  fabrichnol  inspektzii  1901-5.  (Ministry  of  Commerce  and  Industrj'^, 
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ments,  subject  to  factory  inspection,  1901-5.)  St.  Petersburg,  1903-8.  (The 
reports  for  1901  and  1902  were  published  by  the  Ministry  of  Finance.) 

Ministerstvo  Torgovli  i  Promyshlennosti.  Gomy  Departament.  Statistika  ne- 
schastnykh shuchaev  s  rabochimi  v  predpriatiakh  gornol  I  gornosavodskol  pro- 
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merce and  Industry.  Mining  Department.  Statistics  of  accidenta  to  workmen 
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primenenia  zakona  2  iunia  1903  goda.  (Ministry  of  Commerce  and  Industry. 
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1903.)    St.  Petersburg,  1908. 

Ministerstvo  Torgovli  i  Promyshlennosti.  Otdiel  Promyshlennosti.  Svod  otchotov 
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Bureau  of  Industry.  Digest  of  the  reports  of  the  factory  inspectors,  1900-1905.) 
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by  the  Ministry  of  Finance.) 

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voprosa.  Po  offitzialn'ym  dannym.  Mart,  1905.  (Ministry  of  Finance,  Bureau 
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March,  1905.)     St.  Petersburg,  1905. 

Ministerstvo    Finansov.     Departament   Toi^ovli    i    Manufaktur.     Vrachebnaia    |>o- 

moshch  fabrichnym  rabochim.     Sostavleno  i  rasrabotano  fabrichnym  re\-isofODi 

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.Manufactures.     Compiled  and  elaborated  by  factory  inspector  E.  M.  Dementiev.) 

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Ministerstvo  Finansov.  Departament  Torgovli  i  Manufaktur,  Sbornik  uzakonenii, 
pravil,  u  rasporiazhenil  po  dlelam  kasaiushchimsia  fabrichnoi  inspektzii.  Vypusk 
1-3.  (Ministry  of  Finance,  Department  of  Commerce  and  Manufactures.  Col- 
lection of  laws,  rules,  and  orders  concerning  factory  inspection.  Fascicle  1-3.) 
St.  Petersburg,  1898,  1899,  1902. 

Ministerstvo  Finansov.  Otchot  pensioiinol  kassy  vol'nonaiomnykh  sluzhashchikh 
po  kazionnol  prodazhe  pitei,  1900-1905.  (Ministry  of  Finance.  Report  of  the 
pension  fund  of  the  civil  employees  of  the  government  sale  of  liquors.  1900-1905.) 
St.  Petersburg,  1903-1908. 

Ministerstvo  Putei  Soobshchenia.  L^pravlenie  zheleznykh  dorog.  Sbornik  uprav- 
leuia  dlelami  pensionnoi  kassy  sluzhashchikh  na  kazionnykh  zheleznykh  doro- 
gakh.    (Ministry  of  Ways  of  Communication,  Office  of  State  Railways.    Annual 


2316 


BEPORT  OF   THE  COMMISSIONER  OF  LABOR. 


report  of  the  administrative  office  of  the  pension  fund  of  the  employees  of  state 
railways.)     St.  Petersburg,  1897. 

Minist^re  des  Voies  de  Communication.  Administration  des  Chemins  de  fer  de 
1  'Empire.     Recueil  de  la  Direction  du  Comit^  des  Pensions.     St  I*etereburg,  IJKK). 

Ministerstvo  Putei  Soobshchenia.  Upravlenie  zheleznykh  dorog.  Otchot  pensionnoi 
kassy  sluzhashchikh  na  kazionnykh  zheleznykh  dorogakh,  190(>-]  906.  (Ministry  of 
Ways  of  Communication,  Office  of  Railways.  Report  of  the  pension  fund  of  the 
state  railway  employees,  1900-1906.)    St.  Petersburg,  1902-1908. 

Ministerstvo  Putei  Soobshchenia.  Upravlenie  zheleznykh  dorog.  Upravlenie 
dfelami  Zheleznodorozhnavo  Pensionnavo  Komiteta.  Svodnye  balansy  pcm- 
sionnykh  i  sberegatelno-vspomogatelnykh  kaas,  dfeistvmushchikh  na  russkikh 
zheleznykh  dorogakh,  1905,  1906.  (Ministry  (.f  Ways  of  Communication,  Bureau 
of  Railroads,  office  of  the  railroad  pension  committee.  Summary  of  balances  of 
the  pension  and  saving  benefit  funds  of  the  Russian  raiboads,  1905,  1906.)  St 
Petersburg,  1907-1908. 

Ministerstvo  Putei  Soobshchenia.  Upravlenie  zheleznykh  dorog.  Statistika  slu- 
zhashchikh na  zheleznykh  dorogakh,  uchastnikov  pensionnykh  i  sberegateino 
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of  Railways.  Statistics  of  railway  employees  holding  membersliip  in  pension  and 
saving-relief  funds,  1899-1903.)    St.  Petersburg,  1901-1905. 

Ministerstvo  Putei  Soobshchenia.  Otdfgl  Statistiki  i  Kartografii.  StatishchcHki 
sbornik  ministerstva  putei  soobshchenia.  Vypusk  1-90.  (Ministry  of  Ways  of 
Communication,  Bureau  of  Statistics  and  Cartography.  Statistical  Annual  of  the 
Ministry  of  Ways  of  Communication.     Issues  1-90.)     St.  Perterbiirg,  1885-1907. 

Ministerstvo  Putei  Soobshchenia.  Upravlenie  zheleznykh  dorc»g.  Vrachebno- 
Sanitamaya  Chast.  Otchot  o  vrachebno-sanitarnom  sostoianii  exploatiruemykh 
zheleznykh  dorog,  1902-1907.  (Ministry  of  Ways  of  Communication,  Adminis- 
tration of  Railroads,  medico-sanitary  section.  Report  on  the  medico-sanitary 
condition  of  the  raiboads  in  operation,  1902-1907.)    St.  Petersburg,  1904-1909. 

Gorny  Uchionny  Komitet  Sbornik.     Sbornik  statisticheskikh  svedenii  o  gomozavi.d- 
skoi  promyshlennosti.     Rossii,  1895-1908.     (Scientific  mining  commission.     Col- 
lection of  statistical  information  concerning  the  mining  industry  of  Russia  )     St 
Petersburg,  1897-1907. 

Trudy  Vysochaishe  Uchrezhdionnavo  Rossiiskavo  Torgovo-Promyshlennavo  Siezda 
1896  goda,  v  Nizhnem  Novgorodlg.  Tom  1-7.  (Proceedings  of  the  Russian 
Congress  of  Commerce  and  Industry,  in  Nizhni  Novgorod,  1896.  Volumes  1-7  ) 
St.  Petersburg,  1897. 

Siezdy  Pred8ta\4telei  Promyshlennosti  i  Torgovli .  Materialy  po  rabwhemu  voprof^u. 
(Congress  of  the  Representatives  of  Commerce  and  Industry.  Documents  on  the 
labor  problem.) 

(a)  Predvaritelnye    proiekty    po    peresmotru   rabochevo    zakonodatelstva, 

vyrabotannye  Ministerstvom  Torgovli  i  Promyshlennosti  v  sovieshcha- 
nii  15-21  aprielfji  1906  goda.  (Preliminary  projects  for  reform  of 
labor  legislation,  prepared  by  the  Ministry  of  Commerce  and  Industry 
during  the  conference  of  April  15-21,  1906.)    St.  Petersburg,  1906. 

(b)  Obiasnitelnaia    zapiaka   k   predvariternomu   proektu    po   peresmotru 

rabochavo  zakonodatelstva,  vyrabotannomu  Ministerstvom  Torgovli  i 
Promyshlennosti  v  sovieshchanii  15  21  apriella  1906  goda.  (Explana- 
tory report  accompanying  the  preliminary  project  for  reform  of  labor 
legislation,  prepared  by  the  Ministry  of  Commerce  and  Industry 
during  the  conference  of  April  15-21,  1906.) 

(c)  Protokol  sovieshchanii  pri  Sovietie  Siezdov  Predstavitelei   Promysh- 

lennosti i  Torgovli  povoprosu  ob  obfazatelnom  strakhovanii  rabochikh 
ot   neschastnykh   sluchaev,    proiskhodivshikh    v   St.    Peterburge   v 


li 


CHAPTER  IX. WORKMEN  S  INSURANCE   IN   RUSSIA. 


2317 


fevralie  1907.  (Minutes  of  the  conferences  concerning  obligat^ory 
insurance  of  workmen  against  accidents  which  took  place  in  St. 
Petersburg  in  February,  1907,  under  the  auspices  of  the  Council  of 
the  Congresses  of  Representatives  of  Commerce  and  Industry.) 

PRIVATE  PUBLICATIONS. 

Balabanov,  M.:  Fabrichnye  zakony.  Sbornik  zakonov,  rasporiazhenii  i  raziasnenil 
po  voprosam  russkavo  fabrichnavo  zakonodalelstva.  (Factory  laws.  A  collec- 
tion of  laws,  orders,  and  decisions  pertaining  to  questions  of  Russian  factorj-  legis- 
lation.)    Kief,  1905. 

Bodicker,  Dr.  T.:  Die  Arbeiterversicherung  in  den  Europaeschen  Staaten.  Leipzig, 
1895. 

Dementiev,  E.  M.:  Zakony  o  vosnagrazhdenii  rabochikh,  poterpevshikh  ot  neschast- 
nykh sluchaev,  so  vslemi  izdannymi  v  ikh  ispolnenie  instruktziami  i  adminis- 
trativnymi  rasporiazheniami.  (Laws  pertaining  to  compensation  of  workmen 
injured  by  accidents,  with  all  instructions  and  executive  orders  issued  for  the 
purpose  of  their  administration.)    St.  Petersburg,  1907. 

Fon-Ditmar,  N .  F. :  Zakonoproekt  o  \TachebnoI  pomoehchi  rabochim.  (The  legislative 
proposal  on  medical  assistance  to  workmen . )     Kharkof ,  1908 . 

Kedrov,  P.  I.:  Yoznagrazhdenie  u^aechnykh rabochikh  po  zakonu  2  iunia  1903  goda. 
(Compensation  of  injured  workmen  according  to  the  law  of  Jime  2,  1903.)  Mos- 
cow, 1908. 

Litwinov-Falinskil,  V.  P.:  Fabrichnoye  zakonodatelstvo  i  fabrichnaia  inspektzia  v 
Rossii.  (Factory  legislation  and  factory  inspection  in  Russia.)  St.  Petersburg, 
1900. 

Litwinov-Falinskil,  V.  P.:  Novyi  zakon  o  voznagrazhdenii  uviechnykh  rabochikh. 
(The  new  law  concerning  the  compensation  of  injured  employees.)  St.  Peters- 
burg, 1904. 

Litwinov-Falinskii,  V.  P. :  Organizatzia  i  praktika  strakhovania  rabochikh  v  Germanii 
i  uslovia  vosmozhnavo  obespechenia  v  Rossii.  (The  organization  and  practice  of 
workmen's  insurance  in  Germany  and  conditions  of  possible  pro\"ision  in  Rus- 
sia.)    St.  Petersburg,  1903. 

Litwinov-Falinskii,  V.  P.:  OtNdetstvennost  predpriminatelei  za  uvHIechia  i  smert 
rabochikh.  (Employers'  liability  for  injuries  and  death  of  workmen.)  St. 
Petersburg,  1900. 

Luntz,  M.:  Rabochii  vopros  i  fabrichnoie  zakonodatelstvo  v.  Rossii.  Russkoye  Bo- 
gatstvo.  aprielia  i  maie  1904.  (The  labor  problem  and  labor  legislation  in  Russia. 
Published  in  the  magazine  Russian  Wealth,  April  and  May,  1904.) 

Mikulin,  A.  A.:  Fabrichnaia  inspektzia  v  Rossii.  (Factory  inspection  in  Russia.) 
Kief,  1906. 

Moskovsakaia  Birzha.  Doklad  sostoiashchei  pri  Moscovskoi  Birzhe  Kommissii  po 
rabochemu  zakonodatelstvu  po  povodu  zakonoproekta  * ' o  strakhovanii  rabochikh 
ot  neschastnykh  sluchaev."  (Moscow  Exchange.  Report  of  the  commission  on 
labor  legislation  of  the  Mosco"  Exchange,  concerning  the  bill  for  insurance  of 
workmen  against  accidents.)    Moscow,  1908. 

Moskovskaya  Birzha.  Doklad  sostoiashchei  pri  Moekowskoi  Birzhe  Kommissii  po 
rabochemu  zakonodatelstvu  po  povodu  zakonoproekta  '*ob  obespechenii  rabochikh 
na  sluchai  bolezni"  i  '*o  vrachebnoi  pomoshchi."  (Moscow  Exchange.  Report 
of  the  commission  on  labor  legislation  of  the  Moscow  Exchange,  concerning  the  bill 
for  "provision  for  workmen  in  case  of  sickness"  and  "for  medical  assistance.") 
Moscow,  1908. 

Osetzki,  F.:  Smert  i  Uv^chie  pri  exploatatzii  zheleznykh  dorog.  (Death  and  injury 
in  railroad  operation.)     St.  Petersburg,  1890. 


f 


2318 


REPORT  OF   THE   COMMISSION^ER  OF  LABOR. 


(Workmen's  insurance  in  Russia.) 


Press,  A.  A.:  Strakhovanie  rabochikh  v  Rossii. 

St.  Petersburg,  1900. 
Prokopovich,  S.  N.:  K  rabochemu  voprosu  v  Rosnii.     (Concerning  the  labor  probl«im 

in  Russia.)    St.  Petersburg,  1905. 

Shishkin,  H.  N.:  Zapiska  ob  obshchikh  nachalakh  upravlenia  strakhovanii  tova- 
rishchestvami  i  ob  organizatzii  strakhovykh  sudov.  (Memoriiil  concerning  the 
general  principles  of  administration  of  insurance  associations  and  the  organiza- 
tion of  insurance  courts.)     St.  Petersburg,  1907. 

Skarzhynski,  L.  B.:  K  voprosu  ob  obespechenii  rabochikh  ot  posliedstvii  neschast- 
nykh  sluchaev.  (Concerning  the  provision  for  workmen  against  results  of  acci- 
dental imjuries.)    St.  Petersburg,  1903. 

Skarzhynski,  I^  B.:  K  voprosu  o  obiazatel'nom  strakhovanii  na  slu»h£u[  invalidnosti. 
Doklad  dlia  pervavo  zasiedania  Kommissii  po  strakhovaniu  na  eluchal  8taro*»ti, 
V  Obshchestve  dlfa  sodiestvia  russkoi  promyshlennosti  i  torgovli.  (Concerning 
the  problem  of  obligatory  invalidity  insurance.  Report  to  the  first  session  of  the 
old-age  insurance  commission,  in  the  Society  for  Encouragement  of  Russian 
Industry  and  Commerce.)     St.  Petersburg,  1902. 

Skarzhynski,  L.  B.:  K  zakonoproektu  strakhovania  v  Rossii  raborliikh  na  sluchal 
invalidnosti  i  na  starost.  Tretii  doklad  Kommissii  po  strakhovaniu  na  sluchai 
starosti,  v  Obshchestve  dlia  sodfeistvia  russkoi  promyshlennosti  i  torgovli.  (Con- 
cerning the  legislative  proposal  for  insurance  of  workmen  in  Russia  against  invalid- 
ity and  old  age.  The  third  report  of  the  old-age  insm^nca  commission  to  the 
Society  for  Encouragement  of  Russian  Industry  and  Commerce.)  St.  Peters- 
burg, 1903. 

Soviet  Siezda  Gomopromyshlennikov  luga  Rossii.  Zakonoproekty  po  stkakhovaniu 
rabochikh.  (Council  of  the  South  Russian  Mine  Operators'  Association.  Work- 
men's insurance  bills.)     Kharkof,  1908. 

Tigranov,  G.  Th.:  Kassy  gornorabochikh.     (Miners'  funds.)    St.  Petersburg,  1896. 

Tigranov,  G.  Th.:  Kassy  vsainopomoshchi  rabochikh  chastnykh  gomykh  zavodov 
i  promyslov  v  Tzarstvle  polskom.  (Mutual-benefit  funds  of  the  workmen  of  private 
mining  and  metallurgical  establishments  of  Poland.)     St.  Petersburg,  1900. 

Tigranov,  G.  Th.,  i  Gussiatnikov:  Vrachebnaya  pomoshch  rabochim  na  gomykh 
zaradakh  i  promyslakh.  (Medical  help  to  workmen  in  mining  and  metallur- 
gical establishments.)    St.  Petersburg,  1907. 

Tripoli tov,  M.  N.:  Vitze-predsiedatel  Obshchestva  Zavodchikov  i  Fabrikantov. 
Vydacha  posobii  rabochim  pri  vremennol  utratie  trudosposobnosti  ot  neschastnykh 
sluchaev.  (Vice  president  of  the  Mill  Owners  and  Manufacturers'  Association. 
The  payment  of  subsidies  to  workmen  in  case  of  temporary  disability  resulting 
from  accidental  injuries)     St.  Petersburg,  1907. 

Tzitovich,  A.  L.:  O  pensionnykh  kassakh  v  chastnykh  uchrezhdeniakh.  (Concern- 
ing pension  funds  in  private  establishments.)     Kief,  1898. 

Zacher,  Dr. :  Die  Arbeiter-Versicherung  im  Auslande.  Bearbeitet  von  Dr.  Zacher. 
Heft  IX.  Die  Arbeiterversicherung  im  Ruswland,  Beitrag  von  N.  von  Seelor. 
Berlin,  1899. 

Zacher,  Dr.:  Die  Arbeiter-Versicherung  im  Au.^lande.  Herausgegeben  von  Dr. 
Zacher.  Heft  IXa.  Die  Arbeiter-Versicherung  im  Russland.  Bearbeitet  von 
Graf.     Louis  Skarzynski.     Berlin,  1905. 


CHAPTER  X- 


WORKMEN'S  INSURANCE  IN  SPAIN. 


2319 


CHAPTER  X. 


WOEKMEN'S  INSUKANCE  IN  SPAIN. 
INTRODUCTION. 

Spain  is  probably  the  least  industrially  developed  country  of 
western  Europe,  a  very  large  proportion  of  its  population  being 
engaged  in  agricultural  pursuits.  Unfortunately  the  statistical  infor- 
mation concerning  Spain  is  very  scant.  The  latest  occupational 
statistics,  published  by  the  Instituto  Eugrafics  y  Estadlstico,  refer 
to  1889.     They  showed  the  following  distribution: 

POPULATION  OF  SPAIN  BY  OCCUPATION  OR  INDUSTRY,  1889. 


Occupation  or  industry. 

Persons 
emi^05'ed. 

Occupation  or  industry. 

Persons 
emi^oyed. 

'Vgricixlture 

4,854.742 

243,867 

194.755 

823,310 

409,549 

115,764 

84,510 

72,077 

97,257 

49,565 

Teacher^,  etc 

39.136 

Ind  ustry  (textile  and  mineral) 

{^.{\m  TTI  f*  TOO 

Hotel  keepers,  etc 

14.449 

Total ,  known  occupations 

Incisure  da.'^'es 

ArXs  and  trades 

0.998,981 

Mprohant  Tnarin© 

29.918 

Professions  (legal,  medical,  etc.) 

TleliErious  (Catholic) 

Asvlum  inmates 

91.226 

Pupils  in  schools  and  coUegesi 

Not  reported 

1.719.«>5 

Public  erriDlovees     .                    

8.728,519 

Private  and  railway  employees 

Grand  total 

17,568,599 

Thus  of  about  7,000,000  persons  with  loiown  occupations,  industry 
(textile  and  mineral)  claimed  only  3i  per  cent  and  agriculture  nearly 
70  per  cent.  Adding  together  industry  (textile  and  mineral)  with 
arts  and  trades  gives,  for  1889,  onl}^  a  little  over  a  million  (1,067,177), 
or  about  15  per  cent  of  all  persons  with  known  occupations. 

While  the  industrial  activity  of  Spain  must  have  increased  con- 
siderably during  the  last  twenty  years,  it  is  still  very  much  below 
the  other  countries  of  western  Europe. 

Only  the  first  steps  have  as  yet  been  made  by  Spain  in  the  field  of  work- 
men's insurance.  The  present  status  may  be  summarized  in  a  very 
few  words :  Only  two  important  measures  have  been  passed  in  Spain 
concerning  this  field  of  labor  legislation — the  accident  compensation 
act  of  January  30,  1900,  and  the  act  of  February  27,  1908,  estab- 
lishing a  national  institute  for  old-age  pensions,  which  began  oper- 
ations in  1909.  The  first-mentioned  act  introduced  in  Spain  the 
system  of  compensation  of  workmen  for  industrial  accidents  in  place 
of  the  older  system  of  employers'  liability.     While  putting  upon  the 

2321 


2322 


REPORT  OF   THE   COMMISSIONER   OF  LABOR. 


^.^ 


CHAPTER   X. WORKMEN  S   INSURANCE   IN   SPAIN. 


2323 


employer  the  entire  cost  of  such  compensation,  the  Spanish  act 
leaves  the  question  of  insurance  to  the  option  of  the  employer 
though  It  endeavors  to  regulate  and  control  the  insurance  companies 
wntmg  accident  insurance.  The  old-age  insurance  institute  act  of 
February  27,  1908,  establishes  only  voluntary  insurance  of  workmen 
against  old  age  at  their  own  cost,  but  with  some  sul>sidy  from  the 
otate. 

.  Thus  the  entire  system  of  workmen^s  insurance  in  Spain  is  volun- 
tary The  same  holds  true  in  sickness  insurance,  as  far  as  this  term 
can  be  used,  there  being  in  Spam  a  certain  number  of  mutual  benefit 
societies,  whose  most  important  function  is  mutual  help  in  ca^e  of 
sickness.  The  membership  of  these  societies  is  not  very  large  and 
any  information  concerning  them  is  diilicult  to  obtain.  This  chkpter 
of  the  report  therefore,  treats  principally  of  accident  insurance. 
The  history  of  the  law  of  1900  is  foUowed  by  an  analysis  of  its  pro- 
visions, by  a  few  data  concerning  its  applications,  and 'by  an  account 
ot  the  efforts  made  during  the  last  decade  toward  the  reform  and 
extension  of  the  law.  Statistics  of  accidents  in  Spain  are  so  unsatis- 
tactory  that  only  the  most  important  data  are  reproduced 

In  connection  with  the  question  of  sickness  insurance  only  some 
statistical  information  concerning  the  mutual  benefit  societies  can 
be  given.  Under  the  caption  of  old-age  insurance  an  account  is  given 
of  the  history  of  the  efforts  of  the  Institute  of  Social  Reforms  to 
establish  a  national  old-age  insurance  institute,  which  efforts  termi- 
nated m  the  act  of  1908,  the  provisions  of  which  are  analyzed.  Men- 
tion is  also  made  of  an  interesting  proposal  to  introduce  a  system  of 
modified  life  insurance  for  workmen  as  a  function  of  the  national  old- 
age  insurance  institution  in  connection  with  the  proposal  of  a  law  to 
encourage  home  ownmg  among  the  Spanish  workmen,  such  Ufe 
insurance  to  act  as  security  for  the  home  in  case  of  death  of  the 
purchaser. 

It  is  evident  that  Spain  is  not  a  leader  in  the  field  of  workmen's 
msurance.  It  is  following  slowly  the  example  of  other  Latin 
countries  of  Europe. 

ACCIDENT  mSDRANCE. 
mSTOEY. 

The  accident  compensation  act  (or  -law  in  regard  to  industrial 
accidents,  as  its  official  title  reads)  of  January  30,  1900,  represents 
the  most  important  Spanish  legislation  in  the  domain  of  labor  in- 
surance. Until  the  enactment  of  this  law  the  compensation  of  work- 
men for  mdustnal  accidents  was  based  upon  the  criminal  and  civil 
liability  provisions  of  the  Civil  Code,  which  provisions  were  derived 
from  the  Roman  legal  ideas  of  responsibifity  for  the  results  of  one's 


acts  or  for  the  acts  of  one's  agent.  Articles  1902,  1903,  and  1908  of 
the  Spanish  Code  are  identical  with  articles  1382,  1383,  1384,  and 
1386  of  the  Code  Napoleon,  in  effect  in  France  and  in  Belgium,  and  the 
same  requirements  are  found  in  the  laws  of  Italy,  Switzerland,  Hol- 
land, etc.  The  results  in  Spain  of  the  application  of  the  laws  relative 
to  industrial  accidents  did  not  differ  much  from  the  results  obtained 
in  other  European  countries.  By  far  the  larger  number  of  industrial 
accidents  were  uncompensated,  while  in  the  remainder  compensation 
could  be  obtained  only  after  expensive  and  prolonged  litigation.  It 
was  stated  by  the  Spanish  delegate  to  the  Third  International  Con- 
gress of  Industrial  Accidents  and  Social  Insurance,  held  at  Milan  in 
1894,  that  the  absence  from  the  Civil  Code  of  any  compensation 
provisions  and  the  difficulty  experienced  in  fixing  the  employers' 
liability  had  caused  great  neglect  of  all  safety  provisions  and  there- 
fore increased  the  frequency  of  industrial  accidents. 

The  shortcomings  of  the  Civil  Code  were  recognized  as  early  as 
1883,  when  the  commission  for  social  reforms  (Comision  deReformas 
Shciales)  was  organized  to  investigate  the  economic  condition  of 
labor  in  Spain.  The  question  of  compensation  for  industrial  acci- 
dents was  considered  as  one  of  the  most  important  by  the  commission, 
and  by  June  7,  1887,  it  had  formed  the  plan  of  a  new  liability  act; 
but  it  took  nearly  thirteen  years  for  an  accident  compensation  law 
to  be  carried  through  the  Spanish  Cortes.  The  history  of  the  re- 
peated efforts  in  behalf  of  the  injured  workmen  presents  a  picture  of 
evolution  from  old  to  new  socio-legal  notions  relative  to  employers' 
liability,  a  process  of  evolution  which  is  far  from  complete,  for,  as  will 
be  shown  presently,  earnest  efforts  are  still  being  made  to  extend  and 
strengthen  the  law  of  January  30,  1900. 

The  bill  formulated  by  the  commission  on  June  7,  1887,  proposed 
to  extend  the  liability  of  the  employer  to  all  accidents  which  were  not 
due  to  the  negligence  of  the  employee  or  to  chance  (whether  "vis 
major,"  or  ordinary  chance).  The  burden  of  proof  was  to  be  shifted 
from  the  plaintiff  to  the  defendant — i.  e.,  from  the  emplo^'ee  to  the 
employer.  The  employer's  responsibility  was  to  be  taken  for  granted, 
unless  he  could  establish  that  the  accident  was  due  either  to  the  neg- 
ligence of  the  injured  employee  or  to  unavoidable  chance. 

Thus  the  shifting  of  the  burden  of  proof  was  the  main  proposed 
deviation  from  the  old  law,  since  the  employer  as  before  was  to  be 
responsible  only  for  accidents  due  to  his  own  or  to  his  agents'  negli- 
gence; moreover,  the  employer  could  withhold  from  the  salar3'of  the 
responsible  agent  the  amount  of  indemnity  he  was  sentenced  to  pay. 

While  the  Civil  Code  makes  the  person  guilty  of  negligence  re- 
sponsible for  the  whole  amount  of  damages  caused,  the  bill  recom- 
mended by  the  commission  in  1887  limited  the  amount  of  responsi- 
bility.   When  contributory  negligence  of    the  injured  person  was 


2324 


REPORT   OF   THE   COMMISSIONER   OF  LABOR. 


,    •., 


established  the  courts  were  to  adjust  the  claims  to  the  respective 
degrees  of  negligence  of  both  sides.  This  legislative  plan  was  referred 
to  a  committee  of  the  Senate,  which  returned  it  to  the  commission 
for  social  reform  with  instructions  for  further  elaboration,  suggestin<r 
that  special  attention  be  paid  to  the  subject  of  prevention  of  acci- 
dents, and  also  to  the  creation  of  voluntary  mutual  insurance  asso- 
ciations. («) 

The  further  study  of  the  problem  by  the  commission  of  social 
reforms  led  to  the  legislative  plan  offered  by  the  commission  on  May 
2, 1891.0    This  represented  a  step  forward  as  compared  witli  the  plan 
of  1887,  though  the  commission  again  took  a  middle  ground  be- 
tween the  principles  of  Uability  and  compensation  or  insurance.   The 
details  of  the  plan  were  somewhat  unique.    The  unavoidable  character 
of  certain  accidents  in  industrial  Ufe  constituting  the  so-called  trade 
risk  was  recognized,  and  the  principle  of  placing  the  responsibility 
for  the  results  of  such  accidents  on  the  industry  as  sucli  was  admitted 
But  an  effort  was  made  to  draw  a  strict  line  of  demarcation  between 
such  industrial  accidents  and  '^ordinary  accidents''  due  to  some- 
body's negUgence,  and  it  was  thought  that  such  ^'ordinary  accidents" 
need  not  be   treated  any  differently  in  industrial  life  than  wlien 
arising  under  ordinary  conditions  and  therefore  should  remain  subject 
to  the  provisions  of  the  Civil  Code.     While  admitting  the  unsatis- 
factory  condition   of   the  problem   under  existing  legislation     the 
commission  concluded  not  to  accept  compulsory  insurance  as  the  best 
solution,  using  as  arguments  against  the  adoption  of  the  German 
plan  the  high  cost  to  the  industry  ami  the  danger  of  encouraging 
carelessness  on  the  part  of  employer  and  of  employee. 

The  commission  recommended  that  all  accidents  be  divided  into 
three  classes:  According  to  the  employers'  responsibiUty,  to  the 
mjured  employee's  responsibihty,  and  to  the  industrial  responsibility 
or  trade  risk;  only  the  latter  class  of  accidents  to  be  included  under 
the  proposed  law.  Such  a  law,  in  the  opinion  of  the  commission  had 
ten  definite  objects  to  accomplisli:  (1)  Distinguish  between  an  ordi- 
nary accident  and  an  accident  due  to  the  nature  of  the  industry  (2) 
leave  the  ordinary  accidents  under  the  jurisdiction  of  existing  legis- 
lation and  limit  the  special  law  to  the  '*  industrial  accidents"  proper- 
(3)  define  as  carefully  as  possible  what  should  be  considered  an  indus- 
trial accident;  (4)  prepare  a  list  of  dangerous  and  health-injurious 
mdustries;  (5)  prepare  a  list  of  the  most  efficacious  means  and 
apparatus  for  the  prevention  of  the  moie  frequent  accidents  in  each 
industry;  (6)  establish  a  graduated  scale  of  compensation  to  the 
injured  workmen  who  are  entitled  to  it,  from  temporary  and  partial 
incapacity  to  fatal  cases;   (7)  make  the  compensation  depend  upon 

«Arbeiter  Versichening  im  Auslande,  Dr.  Zacher,  Heft  XV,  pp.  17-19 
bCongrka  International,  2d  session.  Dr.  Zacher,  Berne,  1891,  pp.  418-424. 


CHAPTER  X. workmen's   INSURANCE   IN   SPAIN. 


2325 


earnings;  (8)  provide  industrial  tribunals  (mixed  juries)  for  deciding 
the  questions  of  trade  risk;  (9)  call  labor  delegates  to  testify  regard- 
ing industrial  accidents;  (10)  extend  the  jurisdiction  of  the  special 
tribunals  over  the  state  industrial  establishments. 

The  text  of  the  legislative  draft  of  1891  endeavored  to  meet  these 
requirements.  An  industrial  accident  was  defined  as  an  accident 
caused  by  the  force  or  the  speed  of  motors  or  machines,  by  the  dan- 
gerous or  injurious  nature  of  substances  employed  in  the  industry, 
or  by  the  condition  of  the  atmosphere  or  the  surroundings  in  which 
the  employee  is  necessarily  placed  while  at  work.  The  Grovemment 
was  to  publish  complete  lists  (1)  of  the  dangerous  or  injurious  indus- 
tries and  (2)  of  apparatus  and  methods  for  prevention  of  accidents, 
with  necessary  explanations  and  diagrams.  These  lists  were  to  be 
kept  up  to  date  and  revised  every  five  or  ten  years.  The  financial 
responsibility  for  such  accidents  was  to  devolve  upon  the  enterprise. 
In  order  to  measure  and  determine  the  responsibility  it  was  to  be 
ascertained  to  what  extent  the  management  of  the  establishment 
had  made  use  of  the  preventive  measures  enumerated  and  described 
in  the  list.  The  employers  were  to  be  permitted  to  insure  their 
emplo3^ees,  provided  the  indemnities  to  be  paid  by  insurance  com- 
panies were  not  below  those  prescribed  by  the  proposed  law.  Ac- 
cording to  the  draft  of  the  law  trade  courts  were  to  be  established, 
which  were  to  handle  the  cases  and  were  to  determine  the  amount 
of  compensation  to  be  paid;  and  labor  delegates  were  to  be  heard  in 
each  case  of  industrial  accident.  Other  accidents  were  left  subject 
to  the  CivU  Code.  («) 

On  June  5,  1894,  the  Government  introduced  in  the  Cortes  a  bill 
in  accordance  with  the  commission's  recommendations.  In  doing 
it,  the  Government  largely  used  the  text  prepared  by  the  commission, 
but  introduced  two  important  modifications.  ('^)  In  order  not  to  bur- 
den the  home  industry  with  excessive  charges  and  because  of  the  low 
standard  of  wages  in  the  country,  the  scale  of  indemnity  was  reduced 
in  nearly  every  case.  The  second  important  modification  referred 
to  the  trade  tribunals,  or  mixed  juries,  as  they  were  designated  in  the 
original  draft  of  the  commission.  The  commission  simply  mentioned 
these  tribunals  as  the  proper  jurisdiction  for  cases  under  this  law, 
intending  to  mtroduce  a  special  bill  for  their  organization.  In  order 
to  prevent  the  delay  which  would  result  from  preparing  this  special 
law  and  to  expedite  the  enforcement  of  the  compensation  laws,  the 
Government  introduced  into  its  draft  of  the  bill  a  few  paragraplis 
relating  to  the  organization  of  special  tribunals.  These  were  to  con- 
sist of  the  mayor  (alcalde)  as  chairman  ex  officio,  and  six  members, 
namely,  an  attorney,  an  engineer,  an  employer,  and  a  municipal 

"Consjfes  International,  vol.  2,  1891,  p.  417  and  ff. 
Mbid,  vol.  5,  1894,  pp.  155^158. 


2326 


BEPORT  OF   THE   COMMISSIONER  OF  LABOR. 


officer  appointed  by  the  mayor  (alcalde),  and  two  workmen  elected 
by  their  comrades  in  the  same  occupation  to  which  the  injured 
person  belonged.  The  tribunal  was  to  make  an  effort  to  bring  about 
an  amicable  agreement,  but  failing  to  do  this  it  was  to  render  its 
decisions  by  a  majority  vote.  The  procedure  before  these  tribunals 
was  to  be  brief,  without  legal  formalities,  and  without  appeal  except 
for  reasons  specified,  when  the  suit  might  be  carried  to  the  highest 
court. 

To  those  persons  who  were  in  favor  of  compensating  the  workmen 
for  accidents  the  bill  of  1894  represented  a  certain  step  in  advance 
of  the  earlier  bill,  inasmuch  as  it  clearly  admitted  the  doctrine  of  the 
responsibility  of  the  industry  for  the  results  of  trade  risk;  but  besides 
the  very  low  scale  of  compensation  the  chief  drawback  of  the  bill,  it 
was  claimed,  lay  in  the  fact  that  it  did  not  at  all  do  away  with  the 
costly  and  burdensome  litigation;  on  the  contrary,  it  exaggerated 
this  evil  by  creating  two  classes  of  accidents  (those  that  could  be 
traced  to  the  fault  of  somebody  and  those  that  could  be  credited  to 
trade  risk),  with  two  legal  systems,  but  with  a  very  indistinct  line  of 
demarcation  between  the  two  classes,  because  of  the  great  difficulty 
of  defining  an  accident  due  to  trade  risk.  The  bill  met  with  strong 
opposition  and  failed  to  become  a  law. 

Nearly  five  years  passed,  before  the  matter  of  compensation  for 
industrial  accidents  was  again  brought  before  the  Spanish  Cortes.  A 
bill  to  that  effect  was  introduced  in  the  Senate  on  De("ember  2,  1899, 
by  the  Government,  in  conformity  with  a  royal  decree  of  November 
30,  1899.  Based  mainly  upon  the  French  accident  compensation 
act  of  April  9,  1898,  this  bill  presented  a  great  advance  over  all  pre- 
ceding proposals.  Several  European  countries  had  passed  compen- 
sation acts  in  the  intervening  years,  and  throughout  industrial 
Europe  there  was  a  general  approach  toward  compulsory  insurance. 
The  peculiar  distinction  between  the  trade  risk  and  all  other  acci- 
dents due  to  somebody's  fault  (which  was  the  chi(^f  feature  of  the 
plan  of  1894)  was  discarded.  The  bill  of  1899  excepted  accidents 
brought  about  intentionally  or  through  gross  negligence  of  the  victim 
or  through  force  majeure.  As  far  as  the  extent  of  the  law  is  con- 
cerned, the  industries  to  which  it  was  to  apply  were  carefully  desig- 
nated, and  it  included  practically  all  manufacturing  and  transporta- 
tion, agricultural  labor  only  as  far  as  tlie  handling  of  machinery,  and 
a  few  other  less  important  branches  of  industrial  life.  The  Govern- 
ment-o^\^led  establishments  were  made  subject  to  the  law  on  equal 
terms  with  private  undertakings.  This  list  remained  practically 
unchanged  in  the  ffiial  text  of  the  law. 

As  between  compensation  by  pensions  and  by  lump  sums,  the  bill 
favored  the  latter.  Instead  of  definite  sums,  as  in  the  draft  of  1894, 
the  later  bill  made  the  compensation  dependent  ui)on  the  earnings 


CHAPTER  X. WORKMEN  S   INSURANCE  IN   SPAIN. 


2327 


of  the  injured.  Substitution  of  pensions  for  lump-sum  payments 
was  permitted  to  the  employers,  if  they  guaranteed  these  payment* 
to  the  satisfaction  of  the  beneficiaries.  The  organization  of  special 
trade  courts  by  special  l^islation  was  promised,  but  until  that  time 
the  cases  arising  under  this  law  were  to  be  made  subject  to  the  juris- 
diction of  the  courts  of  first  instance. 

These  were  the  chief  characteristics  of  the  bill  as  introduced  in  the 
Senate  on  December  2,  1899,  and  sent  to  a  special  committee  on 
December  5.  On  December  12  the  bill  was  reported  back  from  the 
committee  with  important  changes,  and  further  changes  were  made 
during  the  debates  on  the  floor  of  the  Senate,  so  that  when  passed 
on  December  23  the  bill  differed  considerably  from  the  bill  as  intro- 
duced by  the  Government.  Thus  all  employers  who  employed  not 
over  five  workmen  and  who  worked  with  them  were  excepted  from 
the  provisions  of  the  law.  On  the  other  hand,  while  the  original  bill 
excepted  manufacturing  establishments  where  only  human  or  animal 
energy  is  utilized,  the  exception  of  animal  energy  was  taken  out; 
to  the  establishments  handling  explosives  or  inflammable  substances 
were  added  those  handling  toxic  and  unhealthy  substances,  and 
the  work  of  loading  and  unloading  was  also  added.  Several  minor 
concessions  were  granted  to  the  injured  and  their  dependents;  to 
the  death  benefits  were  added  funeral  expenses  not  to  exceed  100 
pesetas  ($19.30);  actual  earnings  were  substituted  for  average  wages ; 
the  minimum  wage  was  increased  from  1  peseta  (19.3  cents)  to  IJ 
pesetas  (29  cents);  and  the  maximum  of  7^  pesetas  ($1.45)  was 
stricken  out;  on  the  other  hand,  the  age  of  children  entitled  to  com- 
pensation, which  was  placed  at  23  in  the  original  bill,  was  reduced  to 
16  years,  and  in  case  of  substitution  of  a  pension  to  the  widow  for  a 
lump-sum  payment  the  pension  was  to  be  discontinued  at  remarriage 
and  the  pension  of  children  at  the  age  of  16.  The  most  important 
change  in  the  bill  was  the  exemption  of  all  accidents  "  due  to  the  man- 
ifest fault  of  the  victim,"  instead  of  those  "due  to  the  voluntary  act 
or  inexcusable  fault  of  the  victim."  The  term  '^manifest  fault," 
while  more  difficult  to  define  and  limit,  is  much  broader  and  permits 
of  broader  interpretation  than  "inexcusable  fault." 

The  bill,  in  the  form  indicated,  was  placed  before  the  Congress  of 
Deputies  on  January  2,  1900,  and  referred  to  a  committee,  which 
reported  favorably  without  change  on  January  12.  Although  the 
bill  was  thus  recommended,  the  committee  of  the  lower  house  ex- 
pressed its  opinion  that  the  ideal  solution  of  the  problem  would  have 
been  through  voluntary  insurance  in  mutual  funds  for  each  industry, 
but  that  such  a  system  required  a  higher  degree  of  education  and 
development  than  Spain  could  claim  at  the  time,  and  therefore  for 
the  present  the  system  of  direct  compensation  was  the  better. 

67725°— VOL  2—11 53 


2328 


REPORT  OF  THE  COMMISSIONER  OF  LABOR, 


CHAPTER  X. — WORKMEN  S  INSURANCE  IN  SPAIN. 


2329 


The  changes  in  the  bill  on  the  floor  of  the  lower  chamber  were  few, 
but  some  of  them  were  important,  namely,  the  two  senate  amend- 
ments were  stricken  out — the  one  excluding  from  the  action  of  the 
law  establishments  with  five  or  fewer  employees,  and  the  other 
excluding  accidents  due  "to  the  matiifest  fault  of  the  victim."  It 
was  stated  above  that  in  the  Senate  this  last  phrase  was  substituted 
for  ''voluntary  act  or  inexcusable  fault."  In  striking  out  the  refer- 
ence to  the  "manifest  fault,"  the  lower  house  did  not  replace  the  pre- 
ceding formula,  and  the  bill  in  its  later  form  was  even  more  liberal 
than  it  was  originally,  only  injuries  due  to  vis  major  being  excepted; 
the  other  changes  were  of  a  minor  nature.  The  bill  passed  the  Con- 
gress of  Deputies  on  January  18,  1900;  a  joint  commission  accepted 
all  the  changes  made  in  the  lower  house,  and  in  its  final  form  the  bill 
was  adopted  in  both  chambers  on  January  27  and  signed  on  January 
30,  1900. 

LEGISLATION  117   FORCE. 

The  law  of  January  30,  1900,  establishes  the  main  principles,  but 
goes  httle  into  details  of  procedure  and  administration.  The  Gov- 
ernment was  directed  to  publish  all  necessary  regulations  within  six 
months.  Several  royal  decrees  formulating  the  necessary  rules  have 
been  promulgated  since  then,  namely,  the  decree  of  July  28,  1900, 
forming  a  complete  set  of  by-laws;  the  decree  of  August  27,  1900,  in 
regard  to  accident  insurance  companies ;  and  the  decrees  of  March  26 
and  July  2, 1902,  extending  the  application  of  the  law  to  the  War  and 
Navy  departments,  respectively.  In  addition,  a  large  number  of 
less  important  "royal  orders"  {real  orderes)  interpreting  certain  arti- 
cles of  the  law  or  modifying  preceding  decrees  were  promulgated 
from  time  to  time.  In  the  following  analysis  of  the  law  all  decrees 
and  orders  up  to  the  close  of  1910  have  been  considered: 

INJURIES   COMPENSATED. 

The  law  guarantees  compensation  for  all  injuries  to  employees 
arising  out  of  or  in  the  course  of  employment,  unless  caused  by  vis 
major  and  altogether  extraneous  to  the  employmt^nt  in  which  the 
injury  occurs.  As  stated  above,  the  exception  of  ''accidents  inten- 
tionally brought  about  by  or  due  to  the  manifest  fault  of''  the  em- 
plo3-ee  was  stricken  out  in  the  lower  house  and  only  an  indirect 
quahfication  as  to  fraud,  imprudence,  or  negUgence  is  left  in  the  pro- 
vision; when  the  accident  is  due  to  such  conduct,  the  case  must  be 
carried  to  the  criminal  court,  and  the  claim  of  the  injured  must  be 
adjudged  in  harmony  with  the  decision  of  that  court.  This  provision 
apphes  to  the  employer  as  well  as  to  the  employee.  Claims  for  dam- 
ages for  accidents  not  covered  by  this  law  remain  subject  to  the  pro- 
visions of  the  Civil  Code. 


INDUSTRIES    AND   PERSONS    INCI.UDED. 

The  extent  of  the  application  of  the  law  is  carefully  stated.  It 
covers  factories,  mills,  and  workshops  in  which  other  than  human 
energy  is  used;  mines,  salt  mines,  and  quarries;  metallurgical  estab- 
lishments, machine  shops,  and  navy-yards;  building  and  construc- 
tion, and  repairing,  including  the  bricklayers'  occupation,  and  sub- 
sidiary occupations,  as  those  of  carpenters,  locksmiths,  stonecutters, 
painters,  etc. ;  establishments  manufacturing  or  handling  explosives, 
inflammable,  injurious,  or  poisonous  materials;  construction,  repair, 
and  maintenance  of  railroads,  harbors,  roads,  canals,  dams,  aque- 
ducts, irrigation,  and  similar  works;  agriculture  and  forestry  estab- 
lishments utilizing  motors  with  other  than  human  power  (the  law 
apptying  only  to  those  employees  in  these  establislunents  who  are 
exposed  to  the  danger  from  the  machinery) ;  transportation  on  land 
and  water,  including  high  sea  and  internal  navigation;  fishing  and 
other  similar  industries;  street,  sewer,  and  drain  cleaning;  ware- 
houses, coal,  wood,  and  lumber  yards;  wage-earners  emplo3'ed  in 
theaters;  fire  extinguisliing ;  gas  works,  electric  stations,  stringing 
and  maintenance  of  telephone  wires;  installation,  repair,  and  dis- 
mantling of  electric  wires  and  lightning  rods;  loading  and  unloading; 
and  similar  industries  not  specifically  mentioned  in  the  above  list. 

The  law  applies  also  to  arsenals,  power  and  ammunition  works, 
and  similar  establishments  owned  by  the  Government ;  to  establish- 
ments owned  by  the  provincial  and  local  communal  governments, 
and  to  all  public  works.  Special  regulations  concerning  the  applica- 
tion of  the  law  to  the  employees  of  the  War  and  Navy  ministries  were 
approved  on  March  26,  1902,  and  July  2,  1902,  respectively.  Acci- 
dents in  military  exercises  and  maneuvers  and  target  practice  have 
been  included  within  the  protection  of  the  law. 

The  law  applies  to  all  workmen  performing  manual  labor  outside 
their  own  residences  for  some  other  person,  whether  with  or  with- 
out compensation,  and  including  helpers  and  apprentices.  In  the 
Ministry  of  War  the  law  applies  not  only  to  civilians  employed  in 
manual  labor  but  also  to  enlisted  men,  not  above  the  class  of  ser- 
geant, performing  such  labor. 

BENEFITS. 

The  entire  cost  of  compensation  rests  upon  the  employer.  In  the 
case  of  work  given  out  by  contract,  the  primary  responsibihty  rests 
upon  the  contractor,  but  this  does  not  destroy  the  subsidiary  respon- 
sibility of  the  owner  of  the  establishment.  The  state,  provincial, 
and  communal  governments  are  treated  hke  private  employers  for 
the  purposes  of  this  law. 


V 


2330 


KEPOBT  OF  THE  C0MMIS810NEB  OF  LABOR. 


The  compensation  paid  may  be  classified  according  to  the  following 
four  classes  of  injuries:  Those  leading  to  temporary  disabihty,  to 
permanent  total  disability,  to  permanent  partial  disabihty,  and  to 
death. 

In  case  of  temporary  disabihty  the  injured  employee  receives  from 
the  employer  an  allowance  equal  to  one-half  of  his  daily  wage  from 
the  day  of  accident  until  the  day  of  recovery  from  disabihty  or  deter- 
mination of  the  degree  of  permanent  tUsabihty,  or  up  to  the  end  of 
one  year.  This  allowance  is  paid  for  every  day,  including  the  hoh- 
days.  If,  after  the  expiration  of  that  year,  the  disabihty  still  con- 
tinues, the  case  must  be  treated  as  one  of  permanent  disabihty.  In 
addition  to  the  allowance  the  employer  must  furnish  the  injured  per- 
son with  medical  attention  and  drugs  until  recovery,  or  until  such 
attention  is  no  longer  required.  An  exception  is  made  for  the  inj  ured 
enlisted  man,  who  is  supported  by  the  State  and  receives  me(hcal 
treatment  and  medicines,  but  he  is  not  entitled  to  the  daily  allowance 
in  cases  of  temporary  disability. 

If  the  injury  results  in  permanent  total  disabihty  the  employer 
must  pay  the  injured  employee  an  indemnity  equal  to  two  years' 
wages,  but  when  the  disability  prevents  the  injured  employee  from 
working  only  at  his  usual  occupation,  but  does  not  incapacitate  him 
for  all  employment,  the  indemnity  must  equal  only  eighteen  months' 
wages.  When  the  disabUity  for  the  usual  occupation  is  only  partial, 
though  permanent,  the  employer  must  choose  between  providing  the 
injured  with  some  other  employment  at  the  old  rate  of  wages  or 
paying  him  an  indemnity  equal  to  one  year's  wages.  These  indem- 
mties  are  in  addition  to  those  paid  for  temporary  disabihty,  and 
while  treatment  lasts  medical  help  and  drugs  must  be  furnished.  By 
the  decree  of  July  28,  1900,  the  Government  was  authorized  to  insti- 
tute a  detailed  investigation  on  the  basis  of  experience  gained  from 
apphcation  of  the  law,  with  the  view  of  preparing  tables  for  the 
determination  of  various  degrees  of  disability,  which  tables  must 
conform  to  the  rule  that  only  such  condition  as  prohibits  any  kind  of 
labor  be  termed  complete  disabihty,  while  a  condition  prohibiting 
only  the  customary  employment,  but  permitting  some  other  occupa- 
tion, must  be  considered  as  partial  disabihty.  In  accordance  with 
this  order  definite  rules  for  determining  the  nature  of  permanent  dis- 
abihty were  estabhshed  by  the  royal  order  of  July  8,  1903.  Accord- 
ing to  these  rules  the  following  injuries  were  to  be  considered  as 
leading  to  total  permanent  disabihty:  (1)  Loss  of  both  upper  or  both 
lower  extremities,  or  of  one  upper  and  one  lower  extremity,  or  of  their 
essential  parts,  i.  e.,  hands  or  feet;  (2)  functional  disorders  of  the 
locomotor  apparatus,  which  as  to  consequences  are  analogous  to  loss 
of  parts,  of  equal  gravity  with  that  of  preceding  rule;  (3)  loss  of  both 
eyes  or  of  vision  in  both  eyes;   (4)  loss  of  one  eye,  with  loss  of  vision 


CHAPTER  X.— workmen's   INSURANCE   IN   SPAIN. 


2331 


in  the  other;  (5)  incurable  insanity;  (6)  incurable  organic  or  func- 
tional affections  of  the  brain  or  of  the  circulatory  or  the  respiratory- 
systems,  resulting  directly  from  the  mechanical  or  toxic  effect  of  the 
accident. 

The  following  injuries  are  classed  as  leading  to  partial  disabihty: 
(1)  Loss  of  right  upper  extremity,  or  of  hand,  or  of  all  its  fingers,  even 
if  the  thumb  remains,  or  loss  of  thumb  and  the  second  and  third 
phalanges  of  all  other  fingers;  (2)  loss  of  entire  left  upper  extremity, 
or  of  whole  hand  or  of  all  the  fingers;  (3)  loss  of  one  lower  extremity, 
or  of  foot  or  such  portion  of  it  as  is  necessary  to  erect  posture  or  to 
walk;  (4)  functional  injuries  which  may  be  taken  as  analogous  to 
loss  of  parts  as  described  above;  (5)  total  deafness;  (6)  loss  of  one 
eye  or  of  sight  in  one  eye;  (7)  simple  or  double  inguinal  or  crural 
hernia,  or  any  other  lesion  which  will  influence  the  employer  to 
decline  to  engage  the  worker  for  the  same  sort  of  work  at  which  he 
was  injured. 

A  combination  of  injuries  leading  separately  to  partial  disabihty 
may  put  the  case  into  the  class  of  total  disability  if  in  addition  to  an 
injury  leading  to  partial  disability  other  injuries  and  lesions  exist 
which,  according  to  the  foUowing  schedule,  amount  to  50  per  cent 
reduction  of  abihty,  or  to  42  per  cent  in  a  workman  over  50  years  of 
age,  or  to  36  per  cent  in  a  workman  over  60  years  of  age.  These 
limits  are  reduced  by  2  per  cent  for  women  of  all  age  groups,  i.  e., 
to  48  per  cent,  40  per  cent,  and  34  per  cent. 

The  schedule  to  be  used  for  these  calculations  is  as  follows: 

PER  CENT  OF  DISABILITY  ALLOWED  FOR  EACH  SPECIFIED  INJURY  IN  DETERMINING 
CASES  OF  TOTAL  DISABILITY  WHEN  TWO  OR  MORE  INJURIES  EXIST. 

[Source:  Instituto  de  Refonnas  Sociales.    Legislaci6n  del  Trabajo,  1906.] 


Natiire  of  injury. 


Loss  of— 

Right  arm  (a) 

Left  arm  (o) 

Right  forearm  (a) 

Left  forearm  (a) 

Right  hand  (o) 

Left  hand  (o). : 

Right  thumb  (o) 

Left  thumb 

Right  index  finger 

Left  index  finger 

Second  phalanx  of  right  index  finger. 
Second  phalanx  of  left  index  finger. . 
Middle  finger 


Per  cent 
of  dis- 
ability. 


30 
24 
18 
18 
9 
9 


Nature  of  injury. 


Loss  of— Concluded. 

Ring  finger 

Little  finger 

Phalanx  of  any  finger  (o) 

Muscle  (a) 

Leg(a) 

Foot(a) 

Toe 

Vision  in  either  eye  (a) 

Total  deafness  («») 

1a>ss  of  hearing  in  either  ear 

Double  inguinal  or  crural  hernia  (a). 
Single  inguinal  or  crural  hernia  (a) . . 


Per  cent 
of  dis- 
ability. 


13 
6 


6 
42 


12 
18 
12 


o  This  injury  is  of  itself  sufTicient  to  establish  the  existence  of  partial  disability. 

The  valuation  of  the  minor  accidents  is  for  the  purpose  of  assisting 
in  the  determination  of  total  disability. 

As  shown  presently,  the  determination  of  the  degree  of  disability 
must  be  by  mutual  consent,  and  various  regulations  exist  for  settling 
disputes. 


2332 


BEPOKT  OF  THE   COMMISSIONER  OF  LABOR. 


CHAPTER  X. WORKMEN  S  INSURANCE  IN   SPAIN. 


2333 


In  case  of  death  resulting  from  the  accident  the  employer  must 
meet  the  burial  expenses  up  to  100  pesetas  ($19.30)  and  furnish  one 
of  the  foUowing  indemnities:  (1)  If  a  widow  and  children  or  grand- 
children under  16  years  survive  they  receive  a  sum  equal  to  the 
average  daily  wages  of  the  deceased  for  two  years;  when  among  the 
surviving  children  under  16  years  of  age  there  are  some  from  a  pre- 
vious marriage  of  the  deceased  the  widow  receives  one-half  of  the 
indemnity,  and  the  other  half  must  be  divided  equally  among  the 
children,  the  widow  receiving  the  share  of  her  children,  while  the  por- 
tion due  to  the  children  from  the  first  marriage  goes  to  the  person 
taking  charge  of  them,  whether  it  be  the  widow  oj-  some  one  else; 
(2)  if  only  children  or  grandchildren  under  16  years  of  age  survive,  a 
sum  equal  to  the  wages  for  eighteen  intmths;  (3)  when  only  a  widow 
without  children  (this  is  the  language  of  the  law,  and  it  was  explained 
by  the  royal  order  of  February  25,  1903,  that  by  ' 'without  children" 
was  meant  ''without  children  under  16")  survives,  a  sum  equal  to 
wages  for  one  year;  (4)  when  only  dependent  parents  or  grandparents 
over  60  years  of  age  survive,  a  sum  equal  to  ten  months'  wages  for 
two  or  more  survivors,  and  seven  mc^nths'  wages  for  one  survivor. 
These  death  benefits  are  paid  in  addition  to  any  allowance  for  tem- 
porary disability  made  before  death  ensues. 

The  employers  may  substitute  the  foUowing  pensions  instead  of 
the  death  benefits  described  above,  provided  they  secure  the  pay- 
ments to  the  satisfaction  of  the  injured  person  or  his  beneficiaries :  (1 ) 
A  pension  of  40  per  cent  of  the  annual  wages  of  the  deceased  when 
the  widow  and  children  or  grandchildren  under  16  years  survive;  (2)  a 
pension  of  20  per  cent  to  the  widow  if  no  chUdren  survive;  (3)  a  pen- 
sion equal  to  10  per  cent  to  each  dependent  relative  in  an  ascending 
line  (parents  or  grandparents),  with  a  maximum  of  30  per  cent.  The 
pension  to  the  widow  is  discontinued  at  remarriage  and  to  the  chil- 
dren at  16  years  of  age.  Nothmg  is  said  in  the  law  about  pensions 
instead  of  indemnity  when  only  children  or  grandchildren  under  16 
years  of  age  survive.  Such  substitution  of  pensions  for  lump-sum 
payments  is  not  permitted  in  the  War  and  Navy  ministries. 

All  indemnities  are  to  be  increased  by  50  per  cent  when  the  acci- 
dent happens  m  an  establishment  which  failed  to  provide  the  meas- 
ures for  prevention  of  accidents  required  by  the  law. 

Since  the  amount  of  compensation  depends  upon  the  wages  or 
earnmgs  of  the  injured,  the  method  of  determining  them  is  of  great 
importance.  In  case  of  temporary  disability  the  law  speaks  of  dailv 
wages  (jornal  diaHo);  in  case  of  permanent  disability,  of  earnings 
or  salary  (salario) ;  and  in  cases  of  fatal  accidents,  of  average  daily 
earnings  (saUrio  medio  diario).  By  wages  is  meant  tlic  actual  remu- 
neration received  by  the  employee  in  money,  or  in  any  other  form, 
per  day,  not  counting  the  holidays.     By  order  of  November  5, 1902,  it 


was  explained  that  in  cases  of  permanent  disability  the  actual  wages 
on  the  day  of  accident  must  serve  as  the  basis  of  computation. 

In  fatal  cases  the  indemnities  to  the  relatives  are  computed  from 
the  average  wages  of  the  deceased.  In  any  case  the  daily  wages 
must  not  be  considered  less  than  1.5  pesetas  (29  cents),  even  in  case 
of  an  apprentice  receiving  no  pay. 

The  part  of  remuneration  which  the  employee  receives  in  kind,  in 
lodgings,  or  in  any  form  must  be  estimated  according  to  local  cus- 
tomary prices.  When  the  wages  are  contracted  for  a  certain  definite 
task,  the  average  wages  for  similar  work  in  the  same  or  similar  indus- 
try must  be  taken. 

In  case  of  enlisted  men  in  the  War  Department,  who  do  not  receive 
their  entire  wages  in  cash,  the  compensation  must  be  computed  from 
the  fair  cost  of  food  and  clothing  in  addition  to  the  pay.  In  case  of 
task  wages  the  computation  must  be  based  on  the  earnings  for  the 
preceding  fortnight  or  the  average  wages  of  workmen  in  the  same 
or  similar  occupation.  The  minimum  daily  wage  is  considered  as  1.5 
pesetas  (29  cents).     The  same  rules  apply  to  the  Navy  Department. 

GOVERNMENTAL   SUPERVISION. 

Insurance  against  risks  imder  this  law  is  not  compulsor}^,  but  vari- 
ous efforts  are  made  to  stimulate  voluntary  insurance,  the  Govern- 
ment undertaking  to  exercise  careful  supervision  over  the  insurance 
companies.  The  law  permits  the  employer  to  transfer  any  or  all 
obligations  to  any  insurance  company  or  association  authorized  by 
the  minister  of  interior  to  carry  such  insurance,  by  paying  the  cost 
of  such  insurance,  provided  the  compensation  paid  by  such  insurance 
company  is  not  lower  than  that  granted  by  the  law.  The  ministers 
of  war  and  navy,  for  whom  specified  regulations  have  been  issued, 
are  not  permitted  to  insure  against  the  risk  of  accident  indemnities. 
Insurance  organizations,  whether  mutual  societies  or  stock  com- 
panies, desiring  such  authorization  by  the  Ministry  of  Interior  must 
completely  separate  the  accident  insurance  business  from  other  insur- 
ance business,  furnish  separate  security,  accept  the  requirements  of 
the  law  in  regard  to  compensation,  and  furnish  to  the  Government 
complete  reports  as  to  their  activity  and  financial  standing. 

The  accident  insurance  business  is  further  regulated  by  the  decree 
of  August  27,  1900,  and  orders  of  October  16  and  November  10, 
1900.  In  applying  to  the  minister  of  interior  for  authorization  to  do 
accident  insurance  business  the  insurance  company  must  furnish  a 
copy  of  its  charter,  by-laws,  address,  names  of  directors,  and  amount 
of  capital.  A  list  of  authorized  companies  must  be  published  in  the 
Gaceta  de  Madrid  every  three  months.  Reasons  for  refusing  an 
authorization  or  for  withdrawing  it  and  for  excluding  an  insurance 
society  from  the  authorized  list  must  be  stated  in  writing,  and  upon 


2334 


BEPORT  OF   THE   COMMISSIONER   OF   LABOR. 


demand  of  the  insurance  company  must  also  be  published.  A  pri- 
vate insurance  company  must  deposit  a  bond  of  225,000  pesetas 
($43,425)  with  the  Ministry  of  Interior,  and  a  mutual  insurance  com- 
pany must  deposit  5,000  pesetas  ($965).  The  bond  is  reduced  in 
case  the  insurance  company  or  association  has  other  bonds  deposited 
with  the  Ministry  of  Finance  as  security  in  other  lines  of  insurance. 
The  bonds  may  be  ^ven  in  government,  bank,  raiboad,  industrial, 
or  other  securities  or  in  real-estate  mortgages,  provided  the  property 
is  located  on  the  peninsula  or  in  the  adjacent  isles.  When  the  value 
of  the  securities  faUs  20  per  cent  below  the  value  whcm  accepted,  the 
bond  naust  be  replenished.  The  comi)any  or  society  must  agree  to 
be  subject  to  the  special  Spanish  tribunes  for  consideration  of  acci- 
dent cases.  It  must  furnish  its  constitution,  by-laws,  regulations, 
rates  of  premiums,  rules  in  regard  to  formation  of  reserves,  mortality 
tables,  interest  tables,  tables  for  computing  the  reserves  for  life  ])en- 
sions,  annual  balance  sheets,  and  complete  records  of  their  trans- 
actions, which  data  shall  be  used  for  annual  pubUcation  of  reports 
in  regard  to  accident  insurance  companies.  If  practicable,  a  valua- 
tion of  all  obligations  incurred  by  the  msurance  companies  shall  be 
made  every  five  years.  These  reports  may  be  verified  by  the  minis- 
ter of  interior  as  the  minister  of  finance  may  verify  the  reports  of 
other  insurance  companies. 

The  insurance  written  by  these  companies  must  conform  to  the 
demands  of  the  existing  laws,  especially  as  to  the  classes  of  accidcmts 
covered  and  the  form  and  amount  of  indemnities.  It  must  not  be 
written  at  lower  rates  than  those  formally  in  force.  Moreover,  if  the 
ministry  should  decide  that  competition  among  companies  has  re- 
duced the  rates  below  a  safe  level,  as  shown  by  the  experience  of 
accident  insurance  companies  in  other  countries,  it  may  legally  estab- 
lish minimum  rates.  To  advise  the  ministry  in  this  supervision  of 
accident  insurance  a  special  commissioner  general  of  insurance  {asesor 
general  de  seguros)  is  appomted  m  the  ministry  and  ]m  is  to  receive 
as  compensation  the  proceeds  of  a  special  annual  registry  tax,  which 
has  been  placed  at  one-tenth  of  1  per  cent  of  the  amount  of  bonds 
deposited  with  the  ministry. 

Mutual  insurance  associations  are  subject  to  the  same  regulations 
as  the  stock  companies  with  the  important  exception  of  the  very 
great  difference  in  the  amount  of  bond.  Mutual  associations  must 
contain  at  least  20  employers  and  msure  at  least  1,000  employees. 
The  eariy  regulations  required  these  employers  to  be  in  the  same 
branch  or  at  least  in  similar  branches  of  industry,  the  grouping  in 
the  case  of  similarity  to  be  determmed  by  the  Ministry  of  Interior 
until  a  classification  of  mdustries  is  established.  This  was  declared 
to  be  an  arbitrary  limitation,  which  permits  the  federation  of  mutual 
associations  consisting  of  many  different  groups  of  smaUer  size  as 


CHAPTER  X. WORKMEN  S   INSURANCE   IN    SPAIN. 


2335 


long  as  the  requirements  as  to  20  employers  and  1,000  employees 
are  fulfilled  by  the  entire  association.  The  members  of  a  mutual 
association  are  mutually  responsible  for  the  obligation  imtil  com- 
plete liquidation.  They  may  reinsure  the  life  pensions  in  any  of  the 
recognized  insurance  stock  companies. 

PROCEDURE. 

Procedure  under  this  act  is  regulated  mainly  by  the  royal  decree 
of  July  28,  1900. 

Within  twenty-four  hours  from  the  time  of  the  accident  the  em- 
ployer must  notify  the  authorities,  in  writing,  of  the  accident,  giving 
time  and  place,  name  of  the  injured,  his  wages,  place  to  which  he 
was  taken,  names  of  witnesses,  name  of  the  physician  who  gave  the 
first  help,  and  name  of  the  insurance  company  if  the  injured  is 
insured.  In  case  of  an  accident  occurring  on  board  of  ship  the 
report  must  be  made  within  twenty-four  hours  after  arriving  at  a 
Spanish  port  or  at  a  foreign  port  having  a  Spanish  consul. 

When  an  accident  has  occurred,  the  employer  is  required  to  furnish 
immediate  medical  help  and  drugs.  The  first  obtainable  physician 
must  be  called  in  an  emergency,  but  for  subsequent  treatment  the 
employer  has  the  right  to  choose  the  physician.  The  name  of  the 
physician  so  selected  by  the  employer  must  be  communicated  to  the 
authorities  within  forty-eight  hours.  In  absence  of  such  report,  the 
physician  who  is  treating  the  injured  employee  is  assumed  to  act  on 
behalf  of  the  employer.  The  employer's  physician  must  be  given  the 
same  privileges  as  a  court  physician  if  the  injured  employee  is  taken 
to  a  hospital.  The  employer's  physician  must  furnish  the  follo\nng 
certificates:  (1)  At  the  time  of  the  accident,  whether  the  injured  per- 
son has  been  disabled  from  performing  his  work  (all  the  details  of  the 
injury  to  be  stated  in  this  certificate) ;  (2)  at  the  time  of  recovery, 
with  permanent  disability,  the  character  and  extent  of  such  disability; 
(3)  in  case  of  death,  the  death  certificate,  giving  the  result  of  autopsy 
if  one  was  performed. 

These  certificates  are  sent  by  the  physician  to  the  employer,  who 
must  forward  certified  copies,  each  bearing  his  signature,  to  the 
authorities  within  twenty-four  hours.  The  contents  of  the  certifi- 
cate of  recovery,  with  degree  of  permanent  disability,  must  be  com- 
municated to  the  injured  person,  who  may  state  over  his  signature 
on  the  same  certificate  whether  he  agrees  with  its  contents. 

In  case  of  disagreement  as  to  the  question  of  complete  recovery  or 
the  degree  of  disability,  the  injured  person  may  designate  his  own 
physicians  to  make  a  reexamination  in  conjunction  with  the  em- 
ployer's physician;  all  physicians  present  must  fill  out  a  certificate 
stating  either  the  opinion  agreed  on  or  the  causes  of  disagreement. 
In  the  case  of  disagreement  three  copies  of  the  certificate  must  be 


2336 


KEPORT  OF   THE   COMMlSblONEB  OF  LA30K. 


prepared,  one  each  for  the  employer,  the  injured  person,  and  the 
civil  governor  of  the  Province,  and  tlie  latter  shall  forward  the  cer- 
tificate with  all  the  papers  pertaining  to  the  case  to  the  academy  of 
jnedicine,  which  renders  final  decision  in  the  case.  The  opinion  of 
the  academy  is  communicated  to  the  civil  governor  and  a  copy  of  it 
is  furnished  to  the  employer  and  to  the  injured  employee.  The  same 
procedure  is  followed  when  death  occurs  some  time  after  the  accident 
and  doubt  is  raised  whether  it  was  due  to  the  accident.  Also  a  medical 
examination  as  to  recovery  or  disability  must  be  made  in  those  cases 
where  criminal  prosecution  is  begun  against  the  employee  for  crim- 
inal negligence  or  misconduct.  If  both  parties  can  agree,  no  inter- 
vention of  the  authorities  is  required  for  the  settlement  of  claims. 
Nevertheless  certain  necessary  formalities  must  be  complied  with 
so  that  a  record  of  each  case  may  be  preserved.  The  emplo^^er  is 
required  to  notify  the  authorities  as  soon  as  he  begins  to  meet  the 
obligations  of  the  law,  snxd  also  when  the  final  settlement  is  made, 
when  a  pension  is  granted,  or  when  the  obligations  are  transferred 
by  insurance.  All  the  conditions  must  be  stated  in  the  re})ort,  which 
must  be  signed  by  the  claimants  or  their  representatives  as  evidence 
of  their  agreeing  to  their  settlements. 

In  the  capitals  of  Provinces  all  reports  must  be  sent  directly  to  the 
office  of  the  provincial  governor  or  to  the  local  pohce  office.  In  all 
other  mimicipalities  the  reports  must  be  sent  to  the  municipal 
authorities,  who  in  turn  must  immediately  forward  them  to  the  office 
of  the  governor.  In  addition  it  is  required  that  the  records  of  all 
cases  be  kept  in  the  office  of  the  civil  governor,  whence  the  statistical 
information  is  forwarded  to  the  Ministry  of  Interior.  In  normal  cases 
the  registration  limits  the  length  of  governmental  interference  in 
the  cases. 

While  the  settlement  of  differences  arising  out  of  claims  is  left  to 
courts,  the  enforcement  of  the  law  and  the  regulations  is  in  the 
hands  of  the  civil  authorities.  When  the  employer  fails  to  comply 
with  any  of  the  regulations,  such  as  those  requiring  giving  notice 
of  an  accident  or  furnishing  medical  help,  complaints  may  be  brought 
before  the  civil  authorities.  All  such  complaints  are  to  be  made  in 
duplicate,  one  of  wliich  is  returned  as  a  receipt  to  the  complainant 
with  the  signature  of  the  proper  officer. 

The  local  civil  authorities,  upon  receipt  of  such  complaint,  must 
immediately  notify  the  civil  governor  and  call  upon  the  employer  for 
compHance  with  the  demands  of  the  law  and  the  regulations.  If 
such  action  brings  no  result  within  forty-eight  hours,  the  case  is  to 
be  turned  over  to  the  judge  of  the  first  instance,  who  is  to  enforce 
compUance  with  the  law.  The  civil  governor  is  notified  of  this 
action.  Failing  to  receive  satisfaction  from  the  local  authorities,  the 
interested  party  may  appeal  from  their  decision  to  the  civil  governor, 


CHAPTER  X. workmen's  INSURANCE  IN   SPAIN. 


2387 


and  from  him  to  the  minister  of  interior. ,  Complaints  arising  out  of 
differences  of  opinion  in  regard  to  the  amount  of  compensation,  but 
not  out  of  noncompUance  with  the  law,  are  to  be  turned  over  to  the 
courts  of  first  instance. 

In  all  cases  of  noncompliance  with  the  demands  of  the  law  and  the 
regulations,  the  government  authorities  must  support  the  complaints 
of  the  workers.  Accordingly  the  local  authorities  inform  the  gov- 
ernor of  any  failure  to  comply  with  the  law  and  the  regulations,  even 
if  the  injured  employee  has  entered  no  complaint,  or  in  case  he  has 
complained,  if  his  complaint  has  not  had  the  desired  effect.  The  gov- 
ernor communicates  with  the  employer  and  if  necessary  with  the 
courts.  All  measures  must  be  reported  to  the  Ministry  of  Interior, 
but  the  ministry  does  not  intervene  unless  the  case  reaches  it  through 
a  complaint  from  either  party  or  from  the  lower  authorities. 

By  the  original  law,  until  the  establishment  of  special  tribunals 
for  adjudication  of  such  disputes,  the  cases  under  this  act  were  placed 
under  the  jurisdiction  of  the  courts  of  first  instance  and  made  subject 
to  the  rules  for  verbal  procedure. 

The  time  limit  for  entering  suit  is  placed  at  one  year.  The  em- 
ployee appearing  as  plaintiff  must  be  considered  as  a  poor  htigant, 
as  far  as  expenses  of  Htigation  are  concerned.  All  contracts  waiving 
the  benefits  of  the  compensation  act  are  to  be  adjudged  null  and 
void. 

Though  ten  years  have  passed  since  the  adoption  of  the  com- 
pensation act,  the  courts  of  arbitration,  consisting  of  employers  and 
employees,  have  not  yet  been  organized.  On  March  13,  1900 — L  e., 
about  six  weeks  after  the  adoption  of  the  compensation  act — a  law 
was  passed  regulating  woman  and  child  labor,  and  communal  and 
provincial  commissions  of  social  reforms  wxre  created  for  purposes 
of  facihtating  the  administration  of  this  law.  The  communal  com- 
missions were  to  consist  of  an  equal  number  of  employers  and  em- 
ployees, not  over  six,  the  local  mayor  as  representative  of  the  civil 
authority,  and  a  representative  of  the  church.  The  provincial  com- 
missions of  social  reform  consist  of  delegates  from  the  local  commis- 
sions, under  the  chairmanship  of  the  civil  governor.  These  commis- 
sions were  to  be  estabhshed  as  a  temporary  measure  until  the  adop- 
tion of  a  law  in  regard  to  the  mixed  courts  of  arbitration.  Both 
parties  may  agree  to  submit  their  differences  to  these  commissions 
in  all  cases  except  those  involving  criminal  responsibility  for  the 
accident. 

The  procedure  is  slightly  modified  in  regard  to  accidents  to  work- 
men employed  in  these  two  ministries.  Wheuever  possible,  first,  an 
army  sui-geon,  or,  second,  a  navy  surgeon,  must  be  called  to  assist  the 
injured  employee  of  the  Ministry  of  War,  and  the  same  rule  applies 
in  reversed  order  to  the  Ministry  of  the  Navy.    In  either  case  a  private 


2338 


BEPOET  OF   THE   COMMISSIONER  OF  LABOR. 


phjsician  may  be  called  in  an  emergency,  if  necessary.  Further 
treatment  must  be  left  to  the  army  or  navy  surgeon.  The  injured 
must  enter  a  mihtary  or  naval  hospital,  unless  the  physician  in 
charge  agrees  to  outside  treatment.  Refusal  to  be  treated  according 
•  to  the  official  physician^s  order  leads  to  loss  of  right  to  compensation. 
The  necessary  medical  certificate  is  to  be  made  by  an  army  or  navy 
sui^eon,  and  when  a  disagreement  arises  between  the  surgeon  and 
the  injured  employee  as  to  the  medical  opinion  it  may  bo  referred  to 
two  other  army  or  navy  surgeons,  or  to  a  board  of  two  such  surgeons 
and  two  physicians  selected  by  the  injured  person.  When  there  is 
a  disagreement,  the  case  is  referred  to  the  district  mihtary  sanitary 
inspection  office,  which  appomts  a  board  of  Rve  witli  the  chief  inspec- 
tor as  chairman. 

The  reports  of  all  accidents  are  sent  to  the  office  of  chief  of  the 
military  district,  where  a  hst  of  them  is  kept;  reports  of  the  cases 
where  indemnity  is  granted  are  forwarded  to  the  Mhiistry  of  War,  and 
copies  are  sent  to  the  Ministry  of  Interior.  Apphcations  for  reUef 
are  made  to  the  military  governor  and  the  amount  allowed  is  chained 
to  the  appropriation  for  the  work  in  which  the  accident  has  occurred, 
or  to  other  funds  if  necessary.  In  case  of  disagreement,  the  injured 
or  his  dependents  may  seek  redress  before  the  judge  of  first  mstance. 
Similar  rules  govern  the  granting  of  compensation  to  employ (^es  in 
the  IVImistry  of  the  Navy,  naval  officers  being  substituted  for  military 
officers  in  the  regular  procedure.  The  governors  are  required  to 
transmit  to  theMmistry  of  Interior  statistical  schedules  of  accidents 
and  indemnities  and  to  pubhsh  annually  statistics  of  industrial  acci- 
dents. The  form  of  blanks  is  prescribed.  The  preliminary  report 
of  the  accident  must  be  forwarded  immediately  to  the  ministry,  and 
the  complete  statistical  reports  must  be  forwarded  every  three  months. 
The  employers  are  required  to  furnish  all  the  information  necessary 
for  these  reports.  The  duty  of  pubUshing  these  statistics  was  later 
transferred  to  the  section  of  industry  and  commerce  of  the  Ministry 
of  Agriculture,  Industry,  Commerce,  and  Public  Works,  from  which 
it  was  again  transferred  on  December  31,  1904,  to  the  Institute  of 
Social  Reforms. 

PREVENTION   OF  ACCIDENTS. 

A  peculiarity  of  the  compensation  act  is  the  inclusion  in  it  of  the 
subject  of  prevention  or  decrease  of  accidents,  which  wore  clahned 
to  be  excessive  in  Spain  because  of  the  inadequate  use  of  methods 
of  prevention. 

For  this  purpose  a  technical  commission  was  created  to  consist  of 
one  architect  and  three  engineers,  two  of  whom  were  named  by  and 
come  from  the  commission  (now  institute)  of  social  reforms  and  one 
from  the  Royal  Academy  of  Exact  Sciences.     The  members  of  this 


CHAPTER  X.- 


-WORKMEN's  insurance  in  SPAIN.*         2339 


commission  were  to  serve  without  compensation.  This  commission 
was  required  to  elaborate  and  present  to  the  Ministry  of  Interior 
within  four  months  a  list  of  apparatus  and  measures  for  the  preven- 
tion of  accidents.  The  Grovemment  was  ordered,  after  consulting 
with  this  commission,  to  issue  regulations  for  the  introduction  of 
measures  for  the  prevention  of  accidents  and  the  protection  of  life, 
safety,  and  health  of  the  workmen  employed.  It  was  further  pro- 
vided that  the  commission  should  estabUsh  a  museum  for  the  pres- 
ervation of  models  of  such  safety  appliances  and  for  testing  new 
mechanisms,  with  the  view  of  including  in  the  hst  those  that  proved 
to  be  serviceable. 

The  increase  of  the  amount  of  compensation  by  50  per  cent  where 
such  required  safety  appliances  have  not  been  used  is  evidently 
intended  mainly  as  a  measure  to  stimulate  strict  complance  with  the 
law. 

In  advance  of  the  report  of  the  commission  the  employers  were 
required  to  use  all  possible  means  to  insure  the  security  of  the  worker. 
All  customary  precautions  were  made  obligatory,  such  as  railings 
on  scaffolds,  fences  around  wells,  shafts,  and  ditches,  signals  when 
Hghting  fuses,  brakes  for  elevators  and  transportation  machinery, 
and  similar  apphances  for  new  work  and  processes.  Such  appHances 
must  be  constructed  with  the  purpose  of  protecting  the  worker 
against  the  consequences  of  ordinary  carelessness  which  is  the  nec- 
essary result  of  continuous  performance  of  dangerous  work.  In 
addition,  the  usual  health  and  sanitary  regulations  must  be  comphed 
with,  and  also  the  special  orders  of  similar  nature  promulgated  by 
the  technical  commission.  Use  of  deficient  machinery  and  apph- 
ances, execution  of  work  with  an  insufficient  working  force  or  insuf- 
ficient material,  as  well  as  intrusting  unfit  persons  with  dangerous 
work  without  giving  them  proper  directions,  shall  be  considered  as 
negligence.  Special  care  in  complying  with  the  regulations  as  to  the 
safety  appliances  is  demanded  when  children  are  employed  in  the 
establishments. 

The  list  of  safety  apphances  was  pubhshed.  It  consists  of  six 
chapters,  giving  the  required  apphances  for  factories  and  workshops, 
construction,  building,  mining,  generation  and  transmission  of  elec- 
tricity, and  commercial  establishments  and  warehouses. 


I* 

i 


STATISTICS   OF   OPERATIONS. 

Little  information  concerning  the  results  of  the  apphcation  of  tlie 
act  of  1900  can  be  obtained,  because  statistical  data  are  meager. 
The  General  Association  of  Insurance  Companies  pubhshed  tlie 
following  data  concerning  the  number  of  cases  compensated  and  tlie 
amount  of  compensation  paid.  It  is  probable  that  this  table  is  far 
from  being  complete,  but  it  is  probably  sufficiently  accurate  for  the 


*ii 


§ 


2340 


BEPOBT  OF  THE  COMMISSIONER  OF  LABOB. 


purpose  of  showing  the  total  and  the  average  amoimts  of  compensa- 
tion, which  amounts  appear  to  be  extremely  small.     Theiul 

STrat"  S'S  3  c'T't*"'^^  "^  "^'"^  --  -nverteTrtTh^ 
normal  rate  of  19.3  cents.    As  a  matter  of  fact,  however,  the  value 

of  the  Spanish  peseta  fluctuates  between  14  and  i?  .-ents,  ^o  the  com! 
pensation  is  even  smaUer  than  shown  in  the  table. 

NUMBER  OP  ACCIDENTS  TO  WAOB-EARNEES  AND  COMPENSATION  PAID  BY  RF8ULTS 

OF  ACCIDENTS  AND  YEAES.  1902  TO  1900  RESULTS 


Result  of  accident  and  year. 


Fatal: 

1902 

1903 

1904 

1905 

1906 


Number 
of  acci- 
dents. 


Comi>ensation  paid. 


Av»age  for  5  years. 


162 
239 
244 
162 
158 


Total. 


Per  case. 


Total  permanent  disabilitv- 

1902 ^ 

1903.... 

1904 ::::::::::; 


193 


Average  for  5  years. 


Partial  permanent  disabilitv: 
1902 ^ 

1903 :::; 

1904 :;:;  • 

1905 

1906 ..-•••- 


46 
38 
35 
73 

86 


$42,874.54 
64, 283. 78 
59,003.52 
43,38,5.18 
32,216.42 

46,352.69 


1264.66 
227.13 
241.82 
267.81 
203.90 


240.17 


Average  for  5  years. 

Temporary  disability: 

1902 ' 

1903 

1904 : 

1905 

1906 :::::::: 

Average  for  5  years . 

Total  accidents: 
1902 

1903...   :::::; 

1904 

1905 .■."::::"■■ 

1906 ..:•; 


56 


187 
325 
446 
395 
4^ 


14.412.61 
10, 61)2. 34 
9, 9H9. 36 
25,529.89 
12,559.87 


313.32 
280.59 
285.41 
349.72 
146. 05 


359 


14,  (>30. 81 


33.410.97 

54, 686. 09 
76,694.37 
61,167.00 
69,114.41 


263.14 


27,586 
31,388 
33, 444 
26,686 
31,501 


30. 121 


67,014.67 


140.236.17 
173,618.03 
197, 4,52.  79 
175,541.43 
181,470.10 


178.67 
168.26 
171.96 
154.85 
133.44 


Average  for  5  years. 


27.981 
31,990 
34,169 
27, 316 
32,188 


30,729 


173,66.1.70 


230,934.29 
293, 25(».  24 
343. 14(1. 04 
305,623.50 
285,360.80 


158.73 


5.08 
6.53 
5.90 
6.68 
5.76 


5.77 


291,661.77 


8. 25 

9.17 

10.04 

11.19 

8.87 

9.49 


nuLer'of'^l'Hlf"'  \"^^"  '?  '''"'■"'^'  ''  '^  -gnificant  that  the 
number  of  accidents  each  year  does  not  show  the  tendency  to  increase 
tiiat  IS  shown  in  most  countries  under  the  influence  of  a  com^eLS 

tiors'^sfnt^itt.f"  !'^{.*«"*I«'»te  reported  to  insurance  institu- 
tions.   Since  1902  the  Institute  of  Social  Reforms  has  published  an- 

data  of  tlie  insurance  companies.     For  1906  and  1907,  these  report 


CHAPTER  X. workmen's   INSURANCE   IN   SPAIN.  2341 

state  the  number  of  accidents  compensated  by  the  employers  directly 
and  those,  compensated  by  the  insurance  companies.  By  reference  to 
the  data  for  these  years,  an  approximate  idea  may  be  obtained  of  tlie 
extent  of  accident  insurance  practice  by  the  Spanish  employers.  Of 
the  cases  in  1906  definitely  reporting,  38.1  per  cent  were  compensated 
by  the  employers,  and  61.9  per  cent  by  the  msurance  companies;  in 
1907,  there  were  compensated  36.5  per  cent  by  the  employers  and 
63.5  per  cent  by  the  insurance  companies. 

NUMBER  OF  CASES  OF  ACCIDENTS  COMPENSATED  BY  EMPLOYERS  AND  BY  INSUR- 
ANCE COMPANIES,  BY  RESULTS,  1906  AND  1907. 

[Source:  Instituto  de  Reformas  Sociales.    Estadlstlca  de  los  Accldentes  del  Trabajo  ocurridos  en  los  a&os 

1906  y  1907.]  ^^ 


Cases  of  accident  resulting  in 

By  whom  comj>ensated. 

Tempo- 
rary disa- 
bility. 

Perma- 
nent disa- 
bility. 

Death. 

Total. 

„       .                                             1906. 

Employer 

6,992 

11.469 

4,172 

36 
26 
17 

72 
33 

69 

Insurance  company 

Not  reported -  —  i  i !"  -  i !]!]!!!!!!!!]  1  ] 

7,100 
11.628 

4.258 

Total 

22,633 

79 

174 

•  22.886 

Employer 

Insurance  company 

Not  reported 

8.428 

14,J:19 

6,917 

69 
34 

8 

89 
43 
76 

8.57» 
14.896 

*7.fl00 

Total 

30,164 

101 

207 

30.472 

a  Not  Including  1 ,639  cases  not  compensated.         6  Probably  includes  the  cases  not  compensated 

It  appears  from  the  above  data  tliat  insurance  against  accidents, 
though  voluntary,  became  popular  among  tlie  employers  under  the 
pressure  of  the  law.  No  sooner  were  the  law  and  the  regulations 
promulgated  than  the  insurance  companies,  both  the  domestic  and 
foreign  (French,  Itahan,  and  Swiss),  reached  out  for  the  new  business. 
During  the  first  year  of  the  application  of  the  law  3,262  insurance 
contracts  were  issued,  insuring  123,597  emplovees  and  collecting  in 
premiums  678,569  pesetas  ($130,963.82).  By  1906  ten  private 
societies  were  inscribed  in  the  authorized  list  of  the  private  insurance 
companies.  Because  of  the  anxiety  to  acquire  tliis  new  business 
the  insurance  rates  were  often  reduced  so  low  that  it  was  not  long 
before  demands  were  made  for  establishing  minimum  rates  through 
governmental  regulation  to  secure  the  solvency  of  the  accident 
insurance  companies.  Mutual  associations  also  began  to  form,  and 
by  1906  their  number  equaled  that  of  the  private  insurance  com- 
panies; but  tlie  number  of  workmen  insured  in  these  mutual  associa- 
tions is  small,  the  number  of  compensated  cases  in  1906  amounting 
to  only  2,054,  or  a  little  over  6  per  cent  of  the  total  number. 

The  data  of  the  insurance  companies  show  that  the  highest  amount 
of  compensation  paid  was  in  1904,  when  it  reached  1,777,929  pesetas 


2342 


BEPORT  OF  THE  COMMISSIONER  OF  LABOR. 


($343,140).  A  rough  estimate  of  50  per  cent  of  this  sum,  or  889,000 
pesetas  ($171,577),  for  the  cases  not  insured  would  bring  the  total 
cost  up  to  about  2,667,000  pesetas  ($51 5,000)  in  round  numbers.  The 
high  cost  of  insurance  and  the  failure  of  mutual  insurance  societies 
to  compete  successfully  with  the  private  insurance  (companies  would 
probably  increase  tliis  amount.  In  tlie  proposed  reform  of  the  law 
the  encouragement  of  the  mutual  insurance  companies  occupies  a 
prominent  position. 

PBOPOSED  BSFOKMS. 

REPORT  OF  THE  LABOR  DELEGATES. 

The  movement  for  the  revision  of  the  compensation  act  of  1900 
became  noticeable  in  1904,  when  the  labor  delegates  of  the  Institute 
of  Social  Reforms  presented  the  above-mentioned  memorial,  and 
after  more  than  three  years  of  preparatory  work  the  institute  on 
July  4,  1907,  published  a  draft  of  a  new  bill  for  presentation  to  the 
Government.  The  report  of  the  labor  delegates  took  up  each  article 
of  the  law  of  1900  for  consideration  and  suggested  the  following 
modifications: 

(1)  The  delegates  claimed  that  tlie  wording  of  the  law  of  1900 
embraced  all  bodily  injury  done  to  the  workman,  i.  e.,  not  only 
accidental  injuries,  but  also  occupational  diseases,  and  asked  for 
specific  changes  in  the  language  of  the  law  to  clear  away  possible 
doubts. 

(2)  In  view  of  the  adverse  decision  of  the  courts  they  asked  for 
a  clear  statement  that  where  the  employee  contracted  not  only  for 
his  own  wages  but  for  those  of  his  assistant  or  partner  he  should  be 
considered  an  employee  and  not  a  contractor. 

(3)  Again,  in  view  of  the  adverse  decision  of  the  supreme  court  as 
to  the  compensation  in  cases  of  ordinary  negligence  the  memorial 
asked  for  an  explicit  declaration  that  trade  negligence,  or  that  which 
follows  habitual  exercise  of  any  occupation,  should  not  reheve  the 
employer  from  his  obligation.  Only  ordinary  negligence  is  men- 
tioned; by  impUcation  cases  of  gross  negligence  are  left  out  of  con- 
sideration, though  in  the  language  of  the  original  law  notliing  was 
said  of  cases  where  the  employers  were  relieved  oi  their  obligations 
because  of  the  negligence  of  the  employee. 

(4)  The  report  enei^etically  protested  against  the  injustice  of 
granting  the  right  of  compensation  to  certain  classes  of  employees 
and  denying  it  to  others ;  especially  against  leaving  out  agricultural 
laborers;  it  suggested  that  all  industries  and  branches  of  work  be 
covered  by  the  law. 

(5)  In  cases  of  temporary  disability  an  allowance  of  half  the 
daily  wage  is  granted  by  the  law ;  the  question  of  holidays  remained 


CHAPTER  X. WORKMEN  S   INSURANCE   IN   SPAIN. 


2343 


open  and  was  by  the  order  of  November  5,  1902,  decided  in  favor 
of  paying  the  allowance  for  the  holidays  as  well.  The  labor  dele- 
gates asked  that  tliis  order  be  embodied  in  the  law. 

(6)  In  case  of  partial  permanent  disabihty  the  law  permits  the 
employer  to  substitute  reemployment  at  the  old  rate  of  wages  for  a 
money  compensation.  In  the  report  the  possibiUties  of  abuse  of 
this  method  are  claimed  to  be  self-evident,  and  the  exclusion  of  this 
clause  was  suggested. 

(7)  In  furnishing  medical  help  and  drugs  the  law  permits  the  em- 
ployer to  choose  the  physician  and  the  drug  store.  Only  in  case  of 
disagreement  as  to  the  medical  opinion  does  the  workman  have  the 
right  to  choose  his  physician  as  one  of  the  referees..  In  the 
opinion  of  the  labor  delegates  the  employee  should  have  a  right 
to  have  a  physician  at  his  own  expense  in  addition  to  the 
employer's  physician  from  the  beginning  of  the  illness.  The  em- 
ployer having  the  right  to  select  the  drug  store  is  often  guided 
by  considerations  of  cheapness  rather  than  of  quality.  The  injured 
employee  should  have  the  right  to  select  the  pharmacy  most  con- 
venient to  him.  The  medical  certificate  as  to  cure  or  permanent 
disability  is  necessary  for  entering  the  claim.  The  employer's  physi- 
cian by  delaying  the  issue  of  the  certificate  may  seriously  incon- 
venience the  employee.  To  remedy  tliis,  the  law  should  demand  the 
issue  of  the  certificate  on  the  same  day  on  which  the  treatment  is  dis- 
continued and  make  the  failure  to  do  so  the  presumption  that  medi- 
cal treatment  was  necessary  until  the  certificate  was  issued  by  this 
or  another  physician. 

(8)  In  stating  the  compensation  to  the  descendants  of  the  deceased 
employee  the  law  specifically  mentions  legitimate  children.  This 
was  stated  to  be  at  variance  with  the  elementary  principle  of  justice, 
and  the  removal  of  this  qualification  was  strongly  urged,  so  that  the 
protection  be  extended  equally  to  the  natural  cliildren  of  the  victim. 

(9)  Th«  age  limit  of  16  years  for  children  receiving  compensation 
or  pension  was  also  criticized.  It  was  pointed  out  that  the  children  of 
deceased  public  officials  are  entitled  to  pension  until  22  years  of  age, 
and  the  same  age  limit  was  suggested  for  the  children  of  employees 
killed  by  accidents. 

(10)  While  the  compensation  to  a  widow  with  cliildren  is  equal  to 
two  years'  salary,  when  only  children  or  grandchildren  survive  the 
compensation  is  reduced  to  eighteen  montlis  The  labor  delegates 
claimed  that  orphans  were  more  helpless  alone  than  when  one  of  their 
parents  survived,  and  that  they  should  therefore  be  entitled  to  the 
same  compensation  as  the  widow. 

(11)  Relatives  in  an  ascending  line  are  granted  compensation 
only  when  over  60  years  of  age  and  if  dependent.     Both  of  these 

67725°— VOL  2—11 54 


2344 


BEPORT  OF   THE   COMMISSIONER   OF   LABOR. 


qualifications  were  claimed  to  be  unriecessaiy  and  cause  hardships, 
because  a  single  worker,  living  with  his  parents,  usually  assisted  them 
financially  in  some  degree,  and  to  that  degree  they  were  dependent 
upon  him;  the  age  of  the  parents  was  also  of  little  imf)ortance  as  long 
as  the  fatal  accident  caused  them  a  perceptible  financial  loss. 

(12)  Approving  the  measures  for  j)revention  of  accidents,  among 
others  the  preparation  of  the  catalogue  of  safety  appliances,  the 
labor  delegates  suggested  that  in  view  of  the  rapid  progress  of  tech- 
nical knowledge  the  technical  commission  should  publish  an  annual 
report. 

(13)  While  approving  the  design  of  the  law  to  stimulate  accident 
insurance,  the  labor  delegates  criticised  severely  the  provision  of  the 
law  which  relieves  the  insured  emplo}  er  of  his  responsibihty,  because 
the  insurance  companies  were  usually  practicing  a  i)c»licy  of  delay  to 
force  the  injured  employee  to  agree  to  a  peaceful  agieement  on  terms 
unprofitable  to  him.  Since  the  insurance  contract  is  a  transaction 
between  the  insurance  company  and  the  employer,  the  employee, 
not  being  a  party  to  the  agreement,  should  not  be  made  to  lose  any 
rights  thereby.  The  insurance  company  should  be  required  to 
satisfy  the  claim  within  forty-eight  hours  after  the  disability  is 
determined,  barring  which  the  employee  should  have  the  right  to 
sue  either  his  employer  or  the  insurance  company. 

(14)  The  adjudication  of  these  cases  arising  under  the  law  is  left 
to  the  ordinary  courts  of  first  instance  (until  the  special  tribunals  be 
established),  and  the  supreme  court  has  ruled  that  in  accordance 
with  the  Civil  Code  the  defendant  must  be  sued  at  the  place  of  his 
residence,  which  in  case  of  both  the  insurance  company  and  the 
individual  employer  is  often  distant  from  the  location  of  the  estab- 
lishment and  therefore  makes  the  prosecution  of  the  suit  almost 
impossible  for  the  destitute  employee.  It  was  suggested  by  the 
delegates  that  these  cases  be  put  under  the  jurisdiction  of  the  judge 
of  the  locality  where  the  accident  occurs. 

(15)  Under  the  law  claims  may  be  made  within  one  year  from  the 
date  of  the  accident.  Meanwhile  suits  may  be  instituted  by  either 
side  because  of  the  alleged  criminal  responsibility  for  the  accident. 
As  the  claim  for  compensation  must  be  settled  with  reference  to  the 
sentence  in  the  criminal  proceedings,  the  term  of  one  year  must  be 
exclusive  of  the  time  taken  in  these  criminal  proceedings.  Again, 
the  employer  may  neglect  to  make  the  required  immediate  report 
of  the  accident,  which  neglect  delays  the  judicial  action.  The  year 
should  therefore  be  counted  from  the  day  of  making  the  report. 

(16)  The  law  is  exphcit  in  declaring  all  agreements  or  contracts 
renouncing  the  benefits  of  the  law  as  null  and  void,  but  some  courts 
have  interpreted  this  rule  to  mean  only  such  agreements  as  have 
been  made  before  the  accident   occurred.     It   was  therefore  sug- 


CHAPTER  X. workmen's   INSURANCE   IN   SPAIN. 


2345 


gested  that  such  changes  be  made  in  the  wording  of  the  law  as  would 
make  clear  that  all  such  agreements  were  null  and  void,  whether 
entered  into  before  or  after  the  accident. 

(17)  The  report  concluded  this  long  list  of  amendments  with  an 
earnest  plea  in  favor  of  sujiplementing  the  existing  legislation  by 
some  provision  for  guaranteeing  the  payments.  The  absence  of 
such  guarantee  was  termed  an  inexplicable  omission  and  the  con- 
sequences as  very  detrimental  to  the  interest  of  the  workmen. 
Reviewing  the  various  methods  adopted  by  the  several  European 
Governments,  the  labor  delegates  found  fault  with  the  French  sys- 
tem of  a  special  guarantee  fund,  which  makes  the  responsible 
employer  meet  the  burden  evaded  by  the  irresponsible  one;  they 
discarded  the  Belgian  system  because  it  stimulates  the  commercial 
insurance  companies  that  carry  accident  insurance  mainly  for  the 
profit  to  be  derived  from  it;  they  found  the  German  system  of 
obligatory  insurance  in  industrial  associations  the  most  satisfactory 
one,  but  admitted  that  Spanish  industry  was  not  yet  prepared  for 
such  an  organization.  But  holding  mutual  insurance  associations 
preferable  to  private  insurance  companies,  for  both  the  employer 
and  the  employee,  the  labor  delegates  devised  and  proposed  a  rather 
complicated  system,  which  would  give  the  employer  a  choice  between 
forming  mutual  associations  or  contributing  a  small  special  tax. 
The  latter  was  to  form  a  fund,  from  which  the  compensation  would 
be  paid  by  the  State  to  the  victims  of  accidents  or  to  their  depend- 
ents. This  plan  was  to  be  put  in  operation  when  the  compensation 
could  not  be  collected  in  any  other  way. 

BILL   OF   THE   INSTITUTE   OF   SOCIAL   REFORMS,  OF    1907. 

The  report  of  the  labor  delegates  served  as  a  basis  for  consideration 
of  the  law  by  various  divisions  of  the  Institute  of  Social  Reforms 
and  many  of  the  suggestions  made  by  the  labor  delegates  were 
embodied  in  the  final  draft  approved  by  the  institute  on  June  28, 
1907. 

The  following  changes  recommended  by  labor  delegates  were 
practically  adopted  by  the  institute  without  any  changes,  except 
in  a  few  cases  as  to  phraseology  (the  numbers  being  as  in  the  pre- 
ceding list  of  seventeen):  (2)  That  an  employee  who  contracts  also 
for  the  wages  of  his  helper  or  partner  is  not  to  be  considered  an 
employer,  and  is  not  to  be  deprived,  therefore,  of  his  right  to  com- 
pensation ;  (3)  that  accidents  due  to  trade  negligence  be  not  excepted ; 
(5)  that  in  compensating  for  temporary  disability  by  a  per  diem 
allowance  the  hohdays  be  included;  (6)  the  permission  to  sub- 
stitute reemployment  at  the  old  wages  for  the  legal  compensation 
due  for  permanent  partial  disability  is  withdrawn;  (8)  illegitimate 
children  are  recognized;  (10)  children  left  orphans  after  death  of 


2346 


KEPORT  OF   THE   COMMISSIONER  OF   LABOR. 


father  from  an  accident  receive  the  full  two  years^  pension;  (11) 
parents  or  grandparents  need  not  be  over  60  years  of  age  or  prove 
their  dependence  to  receive  compensation;  (14)  the  place  of  suing 
is  to  be  the  same  as  the  locality  where  the  accident  occurred;  (15) 
the  extension  of  the  period  of  limitation  in  those  cases  where 
criminal  proceedings  are  instituted  is  agreed  to;  (16)  agreements 
renouncing  any  benefits  or  rights  under  the  law  are  declared  to  be 
null  and  void  even  if  entered  into  aft^^r  the  accident. 

In  addition  a  few  other  changes,  almost  all  favorable  to  the  in- 
terests of  the  employees,  are  embodied  in  the  final  draft  of  the  institute. 
Thus,  the  person  who  accepts  large  contracts  for  work  is  to  be  con- 
sidered the  employer  and  be  held  responsible,  nevertheless  it  is 
specifically  provided  that  the  liabihty  of  the  original  proprietor  of 
the  estabhshment  continues,  though  subsidiary  to  the  responsibility 
of  the  contractor.  Workmen  employed  in  a  supervisory  capacity, 
but  not  receiving  more  than  10  pesetas  ($1.93)  per  day  in  wages,  and 
apprentices  also  are  included  among  the  classes  of  employees  entitled 
to  compensation.  In  the  case  of  the  apprentices  such  inclusion  was 
ordered  by  the  regulations,  but  it  is  now  included  in  the  text  of  the 
proposed  law.  The  benefits  of  the  law  are  also  extended  by  this 
draft  to  foreign  employees  working  in  Spain. 

The  rights  of  the  children  of  a  female  employee  who  is  killed  by 
accident  are  extended.  Under  existing  law  they  are;  entitled  ta  com- 
pensation only  in  case  they  have  no  father,  or  have  been  abandoned. 
These  limitations  are  dropped  from  the  new  bill.  Under  existing 
law  the  widower  is  not  entitled  to  any  compensation  for  the  death 
of  his  wife  in  consequence  of  an  accident.  The  new  draft  proposes  to 
give  compensation  to  the  widower  who,  during  the  life  of  his  wife, 
depended  upon  her  for  support. 

Though  the  institute  suggested  essential  reforms  in  regard  to  the 
methods  of  determining  the  rate  of  wages,  the  final  draft  has  not 
gone  beyond  including  in  the  text  of  the  law  a  few  of  th(^  provisions 
of  the  ''regulations,"  namely,  that  in  this  computation  all  forms  of 
remuneration  besides  money  wages  must  be  taken  into  consideration, 
such  as  food,  lodging,  premiums,  tips,  etc,  though  only  such  addi- 
tional remunerations  must  be  considered  which  are>  normal  in  their 
character. 

The  changes  suggested  by  the  labor  delegates  were  carefully  dis- 
cussed and  modified  in  many  particulars  before  the  recommendations 
were  given  their  final  form. 

Occupational  Diseases. — The  suggestion  of  the  labor  delegates 
that  the  law  cover  all  the  occupational  diseases,  defined  as  all  h^sions 
which  the  workman  may  suffer  because  of  the  habitual  exercise  of  his 
occupation,  met  with  strong  opposition.  The  economic  section  of  the 
Institute  of  Social  Reforms  pointed  out  that  such  diseases,  gradually 


CHAPTER  X. WORKMEN  S   INSURANCE   IN   SPAIN. 


2347 


acquired,  belonged  to  the  domain  of  invalidity  insurance,  rather  than 
that  of  compensation  of  employees  for  accidents,  and  ofl'ered  an 
amendment,  by  which  only  diseases  acquired  in  an  immediate,  direct, 
and  certain  manner  be  classed  with  industrial  accidents.  The  legal 
section  of  the  institute  approved  this  amendment,  claiming  that  it 
was  not  new  legislation,  but  simply  an  interpretation  by  the  supreme 
tribunal  embodied  in  the  text  of  the  law.  In  tlie  general  session  of 
the  institute  it  was  decided  to  eliminate  this  amendment  and  leave 
the  text  of  the  law  in  its  original  form. 

Employments  Covered. — The  demand  of  the  labor  delegates  that 
all  employment  be  covered  by  the  law,  and  no  exceptions  be  made, 
was  thought  too  sweeping.  The  claim  was  made  that  the  law  was  in 
its  experimental  stage,  and  that  it  was  preferable  to  extend  its  appli- 
cations gradually,  though  it  w^s  admitted  that  such  extensions  were 
possible  and  desirable.  The  greatest  opposition  was  aroused  by 
the  demand  for  the  inclusion  of  the  agricultural  laborers,  whom  the 
labor  delegates  thought  especially  in  need  of  protection.  While  this 
need  was  not  denied,  many  difficulties  were  held  to  be  in  the  way  of 
realizing  this  plan,  such  as  the  general  backward  condition  of  Spanish 
agriculture  and  its  consequent  inability  to  meet  the  additional  cost 
of  such  compensation,  as  well  as  the  difficulty  of  differentiating 
between  the  class  of  employers  and  that  of  employees  in  Spanish 
agriculture  with  its  predominant  class  of  very  small  holdings.  The 
economic  section  of  the  institute  argued  that  the  extension  of  the 
law  to  all  agricultural  employment  would  be  possible  only  under  a 
system  of  compulsory  insurance,  for  which  the  Spanish  rural  popula- 
tion was  not  yet  prepared.  It  proposed,  therefore,  to  substitute 
gradual  extensions  for  the  sweeping  inclusion  of  all  agricultural 
employment.  As  the  existing  law  already  includes  accidents  arising 
from  the  handling  of  agricultural  machinery  working  with  mechanical 
power,  the  nexl  proper  step  was  to  include  all  employees  in  large 
agricultural  holdings  on  which  at  least  six  persons  are  permanently 
employed.  Further  extension  of  the  law  to  mercantile  establish- 
ments and  to  office  employees  of  industrial  establishments  was  also 
admitted  to  be  feasible.  The  economic  section  suggested  the  fol- 
lowing extensions:  (a)  Coke  ovens  and  all  establishments  in  which 
the  products  of  mines  and  quarries  are  worked  up;  (6) glass  factories; 
(c)  chemical  works,  tobacco  factories,  and  the  manufacture  of  mineral 
and  effervescent  waters;  {d)  leveling  and  paving  of  streets;  {e)  mer- 
cantile establishments  employing  more  than  three  persons;  if)  agri- 
cultural, forestry,  and  fishery  establishments  employing  constantly 
more  than  six  persons;  (g)  employees  in  offices  and  stores  of  manu- 
facturing and  industrial  establishments  receiving  less  than  2,000 
pesetas  ($386),  when  injured  in  consequence  of  the  usual  work  in 
such  establishments.     In  the  final  draft  of  the  institute  this  list 


2348 


BEPORT  OF  THE  COMMISSIONEE  OF  LABOB. 


was  somewhat  further  extended  by  includmg  all  mercantile  estab- 
lishments, irrespective  of  the  number  of  employees.  The  specific 
mention  of  all  special  branches  of  manufacturing  industry,  not  only 
those  suggested  by  the  economic  section  but  also  those  contained 
in  the  original  law,  was  eliminated  by  substituting  the  general 
formula:  ''AH  factories,  mills,  and  manufacturing  establishments,^' 
while  in  the  law  of  1900  only  those  factories,  mills,  and  manufactur- 
ing establishments  are  included  which  utilize  mechanical  power.  In 
addition  to  this  formula  many  separate  branches  of  industry  were 
included. 

The  question  of  extending  the  provisions  of  the  law  to  agricultural 
workers  was  considered  of  such  importance  that  a  s])ecial  investiga- 
tion of  the  problem  was  undertaken  by  the  institute.  This  report 
will  be  discussed  later. 

Medical  Help. — The  suggestion  of  the  labor  delegates  as  to  the 
right  of  the  injured  workman  to  have  liis  own  physician  and  choose 
his  own  drug  store  was  adopted  by  the  institute  with  the  limitation 
of  the  choice  to  such  drug  stores  as  were  willing  to  charge  according 
to  the  low  prices  established  by  the  charity  authorities. 

Age  of  Orphans. — The  desire  of  the  labor  delegates  to  extend 
the  compensation  to  the  children  under  the  age  of  22  years  of  a 
fatally  injured  employee  was  considered  excessive,  and  in  the  uisti- 
tute's  draft  all  children  under  18  years  of  age  or  those  incapacitated 
from  earning  a  livelihood  are  included*. 

The  Prevention  of  Accidents. — In  the  part  of  the  law  referring 
to  the  prevention  of  industrial  accidents  few  changes  were  proposed 
by  the  labor  delegates,  but  the  Institute  of  Social  Reforms  proposed 
extensive  changes  in  regard  to  the  organization  of  the  technical 
commission,  which  was  founded  by  the  law  of  1900  before  the  Institute 
of  Social  Reforms.  The  essence  of  these  changes  consists  in  requiring 
this  commission  to  report  to  the  Institute  of  Social  Reforms,  to  coop- 
erate with  the  Royal  Sanitary  Council  or  the  Academy  of  Medicine 
in  all  matters  concerning  industrial  hygiene,  and  to  intrust  to  the 
Institute  of  Social  Reforms  the  administration  of  the  law,  an<l  to 
organize  an  inspection  service  in  the  institute,  providing  administra- 
tive penalties  for  the  infraction  of  the  law. 

Insurance. — The  objection  of  the  labor  delegates  to  the  employer 
being  relieved  of  his  obligation  through  insurance  was  sustained 
by  the  institute  after  considerable  discussion,  and  the  injured  work- 
man is  to  be  given  the  right  to  sue  his  employer  dire«*tly,  even  if  the 
employer  has  insured  his  employees.  * 

Perhaps  the  most  important  question  is  that  of  compulsory  insur- 
ance or  some  other  means  by  which  the  payment  of  an  indemnity 
may  be  guaranteed.  The  plan  for  serniobligatory  mutual  insurancd 
suggested  by  the  labor  delegates  was  not  accepted  by  the  Institute 


CHAPTER  X. — WORKMEN  S  INSURANCE  IN  SPAIN. 


2349 


of  Social  Reforms.  The  economic  section  admitted  the  necessity 
of  guarantee  and  the  advantages  of  a  system  of  insurance  over  any 
other  method,  but  thought  the  time  premature  for  a  system  of  obliga- 
tory insurance  similar  to  that  of  Germany,  and  suggested  the  follow- 
ing basis  for  the  elaboration  of  a  guarantee  system'^. 

(1)  The  employer  must  guarantee  the  payment  of  the  indemnity; 
(2)  by  insuring  either  in  a  private  commercial  insurance  company  or  in 
a  mutual  insurance  association,  or  becoming  his  own  insurer.  (3) 
The  Government  shall  determine  the  guarantee  to  be  furnished  by 
private  or  mutual  insurance  companies.  (4)  To  become  liis  own 
insurer,  the  employer  must  have  a  special  authorization  from  the 
Government,  which  requires  a  bond,  the  amount  depending  upon 
the  number  of  workmen  and  the  size  of  the  establishment.  (5) 
The  Government  may  order  the  organization  of  a  mutual  insurance 
association  for  a  certain  industry  or  group  of  industries.  (6)  All 
mutual  insurance  associations  shall  be  free  from  all  taxes.  (7) 
Employers  refusing  to  msure  their  workmen  must  pay  a  special  tax, 
to  be  determined  every  three  years  by  the  Government  for  each 
industry.  (8)  A  national  industrial  accident  insurance  fund  should 
be  established,  made  up  of  (a)  these  special  taxes,  (6)  state  subsidy 
if  necessary,  (c)  fines  for  infringement  of  the  insurance  law,  and  (d) 
other  miscellaneous  sources.  (9)  The  national  fund  pays  the  com- 
pensation due  under  this  law  in  case  of  insolvency  of  the  noninsured 
employer  or  that  of  the  insurer.  It  may  make  an  effort  to  collect 
this  from  the  insolvent  parties,  and  its  claim  sliall  have  preference 
over  other  claims. 

Tliis  system,  proposed  by  the  economic  section  of  the  institute, 
came  close  to  a  system  of  compulsory  insurance.  The  cost  of  the 
state  guarantee  was  placed  primarily  upon  those  employers  who  do 
not  insure  their  workmen.  This  plan  did  not  meet  in  its  entirety 
with  the  approval  of  the  institute.  The  final  recommendations  of  the 
institute  consist  of  the  provisions  of  the  existing  law  in  regard  to 
voluntary  insurance,  either  in  private  or  mutual  insurance  companies; 
the  conditions  prescribed  in  the  regulations  of  July  28,  1900,  are 
embodied  in  the  law  in  regard  to  guarantee  deposits ;  to  this  is  added 
the  establishment  of  a  general  guarantee  fund,  but  indemnities  only 
for  death  or  total  permanent  disability  are  to  be  paid  out  of  this 
fund.  This  fund  shall  be  supported  by  a  small  tax  upon  manufac- 
turing and  mining  establishments  in  general.  The  management  of 
this  guarantee  fund  and  the  general  supervision  of  mutual  accident 
insurance  is  to  be  intrusted  to  a  special  section  in  the  National 
Institute  of  Savings. 

The  bill  prepared  by  the  Institute  of  Social  Reforms,  practically 
without  change,  was  introduced  in  the  Cortes  by  the  minister  of  the 
interior  on  July  16,  1910. 


2350 


BEPORT  OF   THE   COMMIBSIONER  OF  lABOR. 


EXTENSION   TO   AGRICULTURE. 


.  The  most  important  question  in  connection  witli  the  reform  of 
the  compensation  law  of  1900  was  admitted  to  be  its  possible  exten- 
sion to  agriculture,  in  view  of  its  predominating  importance  in  the 
economic  life  of  Spain.  While  the  draft  of  the  bill  approved  by  the 
institute  limited  the  extension  of  the  provisions  of  the  law  to  those 
agricultural  establishments  employing  permanently  more  than  six 
persons,  it  is  not  looked  upon  as  a  final  solution  of  the  ])roblem,  as 
petty  holdings  predominate  in  Spain  over  large  estiit-es,  the  more  so 
that  the  same  draft  has  waved*  aside  the  distinction  between  large 
and  small  industrial  establishments,  existing  in  the  present  law,  and 
recommended  the  extension  of  compensation  to  all  manufacturing 
industry.  The  economic  section  of  the  institute  was  therefore 
empowered  to  make  a  thorough  study  of  the  conditions  under  wliich 
the  compensation  principle  might  be  made  applicable  to  all  agricul- 
ture. The  section  has  recently  published  the  results  of  its  studies, 
having  examined  all  the  existing  legislation  and  legislative  proposals 
of  all  countries  regarding  this  question.  Briefly,  the  conclusions  are 
as  follows:  The  extension  of  the  compensation  law  to  the  smallest 
agricultural  establishments  does  not  present  any  insurmountable 
difficulties,  though  some  modifications  will  have  to  be  introduced; 
The  section  reiterated  its  conviction  that  a  syst<im  of  obligatory 
insurance,  similar  to  that  of  Germany,  would  be  best  adapted  to  the 
needs  of  agriculture,  and  to  petty  industry  in  general;  it  could 
include  all  agricultural  laborers,  as  well  as  those  owning  or  renting 
small  parcels  of  lands,  and  would  not  only  provide  an  absolute 
guarantee  and  relieve  the  small  em[)loyer  of  the  danger  of  heavy 
cost  for  accident,  but  simplify  the  difficulty  of  differentiating  between 
the  employer  and  workman  in  petty  agriculture.  As,  however,  the 
institute  has  refused  to  indorse  the  ])rinciple  of  obligatory  insurance 
in  its  entirety,  the  section  suggests  the  alternative  of  voluntary 
insurance  with  the  exception  of  compensation  and  medical  help  in 
temporary  disability.  For  tliis  a  system  of  obligatory  mutual 
insurance  is  deemed  necessary,  in  view  of  the  peculiarities  of  rural  life 
in  Spain,  which  makes  control  of  cases  of  temporary  disability  and 
the  prevention  of  abuses  impossible  without  some  system  of  cooper- 
ation by  mutual  insurance  associations.  Aside  from  this,  the  other 
adjustments  recommended  for  the  application  of  the  law  to  the  needs 
of  agricultural  establishments  were  of  a  minor  nature. 

STATISTICS    OF  INDUSTRIAL   ACCIDENTS. 

In  Spain  statistics  of  accidents  are  gathered  only  in  connection 
with  the  compensation  act,  and  that  act  does  not  cov(ir  all  industries; 
in  some  branches  of  industrial  activity,  for  instance  in  agriculture, 
the  proportion  of  wage-workers  included  is  comparatively  small.    An 


CHAPTER  X. WORKMEN  S   INSURANCE   IN   SPAIN. 


2351 


important  limitation  of  their  value  consists  in  the  fact  that  in  the 
absence  of  statistics  of  occupations  and  manufactures  for  Spain  and  of 
the  number  of  workmen  in  each  branch  of  industry,  and  especially  in 
those  estabUshments  which  are  subject  to  the  compensation  act,  it 
is  impossible  to  compute  the  rate  of  accidents  either  for  the  industry 
as  a  whole  or  for  any  branch  of  the  industry.  The  Institute  of  Social 
Reforms,  recognizing  the  importance  of  such  a  basis  for  computa- 
tions, has  made  an  effort  to  organize  a  provisional  enumeration  of 
employees  in  establishments,  and  in  the  reports  of  accidents  for  1907 
an  attempt  has  been  made  to  compute  the  rate  of  accidents. 

In  addition  to  these  limitations,  the  collection  of  statistical  data  is 
incomplete,  according  to  the  statements  made  by  the  institute  in  its 
reports.  This  institute  was  established  by  the  decree  of  April  23, 
1903,  and  among  other  duties  was  charged  with  the  computation  and 
publication  of  statistics  of  industrial  accidents.  The  first  report 
covers  the  year  1904.  Previously  these  statistics  were  published  by 
the  section  of  commerce  and  industry  of  the  Ministry  of  Agriculture, 
Industry,  Commerce,  and  Public  Works.  According  to  the  reports 
published  by  the  institute  there  were  registered  in  1901  13,516  acci- 
dents and  in  1902  32,343  accidents,  the  increase  evidently  being  due 
to  improvements  in  methods  of  reporting.  During  the  ^ve  years, 
1904  to  1908,  for  which  statistics  have  been  published  by  the  insti- 
tute, the  number  of  accidents  recorded  was  as  follows:  In  1904, 
14,363;  in  1905,  23,008;  in  1906,  24,525;  in  1907,  30,472;  and  in 
1908,  25,505.  In  the  thrfee  earlier  reports  complaints  are  made  about 
the  failure  of  many  provincial  governors  to  forward  the  necessary 
statistical  reports,  and  it  is  stated  that  many  accidents  are  not 
reported  even  to  the  local  authorities.  The  data  for  the  year  1907 
only  are  claimed  to  be  fairly  complete  and  on  the  whole  satisfactory. 
The  decline  in  the  number  of  accidents  recorded  in  1908  is  partly 
due  to  the  failure  of  the  Province  of  Madrid  to  send  in  its  report, 
except  for  the  first  six  months,  and  so  all  accidents  for  that  province 
were  excluded.  During  the  first  six  months  1,757  accidents  were 
recorded  in  that  Province,  and  during  the  whole  of  the  preceding 
year  3,575  accidents  were  recorded;  but  even  if  this  number  is  added 
to  the  number  recorded  in  1908  the  total  is  far  below  36,976,  which 
was  given  for  this  year  in  the  official  report  of  the  insurance  companies. 
These  data  may  be  partly  checked  by  the  reports  pubhshed  by  the 
General  Association  of  Insurance  Companies,  although  those  reports 
are  also  incomplete,  by  reason  of  the  fact  that  some  proportion  of  the 
wage-earners  remains  uninsured.  The  table  on  page  2340,  giving  the 
data  for  the  five  years  from  1902  to  1906  shows  a  larger  number  of 
accidents  for  1904,  1905,  and  1906  than  do  the  official  statistics. 

In  the  later  year  the  difference  was  not  so  great,  but  it  was  still  in 
favor  of  the  reports  of  the  insurance  association.     It  is  probable  that 


2352 


REPORT  OF   THE   COMMISSIONER   OF   LABOR. 


the  official  record  for  1904  includes  only  about  one-third  of  all  the 
accidents,  those  for  1905  and  1906  are  still  incompletes ,  and  only  those 
for  1907  are  fairly  complete.  This  limits  the  value  of  the  data  for 
comparative  purposes. 

The  distribution  of  the  accidents  by  age  and  sex  oi  employees  is 
shown  in  the  following  table.  The  small  number  of  female  employees 
injured  is  probably  due  to  the  slight  participation  of  women  in  Spain 
in  industry,  though  statistical  data  for  a  determination  of  this  fact 
are  lacking.  Less  than  3  per  cent  of  the  injured  wore  of  the  female 
sex  in  the  year  1907. 

EMPLOYEES  INJURED  IN  INDUSTRIAL  ACCIDENTS,  BY  SEX  AND  AGE,  19C4  TO  1908. 

[Source:  Instituto  de  Reformas  Sociales.    Estadlstica  de  los  Accidentes  del  Tra1)ajo  ocurridos  en  los  afios 

1904-1908.    Boletin  del  Instituto  de  Reformas  Sociales,  191 1  1 


Sex  and  age. 


MALES, 

10  and  under  14  years 

14  and  under  16  years 

IG  and  imder  18  years 

18  and  under  40  years 

40  and  under  f^O  years 

60  years  and  over 

Age  unknown 

Total 

FEMALES. 

10  and  under  14  years 

14  and  under  10  years 

Iti  and  under  18  years 

18  and  under  40  years 

40  and  under  60  years 

60  years  and  over 

Age  unknown 

Total 

BOTH  SEXES 

10  and  under  14  years 

14  and  under  16  years 

16  and  under  18  years 

18  and  under  40  years 

40  and  under  <)0  years 

60  years  and  over 

Age  unknown 

Total 


Number  of  employees  injured  in— 


1904. 


174 

752 

1,235 

11,718 

95 


13, 974 


37 

78 
80 

192 

2 


389 


211 

830 

1,315 

11,910 

97 


1905. 


276 

1,212 

1,842 

14,407 

4,126 

263 

282 


22,408 


24 

95 

108 

292 

64 

13 

4 


600 


300 

1.307 

1,950 

14,699 

4,190 

276 

286 


14,363         23,008 


1906. 


395 

1,249 

1,817 

15, 693 

4,245 

263 

297 


23,959 


29 

89 

107 

257 

67 

10 

7 


566 


424 

1,338 

1,924 

15, 950 

4,312 

273 

304 


24,525 


1907. 


(H.2 

l,f^25 

2,337 

19,140 

5,017 

310 

272 


b  23, 567 


90 

103 

l;jo 

412 

74 

8 

3 


905 


752 

1,9H& 

2,4»2 

19. 552 

5,  o(a 

318 

275 


1908.(o) 


544 

1,507 

1,927 

16, 188 

4,156 

233 

127 


24,682 


63 

173 

139 

348 

86 

14 


823 


C07 

1,C80 

2,0(6 

16,536 

4, 242 

247 

127 


6  30,472 


25,505 


1909. 


531 

1.686 

2,273 

18,315 

4,652 

205 

421 


28,083 


70 

122 
132 
395 

91 
9 

42 


861 


601 

1,808 

2,405 

18,710 

4,743 

214 

463 


28,944 


a  Not  including  the  Province  of  Madrid. 

b  This  total  is  not  the  correct  sum  of  the  items;  the  figun-s  are  given  as  shown  In  the  original  report. 

The  distribution  of  accidents  by  industries  is  shown  in  the  following 
table,  where  the  industries  are  arranged  according  to  the  number  of 
accidents  in  1907.  Transportation,  mines,  etc.,  and  the  iron  and  steel 
industry  together  claim  more  than  one-half  of  the  ac<'idents  occurring 
during  the  five-year  period. 


CHAPTEE  X. WORKMEN  S  INSURANCE   IN   SPAIN. 


2353 


NUMBER  OF  ACCIDENTS,  BY  INDUSTRIES,  1904  TO  1908. 

[Source:  Instituto  de  Reformas  Sociales.    Estadlstica  de  los  Accidentes  del  Trabajo  ocurridos  en  los  anos 

1904-1908.    Boletin  del  Instituto  de  Reformas  Sociales,  1911. J 


Industry. 


Mines,  salt  mines,  and  quarries 

Transportation 

Iron  and  other  metal  manufactories. 

Construction  work 

Food  products 

Woodworking 

Textiles 

State  and  municipal  service 

Chemical  industry 

Electrical  industry 

Forestry  and  agriculture 

Leather  and  hides 

Paper  and  cardboard 

Printing 

Metallurgical  establishments 

Tobacco 

Clothing 

All  other  and  unknown 


Numljer  of  accidents  in- 


1904. 


Total 


2,794 

2,508 

1,979 

1,473 

610 

957 

261 

151 

279 

213 

200 

()5 

163 

38 

1,280 

82 

66 

1,338 


614,363 


1906. 


190)>. 


1907. 


1908.(0) 


4,276 

4.614 

2,330 

3,271 

1,154 

1,185 

456 

483 

540 

213 

157 

82 

266 

92 

1,897 

131 

81 

1,750 


5,116 

5,010 

3,529 

3,61S 

1,115 

1,024 

516 

417 

420 

2(>8 

242 

76 

162 

66 

540 

112 

50 


23,008 


24,  .525 


6, 760 

6,635 

5,186 

3,231 

1,564 

1,146 

1, 128 

7&4 

504 

347 

250 

210 

127 

107 

102 

76 

35 

2,3ti0 


30,472 


5,931 

6,  .333 

4,K20 

2, -280 

1,367 

1,119 

N26 

452 

n»:9 

270 

274 

142 

103 

87 

11 

75 

32 

814 


19C9. 


7,286 

6,443 

4,952 

2,721 

1,518 

1,309 

814 

468 

909 

260 

386 

76 

119 

101 


91 

25 

1,466 


25,505 


28,944 


a  Not  including  the  Province  of  Madrid. 

b  This  total  is  not  the  correct  sum  of  the  items;  the  figures  are  given  as  shown  in  thf^  original  report. 

The  reports  also  include  tables  classifying  the  accidents  by  causes, 
but  these  tables  are  not  entirely  satisfactory  and  they  are  not  repro- 
duced for  the  reason  that  in  the  vast  majority  of  cases  the  cause  is 
not  stated;  thus  in  1907,  out  of  30,472  accidents,  17,704,  or  58.1  per 
cent,  were  reported  as  due  to  various  causes,  and  7,329,  or  24.1  per 
cent,  as  due  to  unknowTi  causes,  leaving  only  17.8  per  cent  of  the 
cases  for  which  the  cause  is  stated.     Of  the  accidents  recorded  in 

1908,  the  cause  was  stated  for  only  7,555,  or  29.6  per  cent;  and  in 

1909,  for  only  6,811  out  of  28,944,  or  23.5  per  cent. 

The  data  in  regard  to  the  results  of  the  accidents  are  also  unsatis- 
factory, as  all  injuries  are  classified  in  7  large  groups:  (1)  Fatal 
cases,  (2)  those  producing  total  and  (3)  those  producing  partial 
permanent  disabihty,  (4)  grave  injuries,  (5)  light  injuries,  (6)  injuries 
for  which  the  classification  is  reserved,  and  (7)  injuries  the  results  of 
which  are  unknown.  These  data  are  presented  in  the  follo\\ing 
table.  The  striking  feature  of  this  table  is  the  small  number  of  cases 
of  permanent  disabihty  and  the  large  proportion  of  the  light  injury 
cases.  The  latter  is  explained  in  the  report  as  due  to  the  absence  of 
a  strict  definition  of  an  accident  in  the  law,  resulting  in  many  minor 
injuries  being  reported.  On  the  other  hand,  the  small  number  of 
permanently  though  partially  disabled  is  probably  explained  by  the 
hmited  class  of  injuries  which  are  recognized  by  the  law  of  1900  as 
leading  to  permanent  disability. 


i 


2354 


REPORT  OF   THE  COMMISSIONER  OF  LABOR. 


NUMBER  OF  ACCIDENTS,  CLASSIFIED  BY  RESULTS  OF  INJURIES,  1904  TO  19<)8. 

[Source:  Instituto  de  Reformas  Sociales.     Estadlstica  de  los  Accidentes  del  Trabajo  oeurridos  en  los 
anos  1904-1908.    Boletin  del  Instituto  de  Reformas  Sociales,  1911.  J 


Year. 

Light 
injuries. 

Grave 
injuries. 

Injuries 
as  to  the 
nature  of 

which 
opinion  is 
reserved. 

Iniurles 
of  un- 
known 
result. 

Injuries    resulting 
in      permanent 
disability. 

Injuries 

resulting 

fataUy. 

Total. 

Partial. 

Total. 

1904 

13,008 
19, 177 
22,187 
28.062 
22,506 
27,274 

224 
475 
483 
376 
477 
256 

895 
976 
874 
1.043 
1.365 
701 

"'"2.155' 
805 
783 
979 
601 

56 

80 

69 

«71 

ft35 
30 

ae 

19 
4 

(/) 

236 
225 
176 
207 
178 
210 

f 14. 363 
c 23, 008 
c 24, 525 
c:{0,472 
c 25, 505 
c 28, 944 

1905 

190G 

1907 

1908(d) 

1909 

a  Included  with  injuries  resulting  In  total  permanent  disability. 

6  Including  injuries  resulting  in  partial  permanent  disability. 

c  This  total  is  not  the  correct  sum  of  the  items;  the  figures  are  given  as  found  la  the  original  report. 

d  Not  including  the  Pro\ince  of  Madrid. 

t  Including  injuries  resulting  in  total  permanent  disability. 

/  Included  in  injuries  resulting  in  partial  permanent  disability. 

The  reports  indicate  a  decline  in  the  number  of  fatal  cases  and  in 
their  proportion  to  the  total  number  of  accidents,  which  in  1904  was 
1.64  per  cent  and  in  1908  0.70  per  cent.  While  this  may  in  part  be 
due  to  the  better  reporting  of  minor  accidents,  there  has  been  an 
actual  decline  in  the  number  of  fatahties  from  236  in  1904  to  207  in 
1907.  For  1908  the  data  are  unfortunately  incomplete,  because  the 
accidents  in  Madrid  were  not  tabulated;  but  excluding  the  14  fatal 
cases  in  Madrid  in  1907  there  still  seems  to  be  a  decUne  from  193 
to  178. 

The  distribution  of  the  accidents  by  the  day  of  the  week  are  avail- 
able only  since  1906.  As  shown  in  the  table  following,  the  greatest 
number  of  accidents  takes  place  on  Monday.  The  number  gradually 
falls  toward  the  middle  of  the  week,  but  rises  again  at  the  end  of 
the  week. 


NUMBER  AND  RELATIVE  FREQUENCY  OF  ACCIDENTS,  BY  DAYS  OF  THE  WEEK,  1906 

TO  1908. 


Estadlstica  de  los  Accidentes  del  Trabajo  oeurridos  en  los  anos 
190<5-1908.    Boletin  del  Instituto  de  Reformas  Sociales,  1911.    In  computing  the  relative  number  the 


[Source:  Instituto  de  Reformas  Sociales 
190<5-1908.  Boletin  del  Instituto  de  ] 
average  number  of  accidents  per  day  was  used  as  a  base,] 


Day  of  week. 


Monday 

Tuesday 

Wednesday 

Thursday 

Friday 

Saturday 

Sunday 

Total 

Unknown 

-     Grand  total.. 


1906. 


Number 
of  acci- 
dents. 


2,989 
2,751 
2,642 
2,584 
2,565 
2,739 
1,107 


17,377 
7,148 


24,525 


Relative 
number. 


1907. 


Number 
of  acci- 
dents. 


120.4 
110.8 
106.4 
104.1 
103.3 
110.3 
44.6 


4.838 
4,764 
4.663 
4.482 
4.529 
4,740 
1,878 


29,894 
578 


30,472 


Relative 
num  ber. 


113.3 
111.5 
109.2 
KM.  9 
lUti.O 
111.0 
44.0 


1908.  (a) 


Number 
of  acci- 
dents. 


4.17i 
4,011 
3,980 
3,987 
3,908 
3,884 
1,483 


25,427 
78 


25,505 


Relative 
number. 


114.9 
110.4 
109.6 
109.8 
107.0 
106.9 
40.8 


1909. 


Number 
of  acci- 
dents. 


4,707 
4.683 
4.513 
4,418 
4.447 
4,576 
1,631 


28,875 
69 


28,944 


Relative 
nuinber. 


114.1 
111.1 
109.4 
107.1 
107.8 
110.9 
39.5 


a  Not  Including  the  Province  of  Madrid. 


CHAPTER  X. WORKMEN  S   INSURANCE   IN   SPAIN. 

SICKNESS  INSURANCE. 


2355 


i 


Sickness  insurance  of  workmen  is  comparatively  new  in  Spain. 
The  progress  made  so  far  is  due  to  private  or  cooperative  efforts, 
without  any  interference,  assistance,  or  regulation  from  the  Gov- 
ernment. There  are  hospitals  and  similar  institutions  for  treat- 
ment of  the  poor,  which  are  supported  either  by  pubhc  or  private 
charity  and  which  do  not  make  any  special  regulations  for  the 
wage-working  population.  As  these  establishments  belong  to  the 
field  of  charity  rather  than  of  labor  insurance,  they  will  not  be 
treated  here.  The  existing  institutions  for  medical  or  financial 
assistance  during  illness,  which  are  organized  more  or  less  upon  an 
insurance  basis,  may  be  classified  in  three  groups:  (1)  The  com- 
mercial sickness  insurance  companies;  (2)  the  mutual  sick  benefit 
societies;  and  (3)  the  establishment  funds. 

COMKEBCIAL  INSUBANCE    COMPANIES. 

Commercial  organizations  of  sickness  insurance  confine  their  oper- 
ations to  the  field  of  medical  aid,  and  while  not  limited  to  wage- 
earners,  they  have  become  popular  principally  among  this  class, 
being  organized  mainly  in  the  large  cities  and  among  people  of 
small  means  who  desire  to  escape  the  expense  of  private  medical 
advice. 

The  plan  of  these  sickness  insurance  companies  is  in  some  features 
similar  to  tliat  adopted  by  various  religious  and  fraternal  associa- 
tions in  the  United  States.  Tlie  insured  secures  free  medical  advice 
and  drugs  for  a  stipulated  fee,  whicli  usualh-  amounts  to  1  peseta 
(19.3  cents)  per  month  for  a  single  member  and  2  pesetas  (38.6 
cents)  for  a  family.  There  is  this  difference,  however,  that  instead 
of  a  physician  or  druggist  being  hired  by  a  club  or  lodge  under 
direct  contract,  they  are  hired  usually  at  a  much  lower  rate  of 
remuneration  by  the  managers  of  the  insurance  company,  who 
derive  large  profits  from  the  position  of  intermediaries  between 
the  insured  and  the  physicians.  The  popularity  of  this  form  of 
insurance  may  be  judged  from  the  following  figures.  An  official 
investigation  in  1903  showed  30  such  companies  in  Madrid  alone. 
Of  these,  21  reported  their  membership,  which  aggregated  35,434 
families,  with  141,736  persons  insured  and  a  gross  income  of  over 
1,000,000  pesetas  (S193,000)  and  net  profits  of  478,368  pesetas 
($92,325.02),  or  about  48  per  cent  of  the  gross  income. («)  Under 
such  conditions  many  evils  manifested  themselves,  such  as  an  insuffi- 
cient number  of  physicians,  who  received  very  low  remuneration  and 
who  furnished  hasty  medical  advice  as  well  as  adulterated  drugs. 

a  Lea  assurances  sociales  en  Espagne,  par  Alvaro  Lopez  Nunez.     (Congr^  Inter- 
national des  Assurances  Sociales.     S'"^  session,  Rome,  October,  1908.) 


2356 


BEPORT  OF   THE   COMMISSIONER  OF  LABOR. 


These  evils  called  forth,  in  1903,  the  above-mentioncMl  official  inves- 
tigation by  the  General  Bureau  of  Health  of  the  Ministry  of  Interior, 
which  was  carried  on  by  several  prominent  professional  men,  physi- 
cians, and  druggists.  The  report  of  this  investigation  subjected 
these  insurance  companies  to  severe  criticism.  As  a  result  of  this 
criticism  tJie  popularity  of  tliis  form  of  insurance  received  a  severe 
blow  from  whicli  it  is  only  now  slowly  recovering.  Many  of  the 
small  institutions  suspended.  Others  have  improved  their  methods, 
carrying  out  the  provision  of  several  regulating  orders,  such  as  the 
order  of  July  3,  1907,  placing  the  maximum  number  of  families  to 
be  attended  by  one  physician  at  150. 

HTJTTJAL   BENEFIT   SOCIETIES. 

Mutual  benefit  societies  of  workmen  (industrial  benefit  societies) 
are  growing  rapidly  in  Spain.  Their  main  function  is  mutual  aid 
in  case  of  sickness.  The  Institute  of  Social  Reformn  in  1907  j)ub- 
lished  a  report  on  workmen's  associations  in  existence  on  November 
1,  1904.  It  succeeded  in  obtaining  altogether  reports  of  about  65 
per  cent  of  existing  organizations.  Of  the  1,867  organizations 
reported,  310,(«)  or  16.6  per  cent,  had  mutual  assistance,  mostly  in 
case  of  sickness,  as  their  main  aim,  and  their  membership  equaled 
88,206(«)  out  of  a  total  membership  of  348,265,  or  25.3  per  cent. 
The  number  of  such  societies  is  growing  rapidly,  as  shown  by  the 
fact  that  of  these  310  societies  200,  or  64.5  per  cent,  were  organized 
within  the  six  years  1899  to  1904.  In  Madrid  alone  there  arc  42 
societies,  with  a  membership  of  30,266. 

There  were  67  associations  of  workmen  whose  main  object  is 
defined  in  the  report  as  ''accion  catolica;"  but  many  of  these  asso- 
ciations also  have  funds  for  mutual  assistance.  These  67  societies 
had  a  combined  membership  of  31,957. 


Or  The  report  states  the  number  of  mutual  benefit  societies  at  a09  and  their  mem- 
bership at  84,426.  To  these  has  been  added  the  "La  Mutuahdad  Obrera,"  with 
a  membership  of  3,780,  described  in  the  report  as  "  Cooperativu  m^dico-farmacdu- 
tica"  (a  society  for  cooperative  medical  and  pharmaceutical  aid). 


CHAPTER  X. — workmen's   INSURANCE   IN   SPAIN.  2357 

The  following  table  shows  the  years  when  various  classes  of  funds 
were  organized: 

NUMBER   OF  WORKMEN'S  SOCIETIES    IN  1904,   BY  YEARS   WHEN    ORGANIZED    \XD 

OBJECTS  OF  SOCIETIES. 

[Source:  InsUtuto  de  Reformas  Sociales.    Estadfstica  de  la  Asociacion  Obrera,  en  lo  de  noNienibre  de 

1904,  pp.  285  and  28(>.) 


Number  of  societies  whose  object  is— 

Year  organized. 

Catholic. 

Improve- 
ment of 

labor  con- 
ditions. 

Coopera- 
tive. 

Mutual 
benefit. 

PoUtical. 

Educa- 
tion and 
recrea- 
tion. 

Musical, 
etc. 

Total. 

Before  1800 

ISOltolSSO 

1 

1 

1 

6 

5 

39 

6 

13 

8 

11 

10 

6 

26 

19 

80 

198 

129 

167 

224 

194 

5 

1 

3 

2 

4 

13 

34 

5 

9 

1 

7 

4 

10 

9 

6 

12 

18 

32 

46 

40 

51 

2 

a 

1851  to  1860 

1861  to  1870 

2' 

5 

15 
1 

2 

2 

4 

14 

i 

1 

5 

3 

11 

s 
« 

1871  to  1880 

an 

1881  to  1890 

6 

33 

1891 

1  QA<> 

123 
19 

i8y^ 

1893 

2 

2 
4 
2 

1 
2 
1 

1 

2 

21 
13 
29 

1894 

1895 

5 

3 

1 

2 

6 

9 

12 

12 

32 

S 

1 
1 
5 
1 
2 
3 
3 
2 
18 
14 
1 

2 
7 

2 

189G 

3' 

6 
3 
1 
4 
5 
8 
12 
34 

26 

1897 

29 

1S98 

2 
1 
4 
5 
3 
8 
9 
2 

49 

1899 

1 
2 
4 

.! 

11 
10 

33 

1900 

100 

1901 

237 

1902 

191 

1903 

252 

1904 

325 

Not  reported 

344 
10 

Total 

G7            1   1JO 

93 

309 

79 

&I 

86 

1.SC7 

That  this  form  of  insurance  or  mutual  aid  is  quite  popular  among 
all  classes  of  Spanish  society  is  shown  by  another  statistical  report 
published  by  the  Institute  of  Social  Reforms— a  report  on  all  asso- 
ciations for  savings,  cooperation,  and  mutual  aid.  Of  2,020  societies, 
mth  437,347  members,  1,696  societies,  with  a  membersliip  of  358,014 
(i.  e.,  84  per  cent  of  the  societies  and  about  82  per  cent  of  the  mem- 
bership), had  mutual  help  primarily  in  case  of  sickness  as  their  main 
object. 

On  the  basis  of  these  figures,  and  considering  the  societies  omitted 
from  the  enumeration  in  1904  and  those  societies  organized  witliin 
recent  years,  the  assistant  secretary  of  the  Institute  of  Social  Reforms 
estimates  the  number  of  existing  mutual  aid  societies  in  1908  at  about 
800,  with  a  membership  of  150,000;  and,  including  the  families,  that 
750,000  persons  were  protected  by  sickness  insurance. 


i 

f 


2358 


REPORT   OF   THE   COMMISSIONER  OF  LABOR. 


NUMBER,  MEMBERSHIP,  AND  MEMBERSHIP  PER  1,000  POPULATION,  OF  WORKMEN'S 

MUTUAL  AID  SOCIETIES  IN  1904,  BY  PROVINCES. 

[Source:  Institute  de  Reformas  Sociales.     Estadlstlca  de  U  Associaci6n  Obrera,  1907.) 


Pro\ince. 


Alicante 

Badajoz 

Barcelona 

Cadiz 

Canaries 

Castellon  de  la  Plana. 

Corunna 

Cuenca 

Gerona 


ompuzcoa 

Huelva 

Logrono 

Madrid  (a) 

Malaga 

Murcia 

Oviedo 

Palencia 

SeviUe 

Tarragona 

Toledo 

VaUadolid....  

All  other  provinces. 


Total. 


Population 

(census  of 

1900). 


1, 


9, 


470, 149 
520,246 
054,541 
452, 659 
358.564 
310,828 
653,5.56 
249,696 
299,287 
195.850 
260,880 
189.376 
775,034 
511,989 
577,987 
627,069 
192,473 
555, 256 
337,964 
376, 814 
278,561 
358, 895 


Number 
of  socie- 
ties. 


16 

10 

38 
3 
4 

13 
3 
8 

30 
5 

12 
6 

18 
2 
9 
7 

13 

13 

10 
7 
8 

85 


18,607,674 


310 


Memlier- 
ship. 


12,304 
1,H34 
7, 2<tO 
1,.)14 
1,652 
1,392 
2,603 
1,743 
3,0(53 
l,0(i8 
2,348 
1,531 

30,228 
1,953 
1,825 
2,507 
1,3(K) 
1,311 
1,000 
1,212 
1, 138 
3,460 


84,426 


Member- 
ship per 

1,000 
popula- 

tioD. 


20.17 
3.53 
6.91 
3.34 
4.61 
4.48 
4.12 
6.98 

10.23 
5.45 
9.00 
8.08 

39.00 
3.81 
3.16 
4.00 
7.07 
2.36 
2.96 
3.22 
4.09 
.37 

4.54 


a  Includes  one  society,  La  Mutualidad  Obrera,  with  3,780  members,  classified  as  a  "cooperative  society" 
whose  functions  are  defined,  however,  as  "a  society  for  cooperative  medical  and  pharmaceutical  aid." 

While  the  membership  of  these  workmen's  societies  varies 
greatly — and  some  of  them  are  small,  as  low  as  ten  or  twenty  persons — 
the  bulk  of  the  membership  belongs  to  very  large  asso<'iations.  Thus 
the  Railroad  Employees'  Association  (Associacion  general  de  Emple- 
ados  y  Ohreros  de  Ferrocarriles) ,  organized  in  1888,  with  headquar- 
ters in  Madrid,  had  in  1904  a  membershif)  of  17,300.'  No  other  organi- 
zation approached  this  in  number  of  members,  there  being  alto- 
gether 12  organizations  with  a  membership  of  over  1,000  each  and  a 
combined  membership  of  39,637,  or  nearly  one-half  of  the  total 
membership  of  the  310  societies.  Among  these  310  societies  may  be 
mentioned  La  Mutualidad  Obrera,  organized  in  Madrid  in  1904,  with 
a  membership  of  3,780;  La  Honradez,  also  of  Madrid,  organized  in 
1891,  with  a  membership  of  1,950;  an  establishment  fund  of  the  gov- 
ernment tobacco  factory  in  Alicante,  Caja  de  Auxilio  en  beneficio  del 
personal  obrero  de  la  Fabrica  de  Tabacos,  organized  in  1901,  with  a 
membership  of  3,557;  similar  organizations  in  the  tobacco  factory  of 
Cadiz,  with  1,104  members;  and  one  in  the  tobacco  factory  in  Corunna, 
with  2,449  members. 

Details  of  the  operation  of  these  institutions  are  difficult  to  obtain. 
La  Mutualidad  Obrera  (the  Workmen's  Mutual  Soci(^ty),  which  is 
designated  in  the  official  statistical  report  as  a  cooperative  society  for 
furnishing  medical  and  pharmaceutical  assistance,  in  the  year  1906 
had  4,323  members.     Of  these  members  3,847  had  families,  aggregat- 


CHAPTEE  X. WORKMEN  S   INSURANCE  IN   BPAIN. 


2359 


ing  13,388  persons,  so  that  the  total  number  of  persons  protected  by 
the  association  was  17,711.  In  order  to  furnish  the  medical  help  this 
association  employs  28  physicians,  1  obstetrician,  3  surgeons,  2 
druggists,  10  mid  wives,  and  10  nurses  and  assistants — altogether  54 
persons  on  its  medical  staff — while  the  administrative  duties  require 
an  additional  force  of  13  persons.  The  total  income  was  only  39,860 
pesetas  ($7,692.98),  and  the  total  expenditure  44,800  pesetas 
($8,646.40),  leaving  a  deficit  for  the  year,  the  second  of  its  exis- 
tence, of  4,940  pesetas  ($953.42). 

The  functions  of  these  societies  vary.  A  great  many  societies  pay 
funeral  expenses  and  give  financial  aid  during  illness,  in  addition  to 
medical  advice  and  treatment.  In  some  cases  an  organization  may 
carry  these  three  forms  of  insurance,  the  membership  in  all  or  any 
of  them  being  optional.  Thus  the  "Universal  Union  of  Encourage- 
ment and  Representation  of  the  Interests  of  the  Working  Class"  in 
Madrid  furnishes  (1)  medical  help  and  drugs  for  the  following  monthly 
payments:  For  a  single  man,  0.60  peseta  (11.6  cents);  for  a  married 
man  without  children,  0.80  peseta  (15.4  cents);  and  for  married  men 
or  widows  with  children,  1.10  pesetas  (21.2  cents).  (2)  Sick  benefits 
for  30  days,  and  in  exceptional  cases  only  for  50  days,  during  one  year, 
equal  to  double  the  monthly  dues,  which  may  be  anywhere  from  0.50 
peseta  (9.7  cents)  to  1.50  pesetas  (29  cents).  (3)  Funeral  expenses, 
the  cost  being  0.30  peseta  (5.8  cents)  per  month  for  children  under  7 
years  of  age  and  0.15  peseta  (2.9  cents)  for  persons  over  7  years,  with 
an  additional  entrance  fee  of  2  pesetas  (38.6  cents)  for  persons  over  40 
and  under  55  years  of  age,  this  age  period  being  the  limit  of  admission. 

The  majority  of  these  funds  and  benefit  societies  are  supported 
exclusively  by  the  contributions  of  the  members.  In  a  few  cases  of 
establishment  funds  other  sources  of  income  are  available,  such  as 
the  fines  imposed  upon  the  employees  and  the  voluntary  contribu- 
tions of  the  employers.  The  receipts  from  these  sources,  however, 
are  small,  and  do  not  affect  the  truth  of  the  general  statement  that 
the  cost  of  medical  help  and  the  sick  benefits  is  practically  borne  by 
the  wage-earners  themselves. 

OLD-AGE  INSURANCE. 

The  system  of  governmental  pensions  to  military  and  civil  em- 
ployees is  highly  developed  in  Spain,  and  it  has  certain  insurance 
features,  inasmuch  as  from  10  to  20  per  cent  of  the  salaries  are  deducted 
for  the  support  of  these  pensions.  As  the  expenditures  for  such 
pensions  claim  about  one-twelfth  of  the  entire  budget  (in  1907,  42.3 
million  pesetas  ($8,163,900)),  the  burden  of  the  support  of  these 
so-called  "passive  classes,"  as  the  pensioners  are  termed,  has  come  to 
be  considered  a  national  problem  in  Spain. 

67725°— VOL  2—11 55 


2360 


REPORT  OF   THE   COMMISSIONER   OF  LABOR. 


But  little  had  been  done  in  Spain  in  the  field  of  old-age  and  inva- 
lidity insurance  for  workmen,  especially  by  the  Government,  until 
the  National  Institute  for  Old-Age  Insurance  was  estabhshed  by* 
the  law  of  February  27,  1908.  This  institute  had  not  yet 
begun  its  operation  by  the  end  of  the  year  1908.  Outside  of  this 
institute,  whose  work  is  all  in  the  future,  the  existing  j)ro visions  for 
the  invalid  and  superannuated  workers  are  limited  to  voluntary 
mutual  insurance  funds.  These  have  never  been  studied  statistically 
with  any  degree  of  detail,  and  therefore  only  a  few  individual  exam- 
ples can  be  given,  though  it  may  be  stated  that  many  of  the  mutual 
aid  societies  mentioned  above  in  connection  with  sickness  insurance 
are  also  old-age  pension  funds.  These  private  and  voluntary  pension 
funds  receive  no  assistance,  either  from  the  employers  or  from  the 
State. 

THE   NATIONAL  INSTITUTE   FOE   OLD-AOE  INSURANCE. 

On  the  subject  of  insurance  and  savings  the  prevailing  opinion 
among  the  Spanish  authorities  was  that  private  initiative  in  Spain 
was  too  weak,  and  that  the  saving  habit  was  not  sufficiently  estab- 
hshed to  permit  of  any  extensive  development  without  governmental 
encouragement.  This  was  the  opinion  also  of  a  majority  of  the 
delegates  of  local  savings  banks  and  old-age  insurance  funds,  at  a 
conference  called  together  in  Madrid  in  1904  to  discuss  the  advisability 
of  establishing  a  governmental  insurance  system.  TJie  inititative 
in  this  plan  belonged  to  the  Institute  of  Social  Reforms,  which  dele- 
gated to  a  recognized  authority  on  labor  problems  the  preparation  of 
a  general  report  on  the  subject.  After  tlie  report  was  presented  to 
the  institute  the  above-mentioned  conference  was  calh^d.  The  dis- 
cussions emphasized  not  only  the  necessity  of  organizing  some  system 
of  provision  for  the  industrial  employees  in  their  old  age,  but  also 
the  importance  of  enlisting  the  support  of  the  Grovernment.  The 
resolutions,  adopted  on  October  20,  1904,  were  of  a  g<'neral  nature 
and  contained  the  following  recommendations: 

That  the  Central  Government  should  organize  an  insurance  fund 
upon  its  own  guarantee  and  responsibility ;  that  the  aim  of  tlie  fund 
should  be  to  provide  old-age  pensions  for  wage-workers;  tliat  the  insur- 
ance should  be  paid  for  in  premiums  by  the  insured,  or  by  any  one 
else  for  the  benefit  of  the  insured;  that  the  business  should  be  con- 
ducted strictly  in  accordance  with  the  technical  rules  of  insurance, 
in  regard  to  the  reserve,  etc.;  that  the  form  of  organizaticm,  manage- 
ment, and  governmental  control  of  the  insurance  fund  should  be  elal>- 
orated  by  a  special  commission,  consisting  of  representatives  of  the 
State,  the  Institute  of  Social  Reforms,  the  important  savings  banks, 
and  other  similar  institutions;  that  cooperation  between  the  central 
governmental  institutions  and  the  existing  private  charitable  savings 


CHAPTER  X. — workmen's   INSURANCE  IN   SPAIN. 


2361 


or  loan  institutions  should  be  encouraged;  that  the  local  institutions 
should  be  intrusted  with  local  representation  of  the  pension  insurance 
fund;  that  the  local  institutions  should  also  be  encouraged  to  con- 
tribute to  the  central  fund  a  definite  proportion  of  their  profits,  which 
would  go  to  increase  the  pensions ;  that  the  capital  of  the  fund  should 
consist  of  a  state  subsidy,  the  premiums  of  the  insured,  and  such  other 
contributions  as  the  Provinces  or  localities  might  make ;  that  the  insur- 
ance should  be  free  from  all  taxation,  similarly  to  the  existing  savings 
banks  and  mutual  accident  insurance  companies;  and  that  the  old- 
age  pensions  should  not  be  subject  to  assignment  or  attachment. 

To  carry  these  general  principles  into  effect  a  special  commission 
of  the  Institute  of  Social  Reforms  prepared  the  draft  of  a  bill  for  the 
establishment  of  the  national  insurance  institute.  This  bill  was 
laid  before  the  Institute  of  Social  Reforms  on  May  25,  1905,  and,  with 
a  few  minor  changes,  was  unanimously  approved  and  transmitted 
to  the  Cortes  on  November  2,  1905. 

The  aim,  organization,  and  methods  of  the  institute  were  briefly 
summarized  in  the  report  of  the  special  committee  which  accompanied 
the  draft  of  the  bill.  The  duty  of  the  institute  was  stated  to  be, 
not  only  the  management  of  a  particular  fund  but  also  the  stimulation 
of  the  popular  interest  in  savings,  insurance,  and  especially  in  old- 
age  insurance,  as  well  as  in  the  encouragement  of  other  local  institu- 
tions of  the  same  type.  It  was  expressly  recommended  that  the  insti- 
tute strictly  adhere  to  the  technical  conditions  of  insurance.  It  was 
also  suggested  that  the  institute  should  be  national  in  its  scope,  as 
the  insurance  theory  and  statistics  are  true  only  when  apphed  to  large 
numbers,  and  the  larger  the  number  of  insured  the  less  will  be  the 
friction  in  the  application  of  theoretical  calculations  to  actual 
practice.  However,  it  is  not  the  aim  of  the  new  institute  to  destroy 
or  to  compete  with  those  pension  insurance  institutions  which  exist 
in  Spain  at  the  time  of  the  organization  of  the  National  Institute  for 
Old-Age  Insurance.  The  purpose  is  not  to  establish  a  monopolistic 
institution  but  a  model  one.  Therefore,  cooperation  between  the 
national  institute  and  the  local  institutions,  such  as  the  funds  of 
Guipuzcoa  and  Barcelona,  would  be  permitted,  provided  the  local 
funds  were  also  organized  with  strict  adherence  to  insurance  principles. 
This  cooperation  would  take  the  form  of  coinsurance  or  reassur- 
ance. In  the  distribution  of  state  subventions  the  local  funds  would 
be  permitted  to  participate.  In  this  way  it  was  thought  that  the 
organization  of  the  national  institute,  in  order  to  engage  the  power 
of  the  Central  Government  in  the  movement  to  stimulate  old-age 
insurance,  would  not  interfere  with  any  private  efforts  that  might 
be  made  in  the  same  direction,  and  that  private  old-age  insurance 
might  grow  even  faster  under  the  stimulus  of  the  example  set  by 
the  national  institute.     Financially  the  plan  deviated  from  the  wish 


2362 


REPORT  OF   THE   COMMISSIONER,  OF   LABOR. 


which  carried  the  majority  of  votes  in  the  conference,  that  the  State 
assume  the  entire  guarantee  and  financial  responsibihty  of  the 
institute.  This  was  termed  an  ''excessive  oflB.cial  intrusion/'  and  an 
autonomous  institute  was  recommended.  But  in  place  of  a  continu- 
ous guarantee  the  State  was  expected  to  furnish  the  capital  necessary 
for  the  organization  and  in  addition  to  furnish  annual  subsidies, 
which  would  serve  as  a  source  of  subventions  to  the  pensions  and 
also  to  cover  the  cost  of  administration.  In  the  administration  the 
autonomous  principle  is  combined  with  that  of  state  control,  the  power 
of  appointment  of  the  governing  council  being  divided  between  the 
Ministry  of  Interior  and  the  Institute  of  Social  Reforms.  After  a 
delay  of  over  two  years  the  bill  was  passed  by  the  Cortes  without 
discussion  and  without  any  changes,  and  approved  by  tlie  Crown  on 
February  27,  1908. 

The  law  estabUshing  the  National  Institute  for  Old-Age  Insurance, 
as  passed  and  approved  on  February  27,  1908,  stipulated  that  the 
minister  of  interior  should  immediately  appoint  a  commission, 
in  conformance  with  the  rules  for  the  governing  council,  to  prepare 
the  statutes,  regulations,  and  tariffs,  and  that  efforts  should  be  made 
to  make  the  organization  of  the  office  feasible  within  one  year  from 
the  date  of  the  promulgation  of  the  law. 

In  conformity  with  these  demands  of  the  law  a  commission  was 
appointed  on  March  8,  1908,  with  the  chairman  of  the  Congress  of 
Deputies  as  presiding  officer,  and  the  commission  held  its  first  meeting 
for  organization  on  May  11,  1908. 

The  constitution  of  the  national  institute,  prepared  by  that  com- 
mission, was  approved  by  the  royal  decree  of  December  24,  1908. 
Notwithstanding  this  lengthy  document  of  some  125  articles,  the 
details  of  the  operation  of  the  institute  were  not  yet  determined, 
these  depending  upon  the  regulations  (reglamento)  and  the  tariffs 
to  be  prepared  by  the  supervisory  council  of  that  institute. 

The  constitution  took  effect  on  January  1,  1909. 

PROVISIONS   OF  THE   LAW   OF  FEBRUARY   27,  1908. 

General  Purpose  and  Scope. — The  general  purposes  of  the  insti- 
tute are  stated  broadly  as  follows:  (1)  To  inculcate  among  the  masses 
habits  of  provision  for  old  age,  especially  in  the  form  of  old-age 
pensions;  (2)  to  administer  the  mutual  insurance  of  those  who  may 
voluntarily  associate  themselves  for  that  purpose  under  the  condi- 
tions most  favorable  to  them,  and  (3)  to  stimulate  and  encourage 
the  purchase  of  old-age  pensions  by  procuring  subsidies  from  pubhc 
or  private  sources.  Practically,  however,  the  operations  of  the 
institute  consist  mainly  in  selhng  old-age  pensions  or  deferred  annui- 
ties to  individuals  of  the  working  classes,  either  for  ^'single  time  pay- 


CHAPTER  X. workmen's  insurance   in   SPAIN.  2363 

ments,''  as  explained  below,  or  for  reimrrent  premiums,  to  be  paid  for 
either  by  the  beneficiaries  or  by  other  persons  for  the  beneficiaries. 
Persons  Insured.— The  insurance  is  intended  exclusively  for 
the  working  classes,  including  those  employed  by  the  State.  A 
salaried  employee  or  an  officeholder  may  be  insured  in  the  institute, 
if  his  salary  does  not  exceed  3,000  pesetas  ($579)  per  annum  and 
he  has  no  right  to  a  pension  under  other  existing  legislation.  For- 
eigners of  the  male  sex  and  of  age,  residing  in  Spain,  may  take  out 
such  pension  insurance,  provided  they  agree  to  abide  by  the  decisions 
of  the  Spanish  courts.  Minors  and  married  women  may  purchase 
•insurance  with  reserved  capital  without  anyone's  authorization, 
while  minors  under  18  years  of  age  require  the  authorization  of  the 
parent  or  guardian,  and  married  women  require  the  authorization 
of  the  husband  for  purchase  of  the  old-age  pension  with  alienated 
capital. 

Forms  of  Insurance.— Similarly  to  the  French,  Belgian,  and 
Italian  systems,  after  which  the  Spanish  institute  is  modeled,  both 
forms  of  annuity  insurance— those  with  alienated  and  those  with 
reserved  capital— may  be  written.  In  the  former  case  no  repayments 
are  made  at  death  of  the  insured,  whether  it  occura  before  or  after 
reaching  the  pension  age;  in  the  latter  case  the  entire  capital,  or  the 
greater  portion  of  it,  is  returned  at  death  to  the  heirs. 

Pensions.— The  system  of  insurance  being  entirely  voluntary, 
no  definite  pension  is  guaranteed.  The  amount  of  the  pension 
insured,  as  well  as  the  fact  of  insurance,  is  left  entirely  to  the  insured. 
The  amount  of  the  pension  acquired  is  made  dependable  upon  the 
free  contributions  of  the  insured  or  for  the  insured  by  other  persons. 
The  only  limitation  is  that  no  premiums  shall  be  received  which 
would  bring  the  amount  of  the  pension  acquired  over  1,500  pesetas 
($289.50)  to  the  same  person. 

The  pensions  purchaseable    for    given    premiums    will    naturally 
.  differ  for  the  two  methods  of  insurance  described  above— that  with 
alienated  capital  and  that  with  reserved  capital. 

In  accordance  with  the  usual  Ufe  insurance  practice,  various  pro- 
visions are  made  for  changes  in  the  plan  of  insurance.  In  case  of  the 
insurance  of  an  old-age  pension  with  reserved  capital  the  insured 
may  demand  the  paid-up  value  of  the  reserved  capital  at  any  time 
before  the  old-age  pension  begins,  or,  before  his  old-age  pension  ma- 
tures, he  may  use  the  value  of  this  reserved  capital  for  the  purchase 
of  a  temporary  annuity. 

In  the  case  of  insurance  with  reserved  capital  the  distribution  of 
the  capital  among  the  relatives  at  the  death  of  the  insured  does  not 
depend  upon  the  will  of  the  deceased,  but  is  regulated  by  law  accord- 
ing to  the  degree  of  consanguinity,  as  follows:  The  widow,  the  chil- 
dren, and  the  parents  have  the  preference,  and  only  in  the  absence 


2364 


BEPORT  OF   THE  COMMISSIONER  OF   LABOR. 


Er 


of  all  such  relatives  does  the  capital  go  to  other  heirs.  Wlien  the 
deceased  leaves  a  family  the  capital  is  divided  equally  between  the 
widow  and  the  children,  the  widow  receiving  one-half  and  the  children 
the  other.  If  there  are  no  children,  the  widow  receives  thn^e-fifths 
and  the  parents  the  remainder.  The  amounts  due  to  the  heij-s 
designated  shall  not  be  subject  to  any  claims  of  other  heirs  or  of 
creditors. 

Invalidity. — The  institute's  activity  does  not  contemplate  special 
invalidity  pensions.  The  constitution  j)rovides,  however,  that  in 
case  of  absolute  disability  due  to  an  incfustrial  accident  the  insured 
person  has  the  right  to  demand  the  conversion  of  his  deferred  annuity 
into  one  to  begin  immediately,  provided  it  will  amount  to  at  least 
60  pesetas  ($11.58)  per  annum.  If  not,  the  conversion  nmst  be 
delayed  until  the  pension  has  reached  that  value.  The  pensions  are 
not  subject  to  cession  or  seizure. 

Sources  of  Kevenue. — The  sources  of  revenue  are  as  follows: 

(1)  Endowment  of  not  less  500,000  pesetas  ($96,500)  presented  by 
the  State. 

(2)  The  premiums  of  the  insured. 

(3)  Interest  and  revenues  of  social  funds. 

(4)  An  annual  subsidy  from  the  state  budget,  proportionate  to  the 
needs  and  the  development  of  the  institute,  but  not  less  than  125,000 
pesetas  ($24,125)  per  annum. 

(5)  Other  donations  or  legacies  from  public  or  private  bodies  or 
individuals. 

The  main  sources  of  revenue  for  payment  of  the  pensions  is  derived 
from  the  premiums  to  be  paid  by  the  insured. 

The  rates  of  insurance  are  not  stated  in  the  law.  The  general 
principle  is  laid  down  that  the  technical  demands  of  the  insurance 
theory  must  be  strictly  complied  with.  The  governing  council,  with 
the  assistance  of  a  professional  insurance  accountant,  is  required  to 
elaborate  these  rates  in  accordance  with  tliis  principle,  on  the  basis  of 
the  best  mortahty  tables  used  by  Hfe  insurance  companies  until  a 
national  mortality  table  may  be  obtained. 

An  assumed  rate  of  interest  not  to  exceed  3  J  per  cent  and  a  loading 
necessary  to  form  a  special  reserve  sufficient  to  meet  the  effects  of 
fluctuations  in  mortahty  and  in  the  interest  rate  must  be  charged 
in  the  premium  tables. 

In  the  constitution  the  French  mortahty  table  of  1902  (Rentiers 
Francais,  usually  designated  as  R.  F.)  is  specificaUy  selected.  The 
difference  between  the  '^one-time  payment'^  and  the  '^recurrent 
payment''  plan  is  an  actuarial  difference,  necessitating  different  pre- 
mium tables.  The  ''one-time  payment"  system  leaves  the  amount 
of  payments  entirely  to  the  insured,  but  assigns  a  definite  pension 
value  to  each  payment  made,  the  actual  pension  to  consist  eventually 


chapter  X. workmen's   insurance   in   SPAIN. 


2365 


of  the  total  amount  of  pensions  acquired.  The  pension  value  of 
each  payment  is  determined  from  tables  prepared  in  accordance 
with  the  general  requirements  outlined  above  and  depends  upon  the 
age  of  the  insured  and  the  age  at  which  the  pension  is  payable.  In 
the  recurrent  premium  pla^  the  premiums  are  computed  at  an  annual 
rate,  but  payments  at  slightly  increased  rates  may  be  made  semi- 
annually, quarterly,  monthly,  or  even  weekly.  Premiums  which 
exceed  60  pesetas  ($11.58)  annually  must  be  paid  monthly. 

The  voluntary  character  of  the  insurance  is  the  essential  feature  of 
the  system,  and  the  employers  are  not  required  to  make  any  contri- 
butions to  the  fund,  but  the  necessity  of  some  form  of  material  sub- 
sidy as  an  encouragement  to  individual  thrift  was  recognized  in  the 
law.  Accordingly  the  law  provided  for  an  initial  capital  of  at  least 
500,000  pesetas  ($96,500)  to  be  contributed  by  the  state  treasury,  as 
well  as  annual  appropriations  to  cover  the  cost  of  administration  and 
also  for  subsidizing  the  individual  accounts.  These  subsidies  are  to 
be  distributed  among  the  persons  insured  in  the  institution  (including 
the  business  of  reinsurance  and  coinsurance)  with  the  following  Hmita- 
tion:  The  subsidies  are  to  be  distributed  only  among  such  persons  as 
have  made  some  payments  during  the  preceding  year. 

The  constitution  of  the  institute  further  excludes  persons  receiving 
pensions  from  government  or  private  sources,  or  who  are  assisted  in 
the  payment  of  their  premiums  by  the  State,  Province,  or  municipali- 
ties, or  who  are  in  a  favorable  economic  condition  as  evidenced  by 
payment  of  direct  taxes  above  a  certain  limit  to  be  decided  upon  in 
the  regulations. 

All  such  members  who  are  Spanish  citizens  living  in  Spain  and  over 
18  years  of  age  are  entitled  to  participate.  There  are  some  limita- 
tions upon  the  right  of  foreigners  living  in  Spain  to  share  in  the  sub- 
sidy. In  order  to  obtain  it,  they  must  have  lived  ten  years  in  Spain 
and  must  be  citizens  of  a  country  which  grants  similar  privileges  to 
Spanish  citizens.  This  latter  qualification  is  waived  in  case  of 
Portuguese  subjects  of  Spanish-American  countries.  It  may  also  be 
modified  by  diplomatic  action. 

The  constitution  of  the  institute  further  provides  that  the  council 
elaborate  rules  for  distribution  of  the  subsidies  to  insured  persons 
who  have  chosen  the  age  of  55,  60,  and  65  for  maturity  of  pensions. 

The  amount  of  subsidy  thus  granted  must  be  converted  into  addi- 
tional pensions  in  accordance  with  the  conditions  and  rates  at  the 
time  of  payment,  or  it  may  be  converted  into  a  temporary  annuity  to 
run  until  the  maturity  of  the  contracted  pension.  No  subsidy  to 
anyone  insured  shall  exceed  12  pesetas  ($2.32)  per  annum  during  the 
first  ten  years  of  the  existence  of  the  institute.  Preference  should 
also  be  given  to  individuals  whose  insurance  amounts  to  a  pension  of 
less  than  365  pesetas  ($70.45)  per  annum,  as  against  those  whose  pen- 


2366 


EEPORT  OP  THE  COMMISSIONEE  OF  LABOR. 


sions  might  be  increased  by  the  subsidy  to  an  amount  exceeding  that 
sum.  Special  subsidies  should  also  be  gianted  to  those  who  because 
of  advanced  age  at  the  time  when  the  law  goes  into  effect  are  obliged 
to  contract  pensions  for  a  higher  rate  and  shorter  time.  Also  special 
subsidy  funds  granted  for  the  benefit  of  individuals,  or  groups  of  indi- 
viduals, must  be  distributed  in  accordance  with  the  conditions  of  the 
grant  and  the  special  rules  of  the  institute  pertaining  thereto.  The 
methods  of  determining  annually  the  actual  amounts  of  benefits, 
subject  to  the  above  regulations,  are  described  below  in  connection 
with  the  financial  organization  of  the  institute. 

The  conditions  qualifying  the  insured  persons  to  participate  in  the 
special  or  preferential  subsidy  are  stated  in  detail  in  the  constitution 
of  the  institute.  A  person  possessing  any  of  the  following  qualifica- 
tions is  entitled  to  receive  this  preferential  subsidy: 

(1)  If  the  pension  will  not  reach  365  pesetas  ($70.45),  as  deter- 
mined by  the  assumption  that  the  average  payments  for  the  three 
years  preceding  would  be  continued  until  the  pension  matures. 

(2)  If  the  person  contracts  to  pay  a  higher  premium  for  a  pension 
to  mature  at  a  shortened  period  because  of  advanced  age  at  the  time 
of  taking  insurance.  This  applies  to  persons  45  years  of  age  and  over 
and  only  for  the  first  fifteen  years  of  the  operation  of  the  law. 

(3)  If  the  person  contracting  for  an  old-age  pension  with  reserved 
capital  assigns  half  of  the  reserved  capital  to  his  heirs. 

(4)  If  the  insured  person  also  insures  two  children  in  the  institute. 

(5)  If  the  insured  person  is  included  in  a  plan  of  collective  insur- 
ance which  satisfies  the  preceding  condition. 

(6)  If  the  insured  person  depends  upon  an  immediate  pension 
because  of  absolute  disability  to  work. 

(7)  If  the  insured  person  has  for  three  years  annually  paid  in  under 
the  plan  of  one  time  payments  amounts  sufficient  to  produce  pensions 
equal  to  or  greater  than  that  purchased  during  the  first  year. 

Only  one  preferential  subsidy  shall  be  given  to  those  combining 
several  of  the  qualifications  enumerated  above,  except  that  an  extra 
subsidy  may  be  given  for  the  disability  qualification. 

The  preferential  subsidies  paid  in  virtuo  of  qualifications  1,  3,  6, 
and  7  shall  be  discontinued  when  the  qualifications  ceases,  and  in  case 
of  the  first  qualification  (concerning  the  value  of  the  pension  being 
below  365  pesetas,  $70.45)  when  the  pension  later  exceeds  that  limit, 
not  only  do  the  subsequent  preferential  subsidies  cease,  but  the  earlier 
ones  are  deducted. 

Financial  Organization. — The  revenues  and  property  of  the 
institute  shall  for  no  reason  be  used  for  any  other  purpose  than  the 
payment  of  pensions  or  annuities  to  the  insured  and  for  the  expenses 
of  administration.  Moreover  the  law  i)rotects  the  contributions  of 
the  insured  against  the  danger  of  being  made  to  carry  excessive 


chapter  X. workmen's  INSURANCE   IN   SPAIN.  2367 

charges  for  expenses  of  administration  by  strictly  defining  the  sources 
of  revenue  which  may  be  used  by  the  institute  for  such  expenses- 
These  sources  are  as  follows : 

1.  Subsidy  which  is  granted  by  the  State  for  this  purpose. 

2.  Interest  on  the  endowment. 

3.  Any  other  donation  intended  for  that  purpose. 

4.  A  special  loading  of  the  premiums,  which  must  not  exceed  3  per 
cent  and  must  not  be  used  to  cover  operations  of  a  date  preceding  the 
establishment  of  this  loading. 

The  financial  organization  of  the  institute  demands  the  existence 
of  a  mathematical  reserve  to  cover  obligations  toward  the  insured 
and  of  a  special  reserve  as  mentioned  above.  After  the  mathematical 
reserve  and  the  special  reserve  have  been  formed,  all  surplus  funds 
from  each  year's  operations  must  be  turned  into  the  subsidy  fund. 
The  part  of  the  annual  appropriations  from  the  State  which  is  not 
used  for  expenses  forms  the  foundation  of  the  subsidy  fund.  To  this 
all  the  above-mentioned  surplus  funds  are  added. 

The  subsidy  fund  is  divided  annually,  in  accordance  with  certain 
regulations,  among  all  members  entitled  to  it.  The  institution  pub- 
lishes annually  detailed  balance  sheets  of  income  and  expenditures 
and  every  five  years  it  publishes  a  technical  balance  sheet  showing  the 
actual  value  of  annuities  purchased  and  of  property  and  securities 
representing  the  mathematical  reserve. 

In  the  computation  of  the  mathematical  reserve  the  same  table  of 
mortality  and  rate  of  interest  must  be  utilized  as  in  computing  the 
premiums  of  the  insured. 

Administration.— The  organization  of  the  institute  is  planned  to 
combine  its  formal  independence  with  reasonable  governmental  con- 
trol. It  has  independent  legal  existence,  its  own  system  of  adminis- 
tration, and  the  power  to  purchase,  sell,  and  hold  property,  make 
debts,  etc.  The  funds  of  the  institute  are  ent  irely  separate  from  those 
of  the  state  treasury,  and  the  State  does  not  assume  any  responsibility 
beyond  that  of  control  as  provided  for  by  law.  The  general  super- 
vision rests  with  a  governing  council  (consejo  de  patronato)^  which  must 
elaborate  the  constitution  and  regulations  (subject  to  the  approval  of 
the  minister  of  interior),  prepare  the  rates,  and  control  the  actions 
of  the  executive  committee.  The  council  consists  of  the  presiding 
officer  and  fourteen  members,  to  be  appointed  by  royal  decree  upon 
nomination  by  the  Mmistry  of  Interior;  the  presiding  officer  and  one- 
half  of  the  members  of  the  council  are  to  be  selected  by  this  ministry 
directly,  and  the  other  half  are  nominated  upon  recommendation  of 
the  Institute  of  Social  Reforms.  In  order  to  have  the  interests  of 
both  employers  and  employees  represented  in  the  insurance  institute 
it  is  required  that  the  seven  nominees  of  the  Institute  of  Social 
Reforms  shall  include  one  labor  delegate  and  one  employers'  dele- 


2368 


REPORT  OF   THE  COMMISSIONER  OF  LABOR. 


gate  from  the  institute.  Vacancies  in  the  council  are  to  be  filled  upon 
the  nomination  of  the  council  itself,  except  that  the  chairman  is  always 
chosen  directly  by  the  minister  of  interior.  The  council  elects  an 
executive  conmiittee  (junta  de  gobiemo)  of  five  members. 

The  headquarters,  the  main  depository  office,  and  the  treasury  of 
the  institute,  during  the  first  ten  years  of  its  existence,  at  least,  must 
be  connected  either  with  the  Madrid  Savings  Bank  or  with  some  other 
national  credit  institution  which  may  offer  preferable  conditions.  It 
may  establish  agencies  in  Provinces  and  special  localities,  and  even  in 
foreign  countries,  if  desirable  for  the  convenience  of  the  Spanish  resi- 
dents. The  institute  must  make  an  effort  to  establish  these  branches 
in  connection  with  the  local  savings  banks  or  similar  institutions  for 
old-age  pensions j  it  being  required,  however,  that  these  institutions 
keep  the  insurance  business  entirely  separate  from  their  other  func- 
tions. 

Relations  between  the  Institute  and  Other  Old-Age  Insur- 
ance Funds. — The  national  institute  and  all  other  charitable  insti- 
tutions which  undertake  to  grant  old-age  pensions  will  have  their 
relations  made  closer.  First,  they  may  insure  old-age  pensions  for 
their  entire  membership,  and  for  such  collective  insurance  special 
facilities  will  be  offered;  second,  they  may  reinsure  a  part  of  their 
operations,  or,  third,  establish  a  coinsurance  agreement.  The  busi- 
ness of  reinsurance  and  coinsurance  must  share  in  the  benefits  of  the 
subsidy  fund  of  the  national  institute.  Similar  relations  may  be 
established  with  foreign  institutions  of  a  like  nature. 

Government  Control. — For  the  purpose  of  controlling  the  busi- 
ness of  the  institute  the  Government  is  empowered  to  examine,  by 
means  of  a  commission  of  three  experts,  into  the  business  manage- 
ment and  solvency  of  the  institute  during  each  quinquennial  period, 
into  the  mathematically  calculated  reserve,  and  into  the  property 
and  investments  of  the  institute. 

Several  special  privileges  which  may  be  considered  as  substantial 
subsidies  are  conferred  upon  the  institute  by  reducing  the  cost  of 
administration.  In  litigation  the  cost  must  be  remitted  as  that  of  a 
charitable  institution;  its  mail  is  granted  the  reduced  rates  of  postage 
as  for  printed  matter,  and  for  telegraphic  business  it  is  to  be  charged 
half  rates. 

It  is  exempted  from  all  income,  industiial,  land,  insurance,  stamp, 
or  court  taxes.  The  certificates  which  tlie  institute  requires  from  the 
members  or  their  heirs  are  also  exempt  from  stamp  taxes. 

Extension  of  the  Regulations  to  Private  Old-Age  Insur- 
ance Institutions. — ^The  law  provides  that  the  regulations  con- 
tained in  Chapter  III  of  the  law,  and  which  refer  mainly  to  conditioris 
of  membership,  repayment  of  reserved  capital,  and  special  privileges, 


chapter  X. workmen's   insurance   in    SPAIN. 


2369 


may  be  extended  to  private  funds  of  old-age  insurance  of  workmen 
which  accept  the  actuarial  regulations  established  by  the  law  for  the 
national  institute. 

Subsidlary  Functions  of  the  Institute.— While  the  main  func- 
tion of  the  institute  is  that  of  insuring  workmen  against  old  age  by 
means  of  old-age  pensions,  mention  must  be  made  briefly  of  the  other 
functions  prescribed  for  the  institute  by  law  in  general  terms  and 
more  specifically  by  its  constitution.  These  consist  in  fostering  and 
encouraging  all  methods  of  social  providence,  as  old-age  pensions, 
savings,  etc.,  not  only  by  managing  the  old-age  insurance  system, 
but  by  educational  work  as  well. 

According  to  the  constitution,  this  educational  work  is  to  include 
methods  Hke  the  following:  The  publication  of  a  periodical  devoted 
to  this  problem  (under  the  title  of  Anales  del  Instituto  Nacional  de 
Prevision);  the  pubUcation  of  special  monographs  on  the  various 
forms  of  social  providence;  the  formation  of  a  reference  and  a  circu- 
lating Hbrary  devoted  specially  to  insurance  and  savings;  the  organi- 
zation of  public  and  private  conferences,  especially  in  workmen's 
organizations  and  in  societies  for  the  study  of  social  problems;  the 
training  of  organizers  and  advocates  of  popular  providence  and  sav- 
ings; the  prize  competition  for  private  individuals  and  organizations 
working  in  that  field;  the  efforts  to  bring  about  cooperation  between 
local  savings  institutions;  the  constant  communication  with  similar 
national  and  foreign  institutions  and  with  the  Institute  of  Social 
Reforms;  the  arbitration  of  disputes  in  matters  concerning  the 
institution  for  social  providence,  provided  such  disputes  have  been 
submitted  to  the  institute;  the  preparation  of  model  regulations  and 
tariffs  for  mutual  benefit  societies;  the  study  of  sanitary  and  hygienic 
measures  which  are  of  help  and  importance  to  popular  insurance; 
collaboration  with  Spanish  and  international  congresses,  relating  to 
the  work  of  the  institute,  and  the  efforts  to  initiate  such  congresses; 
supplying  information  to  the  Government,  when  requested,  and  to 
other  authorities  concerning  questions  of  insurance,  savings,  and 
other  means  of  social  providence. 

PRIVATE   VOLUNTARY   OLD-AGE  INSURANCE. 

While  estabhshing  the  national  institute  the  Spanish  Government 
does  not  undertake  to  monopoUze  the  function  of  insuring  workmen 
against  old  age.  On  the  contrary,  it  undertakes  to  encourage 
private  institutions  which  pursue  the  same  objects,  by  granting 
them  all  the  legal  privileges  and  tax  exemptions  which  the  national 
institute  possesses,  provided  they  comply  with  certain  conditions. 
The  Government  does  not,  however,  grant  them  a  direct  subsidy. 

The  provision  to  that  effect  is  contained  in  the  law  of  February 
28,    1908,    and    regulations    concerning   institutions    analogous   to 


2370 


BEPORT  OF   THE   COMMISSIONEE  OF  LABOE. 


the  national  institute  were  promulgated  by  decree  of  December  10, 
1908.(«) 

Societies  which  may  be  declared  analogous  to  the  national  institute 
and  granted  those  privileges  include  workmen's  old-age  pension 
funds,  established  independently  or  as  parts  of  mutual  benefit 
societies  or  similar  organizations,  provided  they  comply  with  the 
following  conditions: 

(1)  That  they  are  classified  by  the  Ministry  of  Interior  as  beneficent 
institutions. 

(2)  That  they  pursue  aims  similar  to  those  of  the  national  institute, 
including  the  efforts  to  spread  habits  of  old-age  provision  by  various 
combinations  of  savings  and  insurance. 

(3)  That  the  old-age  pension  funds  do  not  grant  pensions  exceeding 
the  maximum  established  for  the  national  institute  by  50  per  cent; 
that  they  are  not  combined  with  institutions  for  savings,  which 
would  permit  the  accumulation  of  capital  giving  an  annual  income 
greater  than  the  maximum,  1,500  pesetas  ($289.50). 

(4)  That  in  computing  their  premium  rates  these  old-age  pension 
funds  use  either  the  French  mortaUty  table  (R.  F.,  Rentiers  Francais), 
that  of  Deparcieux  (G.  R.,  Caisses  Retraites),  that  of  the  Spanish 
Geographic  and  Statistical  Institute,  that  of  the  London  Institute 
of  Actuaries,  or  any  other  permitted  by  the  national  institute,  with 
a  rate  of  interest  of  3  or  3  J  per  cent  and  a  surcharge  not  exceeding 
2  per  cent. 

(5)  That  they  establish  a  mathematical  reserve  according  to  the 
regulations  prescribed  by  the  national  institute.  As  long  as  this 
mathematical  reserve  does  not  exceed  25,000  pesetas  ($4,825),  a 
special  reserve  of  20,000  pesetas  ($3,860)  must  be  kept,  wliich  may 
be  reduced  to  one-half  or  one-fourth,  if  50  per  cent  or  75  per  cent  of 
the  pensions  insured  are  reinsured  in  the  national  institute. 

(6)  That  they  utilize  the  surplus  of  each  year  to  the  common  benefit 
of  the  insured,  either  reinforcing  the  special  reserve  or  by  adding  sub- 
sidies to  the  pension  accounts  or  for  any  other  similar  purpose. 

(7)  That  if  the  institute  pursues  many  different  aims,  the  accounts 
of  the  old-age  pension  should  be  kept  strictly  separated  from  the 
others. 

Societies  which  comply  with  such  demands  enjoy  all  privileges 
enumerated  above  (page  2368),  except  that  the  privilege  of  freedom 
from  cession  or  seizure  apply  to  the  pensions  only  up  to  the  limit  of 
1,500  pesetas  ($289.50). 

For  the  purpose  of  recognizing  such  private  institutions,  or  denying 
the  application  in  case  of  absence  of  any  of  the  conditions  enumerated, 
the  Ministry  of  Interior  must  advise  with  the  superior  commission 
of  charities  {Junta  Superior  de  BeneHcienda),  the  National  Institute 

o  Boletln  del  Institute  de  Reformas  Sociales,  No.  LIV,  December,  1908,  p.  608. 


CHAPTER  X. — workmen's  INSURANCE  IN   SPAIN.  2371 

for  Old-Age  Insurance,  and  in  case  of  refusal  also  with  the  Institute 
of  Social  Reforms,  upon  the  demand  of  the  institution  concerned. 

Briefly,  these  regulations  provide  for  guaranties  that  these  soci- 
eties are  charitable  or  cooperative  institutions  not  pursuing  any  aims 
of  profit  or  gain;  that  they  provide  only  for  workmen  or  persons  of 
moderate  aims;  that  they  conduct  their  insurance  business  in  con- 
formance with  actuarial  science,  and  that  they  are  properiy  pro- 
tected with  necessary  reserves.  The  regulations  therefore  are 
analogous  with  the  laws  for  recognition  of  mutual  benefit  societies, 
which  exist  in  Italy,  France,  Belgium,  and  Scandinavian  countries. 

In  conformity  with  the  law  and  the  regulations,  the  following  two 
mstitutions  were,  on  May  8,  1909,  recognized  by  royal  decrees :(«) 

(1)  The  Barcelona  Old-Age  Pensions  and  Savings  Fund  (La  Caja 
de  Permones  para  la  Vejez  e  de  Ahorros  de  Barcelona),  and 

(2)  The  Leon  Loan  Office  and  Savings  Fund  (La  Monte  de  Piedad 
y  Caja  de  Alwrros  de  Leon), 

The  Barcelona  fund,  as  explained  in  the  royal  decree  conferring 
the  privileges  upon  it,  was  recognized  as  a  beneficent  institution  on 
November  22,  1905. 

Its  aims  are  to  facilitate  savings,  help  form  deferred  and  immediate 
pensions  or  deferred  capitals;  the  highest  pension  permitted  is  2,250 
pesetas  ($434.25) ;  the  savmgs  bank  does  not  grant  any  interest  to 
accounts  exceeding  5,000  pesetas  (1965),  and  does  not  insure  for 
accumulated  capitals,  the  interest  upon  which,  at  5  per  cent,  would 
exceed  1,500  pesetas  ($289.50).  The  table  of  mortality  used  is  Ren- 
tiers Francais,  the  interest  rate  assumed  is  3i  per  cent;  the  mathe- 
matical reserve  amounted  to  29,743.48  pesetas  ($5,740.49),  and  was 
sufficient  to  cover  the  obligations,  and  in  every  respect  this  institu- 
tion complied  with  the  demands  of  the  royal  decree  of  December  10 
.1908. 

The  Leon  institution  is  not  an  old-age  pension  fund;  but  one  of  its 
functions  is  that  of  a  savings  bank;  it  is  destined  for  the  use  princi- 
pally of  workmen  or  other  persons  of  moderate  means.  It  was 
recognized  as  a  beneficent  institution  on  May  13,  1908,  by  a  resolu- 
tion passed  on  February  26,  1909,  probably  to  comply  with  the 
requirements  for  recognition.  This  bank  established  a  special  form 
of  savings  accounts,  the  interest  to  be  apphed  to  the  purchase  of  an 
old-age  pension  for  the  owner  of  the  account;  the  hmit  for  such  an 
account  is  10,000  pesetas  ($1,930),  while  for  the  ordinary  interest- 
drawing  account  no  interest  is  paid  after  5,000  pesetas  ($965^  have 
been  deposited.  This  institution  was  held  to  comply  with  the 
requirements  of  the  decree  of  December  10,  1908. 

A  few  data  are  available  concerning  two' private  old-age  msurance 
funds,  the  one  in  Guipuzcoa  and  the  above-mentioned  fund  in  Bar- 

«  Boletln  del  Institute  de  Reformat  Sociales,  No.  LX,  June,  1909,  pp.  1298  and  1300. 


2372 


KEPORT  OF   THE   COMMISSIONER  OF   LABOR. 


|! 


It 


celona,  and  these  data  are  mainly  significant  as  indicating  the  lim- 
ited operations  of  these  funds. 

The  Old- Age  Retiring  and  Pension  Fund  {La  Caja  de  Retiros  para 
la  vejez  y  los  invalidos  del  trabajo)  in  San  Sebastian,  Ouipuzcoa,  was 
established  in  1900,  through  private  benevolence,  in  connection  with 
the  local  savings  bank.  The  Old-Age  Pension  Fund  {La  Caja  de 
Pensiones  para  la  Vejez),  of  Barcelona,  was  established  more  recently, 
in  July,  1905,  and  is  managed  by  a  recognized  Spanish  authority  on 
insurance.  The  experience  of  these  two  old-age  and  invalidity  j)en- 
sion  funds  is  instructive.  The  organization  of  both  funds,  while  dif- 
fering in  detail,  is  based  upon  the  Belgian  system.  Every  payment 
is  a  premium  for  an  annual  pension  to  mature  at  50,  55,  60,  or  65 
years  of  age.  In  case  of  invalidity  the  pension  is  granted  in  full 
which,  according  to  payments  made,  would  have  becm  due  at  ma- 
turity. The  maximum  pension  to  be  granted  in  the  Guipuzcoa  fund 
is  1,200  pesetas  ($231.60),  and  that  in  the  Barcelona  fund  1,800 
pesetas  ($347.40).  Insurance  is  granted  according  to  the  plan  of 
both  "alienated"  capital  and  "reserved''  capital.  In  the  first  case 
the  pension  stops  with  death,  while  in  the  latter  case  90  per  cent  of 
the  premium  payments  are  returned  to  the  family  whether  death 
occurs  before  or  after  the  pension  age.  The  choice  between  various 
methods  of  capitalizing  the  accrued  pensions  is  also  given. 

The  operations  of  the  Guipuzcoa  fund  are  unimportant.  In  1905 
the  whole  number  insured  was  357.  The  total  amount  deposited 
during  the  year  was  5,583  pesetas  ($6,077.52),  and  the  total  capital 
was  44,435  pesetas  ($8,575.96). 

The  Barcelona  fund  began  business  on  July  1,  1905,  with  223 
accounts,  amounting  to  64,048  pesetas  ($12,361.26).  By  October  31, 
1907,  that  is,  within  twenty-eight  months,  the  total  deposits  reached 
the  sum  of  2,270,599  pesetas  ($438,225.61),  as  against  the  total  with- 
drawals of  918,459  pesetas  ($177,262.59).  This  apj)ears  to  show  a 
demand  for  old-age  insurance  among  the  wage-working  populations 
of  the  large  Spanish  cities. 

RAILROAD  EMPLOYEES'  FUND. 

The  most  important  old-age  pension  fund  is  the  General  Union 
of  the  Employees  of  the  Spanish  Railroads,  established  in  1888, 
which  had  18,307  members  on  December  31,  1906.  Its  aims  are: 
(1)  To  furnish  pensions  to  members  in  case  of  invalidity  and  to  their 
families  in  case  of  death;  (2)  to  help  members  with  loans;  and  (3)  to 
defend  their  rights  and  interests.  The  pension  fund  is  the  most 
important  feature  of  the  organization.  The  income  of  the  fund 
is  derived  mainly  from  monthly  contributions  of  the  members,  equal 
to  3  per  cent  of  their  salary  or  wages.     Ninety  per  cent  of  the  income 


CHAPTEE  X. workmen's  INSURANCE   IN   SPAIN. 


2373 


from  this  source  goes  to  the  pension  fund,  5  per  cent  to  the  loan  fund, 
and  5  per  cent  to  expenses  of  administration. 

The  pensions  are  granted  (1)  m  case  of  mvalidity,  if  the  disabled 
employee  has  no  other  source  of  income ;  (2)  in  case  of  superannuation, 
at  the  age  of  55  after  at  least  25  years  of  service,  or  at  the  age  of  60 
after  20  years  of  service,  provided  the  member  gives  up  his  employ- 
ment in  the  railroad  service;  and  finally  a  pension  to  the  member's 
family  in  case  of  death,  in  the  following  order:  To  the  widow,  the 
children,  or  to  the  parents.  The  pension  fund  of  the  association  on 
December  31,  1905,  amounted  to  3,162,411  pesetas  ($610,345.32),  and 
the  loan  fund  153,128  pesetas  ($29,553.71),  giving  a  total  on  hand  of 
3,315,539  pesetas  ($639,899.03).  The  total  income  in  1906  was  849,925 
pesetas  ($164,035.53).  Of  this  amount,  the  monthly  contributions  of 
the  members  equalled  668,984  pesetas  ($129,113.91),  and  the  interest 
on  investments  140,023  pesetas  ($27,024.44),  leaving  40,918  pesetas 
($7,897.18)  from  all  other  sources  of  income.  The  amount  paid  out 
in  pensions  was  391,673  pesetas  ($75,592.89),  in  other  subsidies 
15,918  pesetas  ($3,072.17),  and  the  cost  of  administration  was  32,316 
pesetas  ($6,236.99),  giving  a  total  expenditure  of  439,907  pesetas 
($84,902.05).  The  cost  of  administration  constituted  7.3  per  cent  of 
the  total  expenses  and  only  3.8  per  cent  of  the  total  receipts.  The 
excess  of  the  receipts  over  expenditures  was  410,018  pesetas 
($79,133.47),  bringing  the  assets  on  December  31,  1906,  up  to 
3,725,557  pesetas  ($719,032.50).  The  number  of  pensions  granted  in 
1907  was  172  (or  9.4  per  1,000),  and  the  amount  of  these  pensions 
77,671  pesetas  ($14,990.50),  bemg  an  average  of  452  pesetas  ($87.24) 
per  pension.  The  total  number  of  pensioners  carried  on  the  rolls  on 
December  31,  1906,  was  931,  and  the  total  sum  of  pensions  paid  out 
during  19  years  of  its  existence,  1,972,065  pesetas  ($380,608.55). («) 

LIFE  INSURANCE  IN  CONNECTION  WITH  WORKMEN»S  DWELLINGS. 

Some  months  before  the  National  Institute  for  Old-Age  Insurance 
was  established  by  the  Government  an  additional  function  was  sug- 
gested for  it  by  the  Institute  of  Social  Reforms.  This  was  in  con- 
nection with  measures  planned  for  the  improvement  of  the  housing 
conditions  of ,  wage-earners. 

For  several  years  the  Institute  of  Social  Reforms  had  under  con- 
sideration a  legislative  proposal  for  government  encouragement  of 
improved  housing  conditions.  Early  in  1907  an  exhaustive  mono- 
graph was  published  on  the  subject,  containing  suggestions  for  such 
a  law  based  upon  a  careful  study  of  the  conditions  and  existing 
legislation  throughout  Europe.  The  draft  of  a  bill  based  upon  these 
suggestions  was  presented  to  the  institute  by  a  special  committee,  in 

« Arbeiterversicherung  in  Spainen,  Dr.  Zacher,  pt.  xva,  p.  29. 


2374 


REPOBT  OF   THE   COMMISSIONEE  OF  LABOR. 


CHAPTER  X. WORKMEN  S  INSURANCE  IN   SPAIN. 


2375 


June,  1907,  that  is,  about  eight  months  before  the  national  institute 
was  established.  The  bill  proposes  the  establishment  of  local  housing 
commissions,  confers  many  privileges  and  subsidies  upon  workmen 
who  make  efforts  to  acquire  homes  and  upon  associations  organized 
for  the  purpose  of  buildmg  workmen's  homes,  establishes  funds  for 
extending  loans  for  such  purposes,  etc. 

The  draft  of  the  bill  was  fonnally  approved  by  the  Institute  of 
Social  Reforms  on  April  27,  1908,  and  referred  to  the  Government. 
That  proposals  of  the  Institute  of  Social  Reforms  have  considerable 
weight  with  the  Cortes  is  shown  by  the  fact  that  the  bill  establish- 
ing the  National  Institute  for  Old-Age  Insurance  was  adopted  as 
presented. 

It  is  not  necessary  to  present  a  detailed  analysis  of  the  entire  bill 
relatmg  to  workmen's  dwellings.  The  thu-d  chapter  is  devoted  to  a 
plan  for  combining  life  msurance  with  the  purchase  of  cheap  dwellmgs 
by  workmen  or  other  people  of  small  means.  The  general  purpose  of 
the  plan  is  to  insure  the  payment  of  the  debt  contracted  for  the  pur- 
pose of  building  or  purchasing  cheap  dwellings,  thus  removmg  the 
mam  objection  a  man  of  moderate  means  might  have  to  an  under- 
taking of  this  kind,  lest  his  unexpected  death  make  it  impossible  for 
his  family  to  meet  the  obligations-  This  branch  of  insurance  is  to  be 
mtrusted  to  the  national  institute.  For  this  purpose  a  section  of 
popular  life  insurance  is  to  be  established  in  the  institute.  The  form 
of  insurance  is  to  be  the  same  as  that  known  in  the  United  States  as 
the  endowment  plan  and  for  the  total  amount  of  the  debt  contracted, 
the  pohcy  to  mature  at  the  same  time  that  the  debt  matures  or  at  the 
death  of  the  insured. 

While  being  an  integral  part  of  the  administrative  organization 
of  the  national  institute,  this  section  is  to  be  kept  separate  as  far  as 
Its  functions  and  accounts  are  concerned.  It  is  to  have  its  own  initial 
capital,  to  be  appropriated  by  the  State,  which  should  amount  to  at 
least  500,000  pesetas  ($96,500),  of  which  200,000  pesetas  ($38,600) 
may  be  invested  in  loans  upon  cheap  dwellings  at  3^  per  cent. 
The  part  of  the  assets  equal  to  the  mathematical  reserve  is  to  be 
kept  intact  and  administered  by  the  national  inst  itute. 

The  limit  of  the  insurance  is  to  be  the  value  of  the  building  or 
5,000  pesetas  ($965).  A  medical  examination  of  the  Applicant 'for 
msurance  is  to  be  required,  for  which  government  physicians  are  to 
be  appointed.  In  case  of  an  abnormal  state  of  health  which  is  not 
grave  enough  to  cause  the  rejection  of  the  ai»pUcant,  a  modified 
pohcy  may  be  granted  with  medical  reexaminations  at  definite  periods, 
the  value  of  the  pohcy  in  case  of  death  being  very  low  during  the  first 
penod  and  gradually  increasing  according  to  certain  tables. 

The  premiums  are  to  be  paid  in  monthly  installments,  with  a  reduc- 
tion of  3  per  cent  in  case  of  annual  payments.     If  the  payments  of  the 


1/ 


premiums  are  interrupted,  the  insured  is  to  be  given  a  reduced  pohcy 
according  to  the  paid-up  premium,  to  mature  at  the  same  time  as  the 
policy  originally  contracted,  but  in  exceptional  cases  the  pohcy  may 
be  redeemed  in  cash.  A  policy  may  be  renewed  within  eight  months 
by  the  payment  of  delinquent  premiums  and  interest  charges  computed 
at  3  per  cent.     A  medical  reexamination  is  to  be  required. 

The  insured  is  to  receive  dividends,  which  may  be  used  either  for 
reducing  the  premiums  or  for  increasing  the  capital  value  of  the 
policy.  The  original  amount  of  the  policy  can  not  be  attached  or 
used  for  any  other  purpose  than  to  pay  the  claim  of  the  institution 
granting  the  loan  upon  the  property.  It  is  possible  to  transfer  life 
insurance  into  pension  insurance,  or  vice  versa.  If  the  premium  is. 
more  than  is  necessary  for  the  purposes  of  the  insurance  (i.  e.,  the 
payment  of  the  loan),  the  excess  is  transferred  to  the  pension-insurance 
section  of  the  institute  and  credited  to  the  insured. 

According  to  the  latest  information  this  feature  of  the  proposed 
law  was  postponed.  On  July  16,  1910,  the  bill  was  introduced  in  the 
•Cortes,  but  the  provisions  concerning  the  insurance  feature  were  ehm- 
inated,  the  chapter  relating  to  combining  life  insurance  with  the 
purchase  of  cheap  dwellings  being  reduced  to  the  statement  that 
this  matter  will  be  treated  in  the  special  law  concerning  popular  life 
insurance,  to  be  introduced  by  the  Government.  It  is  explained  in 
the  preamble  to  the  bill  that  it  is  intended  to  extend  the  operations 
of  the  National  Institute  for  Old-Age  Insurance  to  include  such  pop- 
ular Hfe  insurance,  and  the  matter  of  insurance  in  case  of  purchase  of 
a  dwelling  will  naturally  form  a  part  of  that  law. 

BIBLIOGRAPHY. 

Boletfn  del  Institute  de  Reformas  Sociales,  anos  I-V.     InBtituto  de  Reformas  Sociales. 

Madrid,  1904-1908. 
Conferencia  sobre  pre\d8i6n  popular  celebrada  en  los  dfas  19  y  20  de  Octubre  de  1904. 

Institute  de  Reformas  Sociales.    Madrid,  1905. 
Estadlstica  de  la  asociacidn  obrera  en  Espaila  en  1°  de  Noviembre  de  1904.     Institute 

de  Reformas  Sociales.    Madrid,  1907. 
Estadfstica  de  las  instituciones  de  ahorro,  cooperacidn  y  preAisicn  en  1°  de  Noviembre 

de  1904.     Institute  de  Reformas  Sociales.    Madrid,  1908. 
Estadfstica  de  los  accidentes  del  trabajo  ocurridoe  en  el  ano  1904;  en  los  anos  1904  y 

1905;   en  el  aiio  1906;  en  el  ano  1907.    Institute  de  Reformas  Sociales.    Madrid, 

1905,  1906,  1907,  1908. 
Institute  nacional  de  previsidn  y  bus  relaciones  con  las  entidades  similares.     Insti- 
tute de  Reformas  Sociales.     Madrid,  1906. 
Legislacion  del  trabajo.     Ap^ndice  primero,  Julio,  1905;  Junio,  1906.     Institute  de 

Reformas  Sociales.    Madrid,  1906. 
Legislacion  del  trabajo.    Ap^ndice  segundo,  Julio,  1906;  Junio,  1907.    Instituto  de 

Reformas  Sociales.    Madrid,  1907. 
Legislacion  del  trabajo.    Institute  de  Reformas  Sociales.    Madrid,  1905. 
67725°— VOL  2—11 56 


2376 


BEPORT  OF   THE   COMMISSIONER  OF  LABOR. 


ill 


Maluguer  y  Salvador,  Don  Jos^;  Cajaa  nacionalee  de  seguro  popiiliu-.    Instituto  de 

Reformas  Sociales.    Infonnacion  legislativa.     Madrid,  1904. 
Nufiez,  Alvaro  Lopez.    Les  Assurances  Socialea  en  Eapagne.    Congr^s  International 

dea  Assurances  Sociales.     Rome,  1908. 
Preparacion  de  las  bases  para  un  proyecto  de  ley  de  accidentes  del  trabajo  en  la  agri- 

cultura.    Instituto  de  Reformas  Sociales.    Madrid,  1908. 
Preparacion  de  las  bases  para  un  proyecto  de  ley  de  casas  para  obrero«.    Ca«as  baratas. 

Instituto  de  Reformas  Sociales.    Madrid,  1907. 
Preparacion  de  la  reforma  de  la  ley  de  accidentes  del  trabajo  de  30  de  Enero  de  1900. 

Informe  de  la  secci6n  primera  t^cnico-administrativa.     Instituto  de  Reformas 

Sociales.    Madrid,  1905. 

Proyecto  de  reforma  de  la  ley  de  accidentes  del  trabajo  de  30  de  Enero  de  1900.    Insti- 
tuto de  Reformas  Sociales.    Madrid,  1908. 

Tusquets,  Francisco  Aumatell.    Los  accidentes  del  trabajo.    Barcelona,  1903. 

Zacher,  Dr. :  Die  Arbeiter-Versicherung  im  Auslaude.    Heft  XV,  X  Va     Berlin  1901 
1908. 


VITA 


I.  M.  Riibmow  was  born  on  April  19,  187,-),  in  tlu-  Province 
ot  (liodno,  Russia.    In  1883  he  niovod  with  his  parents  to  Moscow 
wheic  ho  remained  until  1892,  receiving  his  secon.larv  education 
in  the  (.lassical  Department  (dymnasialabteilung)  oi' a  (ierman 
school,  Petri-Pauli-Schule. 

He  arrived  in  America  in  February,  1893,  and  entered  the 
jnnior  class  of  Columbia  University  in  the  fall  of  the  sanie  vear 
graduating   in    1895    as    A.    B.      He    was    appointed    UniveVsitv 
Scholar  m  Biology  for  1895-1906,  and  studied  Biologv,  Phvsiologv 
and    kindred    subjects    under    Professors    Henrv"  F     'osborn 
Edmund    Wilson,    Frederick    S.    Lee    and    others."     In    1898   he 
graduated  from  the  New  York  Universitv  of  Medicine  with  the 
degree  ot  M.  D.,  and  remained  in  medical  practice   until  19(»3 
Mean^^'l,ile  in  190()  he  entered  the  School  of  Political  Science  of 
Columbia  University,  and  studied  there  until  1903,  taking  courses 
in    Economics,    Statistics,    Sociology    and    Political    Philosopbv 
under  Professors  K.lwin  R.  A.  Seligman,  Franklin  H.  (ii<l,lings' 
Henry  R.  Seager,  Henry  L.  Moore  and  William  A.  Dunning. 

In  July,  1903,  he  gave  up  the  practice  of  medicine  to  accept 
a  position  of  examiner  in  the  United  States  Civil  Service  Com- 
mission in  Washington,  D.  C.  In  July,  15)04,  he  was  transferred 
to  the  Bureau  of  Statistics  of  the  Unite<l  States  Department  of 
Agriculture,  as  Economic  Expert;  in  May,  15)07,  to  the  Bureau 
ot  Statistics  of  the  United  States  Department  of  Commerce  an.l 

M  T'  ^'L» '"'*'  f  "'"^  ^iyi^iou  of  Foreign  Statistics,  and  in 
March,  1908,  to  the  Bureau  of  Labor  of  the  United  States  De- 
partment of  Commerce  and  Labor,  as  Statistical  Expert. 

He  severetl  his  connection  with  the  Unite<l  States  civil 
service  on  May  1,  1911,  to  accept  a  position  as  Chief  Statistician 
of  the  Ocean  Accident  &  (iuarantee  Corporation  in  New  York. 

In  the  fall  of  1911  he  was  appointed  lecturer  on  Social  In- 
surance in   the  New  York  School  of  Philanthropy. 


■•""I'fir » Ill  '■ 


f 


He  began  his  literary  activity  in  1897  as  American  corre- 
spondent of  several  Russian  daily  papers  in  St.  Petersburg  and 
Moscow,  and  since  1898  was  the  staff  corresponcient  of  all  the 
publications  of  the  Russian  Ministry  of  Finance  which  include 
a  daily  and  weekly,  and  at  one  time  a  monthly  economic  review. 

In  addition  to  fifteen  years'  of  newspaper  work  he  has  pub- 
lished many  Government  reports  and  magazine  articles  on 
economic,  statistical,  financial  and  social  topics  in  English  and 
Russian,  a  list  of  which  is  given  on  the  following  pages. 


LI5T  OF  PUBLICATIONS 


%9C 


i:n(;lish 


1902 
1903 
1903 
1903 


1903 
1903 

1904 
1904 

1905 
1905 


1905 

1905 
1905 
1906 
1906 

1906 

1906 

1906 
1906 

1907 

1907 

1907 


L'^mt"''   """■  ""■  ''■'■"•^'■•*  ^"--P'-'-rf-?  /"'-.  .So...  He,... 
Feb'!™"  *-""  '"""■^"•''"  <---«-i"n.  ln,er.    Soc.    «„... 

Ma.!!;:  iS'"'"'  "^'^■^""•"-"'  "f  "-  South,  nuer.   Soc.   «„... 
4.  Concentration  or  RemovH  \Vh;^K->   i     r,  . 

and  24t.^  1903.  (Hep. •Zr'n,^::::^.^:;::^  Vo7r '"' '''' 

25th,  1903.  "*     Medicne.       Amer.    Hebrew.    Sept. 

7.  Labor  Insurance.     Joiirn.  Pol.  Econ.,  June,  1904 

8.  Compulsory  State  Insuranro  of  \\v...b' 
Sept.,  1904.      '  ^"^"'ancc  of  Workingmen.    Ann.  Amer.  Acad.. 

9.  Compulsory  Insurance.     The  Chautaiu^uan,  March    1905 

10.  Economic    and    Industrial    Conditions   of   thp    mV'  '. 
New  York.     (A  chanter  in  th,.  -p              f            ^   Kussian   Jew   in 
hv  rh    Q    D  ^^/-"aptei   in  the     Russian  Jews  in  the  United  Stato^  " 
oy  Ch.  S.  Bernheimer,  Philadelohia    ion-;       i   i      ^  \';"*^«  Elates, 

11.  The  New  Russian  Worki„g„,e"';  Co,m.en'    r   ^\^^'"''">''  ^■> 
U.  S.  B„r.  Labor,  May,  m5  <^'""I>ensal.on  .Acl.     Hnllelin. 

12.  PremiuiiLs  in  Retail  Trade      /m.....    u„i.,    f- 

13.  Poverty  and  Death  Ra  e      /'.i"    4  i,  ^/'  '  ''/'"'■'  '^^'P'-  "'"5. 
ij      T^K      T  .      ,.  '^«*i«..     /  uoi.  Am.  Stat.  Assoc.    Dor      i(ii»x 

14.  The  Jews  in  Russia.     Yale  Review.  Aug.    l.)06 

15.  Is   Municipal   Ownership    \V„rth    \Vhile->      /",./         c         „ 
Aug.,  1906.  '"^'     '"'<■'••  ^o'-.  «ew>H., 

16.  Meat  Animals  and  Pacljing  House  Products     r   «    n     ,    .      . 

?;'\''":""'-%«"''-  ^•''- »«.  i«o«  (published  „„'„;.f;ousKo  "■"'•• 

18.   RUSS.VS  WheaTsu^;,:'.-  ';::i'r 'r.rS'"''^^^ 
19j^^The  Prohlen,  of  Domestic  .Service.     ./o„n,.' A!"^  Hco„..  Oct.. 

Jan..'^'9Sr   '"   ^^'-"^-'---    A   Criticism.     ,„„.,,    p„,,,   ^,„„ 

i';,rrw-o/.,'^:MaS:'';;r''  "'^'  '^""'  ""••^  «"-ussio„).  ,„, 


il 


1908  23.  Russia's  Wheat  Trade.  U.  S.  Depl,  Agric,  Hiir.  Slulistics,  Bull. 
No.  65,  1908. 

1908  24.  Russian  Wheat  and  Wheat  Flour  in  European  Markets.  Ibid., 
Bull.  06,  1908.     99  pages. 

1908  25.  Commercial  America  in  1907.  (Compiled  and  edited  anony- 
mously).   Dept.  of  Commerce  and  Labor,  Bureau  of  Statistics,  1908. 

1908  26.  The  Economic  Aspects  of  the  Negro  Problem.  Int.  Soc.  Bev., 
Vol.  VIII:  Feb.,  March,  April,  May,  June,  1908.  Vol.  IX:  July,  Sept.. 
Oct.,  1908;  Jan.,  March.,  June,  1909.  Vol.  X:  July,  Sept.,  Dec. 
1909;  May,  June,  1910.     (Signed  I.  M.  Robbins.) 

1909  27.  Problem  of  Domestic  Service  (discussion).  Aincr.  Journ. 
Social.,  March,  1909. 

1910  28.    Depth  and  Breadth  of  the  Servant  Problem.    McClare's,  March.    " 
1910.     (In  conjunction  with  Daniel  Durant.) 

1911  29.  Domestic  Service  as  a  Labor  Problem.  Journ.  I  fame  Econ. 
April,  1911. 

1911  30.  Compulsory  Old  Age  Insurance  in  France.  Pol.  Sc.  Quart., 
Sept.,  1911. 

1911  31.  Workmen's  Insurance  in  Italy.  Twenty-fourth  An.  Bept.,  U.  S. 
Comm.  and  Labor,  Chapter  VU. 

1911     32.    W^orkmen's  Insurance  in  Russia.    Ibid.,  Chapter  IX. 

1911     33.    Workmen's  Insurance  in  Spain.    Ibid.,  Chapter  X. 

1911  34.  Workmen's  Insurance  in  France.  Ibid,  Chapter  IV.  (In  con- 
junction with  G.  A.  W^eber.) 

RUSSIAN 

1897  1.  The  School  Season  in  New  York.  Viestnik  Vospitania  (The 
Messenger  of  Education.),   Oct.,   1897. 

1898  2.    American  University  Education.    Ibid.,  Jan.,  Feb.,  1898. 
1898     3.    A  University  for  the  People.     Ibid.,  Oct.,  1898. 

1898  4.  The  Social  Movement  in  the  United  States.  Sievernij  Viestnil: 
(The  Northern   Messenger),  March,   1898. 

1899  5.    The  Policy  of  Expansion.     Znanuja   (The  Banner),  May,  1899. 

1900  6.  New  Journalism  in  America.  Knizhki  Nedieli  (The  Week's 
Library),  March,  June,  July,  1900. 

1900  7.  Coeducation  in  America.  Viestnih  Vospitania  (Mesenger  of 
Educatian),  Oct.,  1900. 

1901  8.  Secondary  Education  in  America.  Busskaya  Shkola.  (The 
Russian  School),  Nov.,  Dec,  1901. 

1902  9.  The  Process  of  Concentration  in  Xmerican  Industry.  Xarod- 
noye  Khoziaistvo    (National   Economics),   March,   Apr.,    1902. 

1902     10.    Letters  from  America.     Voskhod  (Ihe  Dawn),  Apr.,  1902. 
1902     11.    John    B.    Clark's    Trusts.      A    Review.      Busskoyc    Economi- 

cheskoye  Obosrenie   (Russian  Economic  Review),  July,  1902. 
1902     12.    M.  Peters'  Capital  and  Labor— A  Review.  Ibid,  Aug.,  1902. 
1902     13.    P.  Roberts'  The  Anthracite  Goal   Industry— A  Review.     Ibid. 

Sept.,  1902. 
1902     14.    Th.  Burton's  Commercial  Crises— A  Review.     Ibid,  Oct.,  1902. 
1902     15.    The  American  Immortals.  Obrazovanie  (Education).  Oct.,  1902. 
1902     16.    Industrial  Feudalism  in  the  United  States.  Nauchnoe  Obosreniv 

(The  Scientific  Review),  Jan.,  Feb.,  1902. 


1903 

1903 

1903 
1903 
1903 
1903 

1903 

1903 

1904 

1904 
1904 

1904 

1904 
1904 

1905 

1905 

1905 
1905 

1905 

1905 

1905 

1905 
1905 

1905 

1905 

1906 
1906 

1906 

1906 


17.  Hamilton's  Savings  and  Saving  Institutions — A  Review. 
Busskoye  Economicheskoye  Obosrenie  (Russian  Economic  Review). 
Jan.,  1903. 

18.  Seligman's  Economic  Interpretation  of  History — A  Review. 
Ibid,  Jan.,  1903. 

19.  Labor  Legislation  in  the  U.  S.  Congress.     Ibid..  Aug.,  1903. 

20.  Laughlin  &  Willes'  Reciprocity— A  Review.     Ibid..  Sept.,  1903. 

21.  Laughlin's   Money— A   Review.     Ibid.,   Nov.,   1903. 

22.  The  Jewish  Problem  in  New  York.  Voskhod  (The  Dawn). 
May,  June,  July,  Aug.,  1903. 

23.  Chautauqua — an  Educational  Center.  Busskaya  Shkola  (Rus- 
sian School),  Nov.,  Dec,  1903. 

24.  Child  Labor  in  America.  Busskaya  Mysl  (Russian  Thought), 
Oct.,  Nov.,  1903. 

25.  Mead's  Trust  Finance— A  Review.  Busskoye  Economicheskoye 
Obozrenie   (Russian  Economic  Review^,  Feb.,   1904. 

26.  Mitchell's  Organized  Labor— A  Review.     Ibid.,  Feb.,  1904. 

27.  Roberts'    Anthracite    Goal     Communities — A     Review        Ibid 
May,  1904. 

28.  Gillman's    Methods    of    Industrial    Peace — A    Review       Ibid 
August,  1904. 

29.  To  My  Correspondents.  Voskhod  (The  Dawn),  Sept.,  Oct.,  1904. 

30.  American  Imperialism.  Viestnik  Samoobrazouania  (The  Mes- 
senger of  Self-Education),  Nos.  34,  37,  39,  1904. 

31.  Children's  Courts  in  America.  Pedogogicheski  Listok  (The 
Pedagogical  Monthly),  Jan.,  1905. 

32.  Economic    Condition    of    the    Russian    Jews    in    New    York 
Voskhod  (The  Dawn),  Jan.,  1905. 

33.  Letters  from  America.    Ibid.,  April,  1905. 

34.  New  York  Impressions.     Ibid.,  Aug.,  Sept.,  Nov.,   1905;  Jan., 

35.  Ghent's  Benevolent  Feudalism— A  Review.  Busskoye  Econo- 
micheskoye Obosrenie   (Russian  Economic  Review),  Feb.,  1905. 

36.  P.  Leroy  Beaulieu's  Les  Etats-Unis  au  XX  Siecle— A '  Review. 
Ibid.,  Aug.,  1905. 

37.  Evolution  of  Domestic  Life.  Busskaya  Mysl  (Russian  Thought). 
June,  1905. 

38.  American  Bureaucracy.    Mir  Bozhi  (God's  World).  Sept.,  1905. 

39.  The  Cotton  and  Cotton  Manufactures  in  the  United  States. 
Viestnik  Finansov   (Messenger  of  Finance),  41-44,   1905. 

40.  Municipal  Corruption  in  the  United  States.   Izvestia  Moskovskoi 
Gorodskoi    Dumy    (Annals    of    the    Moscow    Municipal    Council) 
Oct.,  1905. 

41.  The   Struggle   Against   Municipal   Corruption   in   Philadelphia 
Ibid.,  Nov.,  1905. 

42.  Municipal  Elections.     Ibid.,  Feb.,  1906. 

43.  Franchise  Capital  in  American  Municipalities.     Ibid.    March 
Apr.,  1906. 

44.  Municipalization  of  Street  Railways  in  Chicago.  Ibid,,  June, 
1906. 

45.  Care    of    Dependent    Childrep   jn    the    United    States.     Ibid 
Sept.,  1906.         •      ■    :  ■      *  ;  f!  '      '        - 


%  % 


1906 

1906 

1906 
1906 
1906 

1907 

1907 
1907 


1908 
1908 

1908 

1909 
1909 

1909 


1909 
1909 
1910 
1910 

1910 

1910 

1910 


1910 
1911 


46.  The  Public  School  System  of  New  York  City.    /ftzU,  Oct..  1906- 
Jan.,  Feb.,  1907. 

47.  Domestic     Service    in    America.      Russkaya    Musi     (Russian 
Thought),  Feb.,  1906. 

48.  Women  in  American  Industry.     Ibid.,  Apr.,  1906. 

49.  Professional  Work  of  American  Women.    Ibid.,  Sept.,  1906. 

50.  Capital   and   Nation's   Food.     Sovremenny  Mir    (The   Modern 
World),  Sept.,  1906. 

51.  Russian  Jews  in  America:  I.  Economic  Condition.  Ibid.,  March, 
1907.  ' 

52.  Russian  Jews  in  America:  II.  Social  Life.    Ibid.,  June,  1907. 

53.  Current  Municipal  Problems  in  America.    Izviestia  Moskovskoy 
Gorodskoy   Dumy    (Annals    of   the    Moscow    Municipal    Council) 
Aug.,  1907. 

54.  Finances  of  New  York  City.    Ibid.,  March,  April,  May,  1908. 

55.  Women  in  American  Universities.  Busskaya  Mysl  (Russian 
Thought),  Sept.,  1908. 

56.  The  Labor  Problem  and  the  American  Law.  Russkoiie 
Bogatstvo  (Russian  Wealth),  Sept.,  1908. 

57.  The  Presidential  Election  in  the  U.  S.    Ibid.,  Jan.,  Feb.,  1909. 

58.  American  Milling  Industry.  Russky  Melnik  (The  Russian 
Miller),  Jan.,  Feb.,  1909. 

59.  A  New  Study  of  Municipal  Ownership.  Ivziestia  Moskovskoy 
Gorodskoy  Dumy  (Annals  of  the  Moscow  Municipal  Council), 
March,  1909. 

60.  The  Pure  Milk  Problem.    Ibid.,  May,  June,  1909. 

61.  Medical  Inspection  of  Schools.     Ibid.,  Sept.,  1909. 

62.  Playgrounds  in  American  Cities.    Ibid,  March,  1910. 

63.  One  Week  at  a  Negro  University.  Russkoye  Bogatstvo  (Rus- 
sian Wealth),  Jan.,  Feb.,  1910. 

64.  The  High  Cost  of  Living.  Viestnik  Finansov  (Messenger  of 
Finance),  No.  20,  1910. 

65.  The  Problem  of  Accident  Compensation  in  American  Legisla- 
tion.   Ibid.,  No.  38,  1910. 

66.  The  Sinking  Funds  of  New  York  City.     Izviestia  Moskovskoy 
Gorodskoy   Dumy    (Annals    of    the    Moscow    Municipal    Council) 
June,  1910. 

67.  The  Housing  Problem  in  America.    Ibid.,  Dec,  1910. 

68.  Industrial  Education  in  the  United  States.    Ibid.,  March,  1911. 


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